Third party liability insurance, partial accidental damage insurance or comprehensive accidental damage insurance? Here are the differences between them

The hail is larger than expected, you bump the car next to you while parking, or an unknown culprit smashes your windshield: Lots of different things can damage a car. Whether a claim is covered by third party liability insurance, partial accidental damage insurance or comprehensive accidental damage insurance depends on a variety of factors.

In Switzerland, third party liability insurance offers mandatory basic protection for all drivers. This insurance provides benefits if third parties or property belonging to them is damaged by the insured car. Damage caused by external factors or by the owner is not covered. That’s where partial and comprehensive accidental damage insurance comes in. But what is the difference?

Partial accidental damage insurance covers damage to your own car from external forces over which the driver has no influence. This could include loss or damage caused by theft, fire, natural events, snowslides, glass breakage, animals and vandalism. Additional collision accidental damage covers damage that you cause to your own vehicle. Comprehensive accidental damage insurance offers all-round comprehensive cover: It covers damage insured by partial accidental damage and collision accidental damage cover.

What are the exceptions?
Policyholders can generally choose whether to only take out third party liability insurance or whether they want the additional protection offered by partial or comprehensive accidental damage insurance. The main exception is leasing: Here, the leasing company can require the driver to take out comprehensive accidental damage insurance in addition to mandatory third party liability insurance. This is considered protection for the lessor and applies to the entire term of the leasing agreement.

Important: Basic and additional cover are not the same thing!
Even though partial and comprehensive accidental damage insurance offer additional protection, there are some claim events they don’t cover. Supplementary insurance can be taken out to cover the following, for example:

• Parking damage
• Gross negligence protection
• Items transported in the vehicle 
• No-claims bonus protection
• Extended glass breakage cover

This can cause misunderstandings with drivers, particularly if they are dealing with a parking damage claim event that is not their fault.

Partial accidental damage cover benefits

Partial accidental damage insurance covers damage to your vehicle that you did not cause yourself. This includes damage caused by environmental events, animals or even other people.

Generali partial accidental damage insurance covers:

• Theft
  
• Fire damage
• Damage caused by natural hazards
• Damage caused by snowslides
• Glass breakage
• Collision damage caused by animals 
• Damage caused by rodents and martens, including consequential losses
• Damage caused by vandalism by other persons
• Damage caused by aircraft crashing or making an emergency landing
• Damage caused by emergency operations

Partial accidental damage cover does not include:

• Accident cover for accidents in which you are at fault
• Parking damage
• Items transported in the vehicle
• Glass Plus
• Repair service
• Hire of replacement vehicle
• Passenger protection
• Gross negligence

Costs of partial accidental damage:
How much partial accidental damage insurance will cost is very individual and depends on various factors. The age of the main driver and the age of the vehicle are two factors that are taken into account. As a general rule, partial accidental damage cover is more expensive than mandatory third party liability insurance but cheaper than comprehensive accidental damage insurance.

Comprehensive accidental damage insurance benefits

Comprehensive accidental damage insurance offers all-round comprehensive cover for your car. It includes all the services offered by partial accidental damage insurance. It also offers additional protection for damage that you have caused to your vehicle, such as during a collision. Comprehensive accidental damage insurance also covers damage caused by an accident.

Generali comprehensive accidental damage insurance covers: 

• Theft
• Fire damage
• Damage caused by natural hazards
• Damage caused by snowslides
• Glass breakage
• Collision damage caused by animals 
• Damage caused by rodents and martens, including consequential losses
• Damage caused by vandalism by other persons
• Damage caused by aircraft crashing or making an emergency landing
• Damage caused by emergency operations
• Additional collision accidental damage to your own car

The following damage is not covered by comprehensive accidental damage insurance. These types of damage can be insured with supplemental insurance.

• Items transported in the vehicle
• Glass Plus
• Repair service
• Hire of replacement vehicle
• No-claims bonus protection for collision accidental damage insurance

Cost of comprehensive accidental damage insurance 
Comprehensive accidental damage insurance offers many more benefits and is therefore more expensive than third party liability insurance or partial accidental damage insurance. Here, too, the cost of comprehensive accidental damage insurance is very individual and based on a variety of factors.  

Supplementary insurance:

Accident insurance

• Treatment costs
• Lump-sum disability benefit
• Lump-sum death benefit
• Daily allowance
• Daily hospital allowance
• Medical assistance

Gross negligence

• No reduction in benefits due to gross negligence

When should I choose partial and when should I choose comprehensive accidental damage insurance?

There are a variety of factors that influence which insurance is best suited to your needs. The age of the car, your own risk tolerance and your financial circumstances all play a role and must be carefully considered.

When is it worth taking out partial accidental damage cover?
Taking out partial accidental damage cover is particularly sensible if your car is older. That’s because the older the car, the lower the replacement cost. Partial accidental damage cover offers good basic protection against many risks, but you will not have to pay expensive premiums. Partial accidental damage insurance also makes sense if you are prepared to take on a degree of financial risk, such as if you are at fault in an accident.

Partial accidental damage cover is a sensible choice if your car has been paid for and is not leased. It means the insurance premium will be more cost-effective.

Example: Your car is over ten years old. You mostly drive it in the city. It has a low market value. The cost of all-round comprehensive cover might even be higher than the cost of the car itself. In this case, partial accidental damage cover is the right choice for you.
 

When is it worth taking out comprehensive accidental damage cover?
Comprehensive accidental damage insurance is especially worthwhile if your car is new and/or expensive. An accident would have serious financial implications – comprehensive accidental damage insurance protects you from these high costs. Comprehensive accidental damage insurance can also make sense if you drive in a high-traffic area – like a city – or on busy roads. If you lease your car, you may be required to have comprehensive accidental damage insurance.

Example: You have just bought a new sports car, which you paid for partially in cash and partially with a loan. Because the car is worth a lot of money, and the bank requires you to have good insurance, it makes sense to take out comprehensive accidental damage insurance, which will offer you financial protection. 

I am a new driver – what insurance should I choose?
As a general rule, new drivers are served well by taking out accidental damage insurance. Whether it is better to take out partial or comprehensive accidental damage insurance will depend on the value of your car and your individual need for security. If you are a new driver and have a new, expensive car, comprehensive accidental damage insurance makes more sense. It covers higher costs in the event of a claim and provides comprehensive protection. If your car is old or the risks are low, you might choose partial accidental damage insurance. You may be required to take out comprehensive accidental damage insurance if you are leasing your car.