Car insurance in Italy is compulsory for every motor vehicle in circulation or parked on public roads. The insurance required for driving in Italy is called "Assicurazione RC" where RC stands for civil liability. This type of insurance covers any damage that the insured may cause to property or persons.
To take out an insurance contract, the following documents are needed: car registration book in the name of the person who is going to activate the policy and an identity document of the insured person.
In this article, we will elaborate on the features of insurance policies and the extensions that can be requested to have more coverage.
The limit of cover
The first thing to know about third party motor liability insurance in Italy is that it has a maximum amount of cover; this is the maximum amount that the insurance company will pay in the event of damage caused by us to third parties. The basic coverage of a third-party liability insurance policy is € 6,450,000.00 for personal injury; € 1,300,000.00 for property damage.
If the damage exceeds the limit covered by the insurance policy, the insured party shall be personally liable to pay compensation for the excess damage.The maximum amount of insurance cover can be extended up to 10,000,000.00 euros and varies depending on the insurance company, in this way, the insured extends his guarantees in the event of compensation, excluding the possibility of paying out of his own pocket for the damage caused.
When we are taking out an insurance contract, we can ask our insurer to increase the limit of cover, increasing it costs between 50 and 200 euros.
The deductible
The deductible is an amount that the insured must pay if he/she has caused damage to other vehicles as a result of an accident. Every insurance policy has the option of introducing a deductible within it.
There are two types of excess: relative and absolute.
With a relative deductible, our insurance company will not pay compensation for the damage within a set amount. If, for example, in the insurance contract the deductible is €1,000 and the damage caused is €800, we would have to pay the €800 compensation ourselves. If the damage is EUR 1500, on the other hand, it will be paid in full by our insurance company.
The absolute deductible, on the other hand, stipulates that the insured will still pay a predetermined amount regardless of the fact that this may exceed a certain amount.
For example, if we have caused damage for 2000€ our deductible is 1000€, we still have to pay 1000€, the remainder will be paid by our insurance company.
The advantage of having a deductible within the policy is that you get a discount on your annual premium of around 15 %.
The disadvantage is related to the fact that the insured, depending on the type of deductible inserted, whether absolute or relative, still has to pay a certain amount of money in the event of a fault, which can be defined when the policy is taken out.
Additional covers that can be included in a car policy
Injuries to the driver
A standard insurance policy only compensates physical injuries to the driver if he is not at fault in the accident. With this policy extension, on the other hand, the insured is entitled to be compensated for bodily injury even if he himself is at fault in the accident. The average cost of this insurance policy extension is around 100€.
Kasco
The kasko policy is an additional cover that you can introduce into your insurance contract and provides compensation for any damage suffered by your vehicle regardless of whether the insured was right or wrong about the dynamics of the accident. This insurance cover provides compensation for damage to your vehicle either in the event of involvement with other vehicles or simply for damage caused by a collision with an object. Kasco only covers material damage to the vehicle and does not cover physical damage that a person may suffer. The cost of an insurance policy that includes comprehensive coverage is usually high and varies depending on the insured's merit class.
In addition, it is also possible to introduce a mini comprehensive cover, which only covers damage caused by an accident involving other vehicles and therefore excludes damage from other dynamics, e.g. collisions against walls, parking manoeuvres or the vehicle leaving the road.
Crystal Policy
This insurance extension of the policy allows you to be compensated in the event of damage or breakage of your car windows. The car glass insurance cover includes the front windscreen, rear window and door windows. Damage repairs must be carried out in insurance-approved centres. The average cost for windscreen policy is approximately 100€.
Road Assistance
Roadside assistance is an ancillary cover that can be introduced into the insurance contract. With roadside assistance you have the possibility, in the event of a vehicle breakdown, to call a tow truck at no extra cost. However, you have to be careful about the type of policy you take out because there is usually a limited mileage that the tow truck can cover beyond which you pay per kilometre travelled. For example, our contract provides for 40 km. If we drive 50 km to reach our destination, the cost of the remaining 10 km will be borne by the insured. Another thing to pay attention to is the destination of arrival. Some forms of contract only require the tow truck to take the broken-down vehicle to the nearest authorised garage, while others give the insured the option of choosing where to take the vehicle. This insurance cover has a very low cost, often being included in the basic insurance contract, in other cases activating it costs between €20 and €40.
Natural events
With natural events insurance cover you insure your vehicle against possible damage caused by adverse natural conditions. This category of events includes sea storms, tornadoes, avalanches, landslides, hailstorms, snowfall and floods.
When taking out a policy of this type, it should be borne in mind that in order to be reimbursed for the damage by the insurance company, it is necessary to go to a repair centre that has an agreement with the insurance company. In addition to this, you should always check whether there is a deductible and what is the maximum amount for which you are insuring the vehicle.
The average cost of this additional cover is between €80 and €150.
Vandalism
The vandalism insurance cover insures any damage that the vehicle has suffered from unknown persons, persons whose identity is known, acts of terrorism, or strikes. It covers the entire value of the car in the event that the vehicle has been seriously damaged, in addition to more minor events related to the mechanics, electronics or bodywork of the vehicle. Like all insurance policies, it is a good idea to check whether the policy provides for an overdraft, what the damage limit is and what is included or excluded from the cover. The average cost of this insurance coverage is between 200 and 400 euros.
Theft and fire insurance
This policy extension insures the vehicle in the event that the vehicle itself or parts of its components are stolen. The same policy also includes fire insurance. Compensation in the event of theft is assessed according to the value of the vehicle at the time the insurance policy is taken out.
The value of the vehicle tends to decrease from year to year and consequently, the amount compensated will also be lower. When taking out this insurance policy, particular attention should be paid to the presence of the deductible and its amount. The cost of this insurance extension varies depending on the amount to be insured.
Legal protection
This policy extension allows you, in the event of a legal dispute, to be compensated for the cost of lawyers, expert opinions, etc. The average cost of legal protection is around EUR 100 per year.
Waiver of recourse
The waiver of recourse is a special form of insurance extension where the insurance company pays for damages caused even if they were caused under the influence of alcohol, drugs or with an expired vehicle inspection. If the insured makes a claim if any of the above conditions are met, the insurance company will compensate for the damage and then make a claim against its insured by demanding payment of the full amount.
The cost of the waiver of recourse ranges from approximately €80 to €150 per year to be added to the basic insurance cover.
