Automotive. All-risk or third-party insurance, what to choose for your aging car?

If you have just bought a new car, the question does not arise. It is obviously in your interest to take out an “all-risk” car insurance policy for your vehicle. In the event of a claim, responsible or not, your insurer will reimburse the value of your vehicle. Some insurance companies will even offer you a “replacement value guarantee”. During the first years of your car, you are reimbursed at the purchase price in the event of a claim.

But what about when your vehicle is five, seven or ten years old?

What is the difference between all risks and third party?

To define what type of insurance your car deserves, let’s start by reviewing the two main families of car insurance. The all-risk contract is the most complete insurance. In the event of an accident at fault or not, your insurer will reimburse you for the value of your vehicle. The same will apply in the event of theft of your vehicle, fire, broken glass or natural disaster in most cases.

In summary, you are protected in the vast majority of situations. Third-party insurance will simply compensate the victim of an accident for which you are deemed responsible. However, you can choose the third-party guarantee and subscribe to additional guarantees such as theft, glass breakage, assistance, etc.

What insurance for a vehicle that is five years old or more?

To choose the right one, you will need to know the value of the vehicle to be insured. Is your car a small city car whose price does not exceed €3,000… Or a grand tourer whose value still exceeds €20,000? The more valuable the vehicle, the more its owner has an interest in beefing up his insurance contract to be well compensated in the event of a claim.

The other criterion will be the owner’s ability to meet the costs caused by a claim. If you bought your vehicle on credit and it is not yet fully reimbursed, is it safe to go to a third party? Will you have the means to buy back a vehicle tomorrow, if it is scrapped without compensation? These are the questions you need to ask yourself.

Adapt your insurance to your car

Every year your vehicle loses its value. The amount of your compensation in the event of a claim is based on the expert’s replacement value, the VRADE. If your vehicle is worth €15,000 and you pay €1,000 for insurance per year, the compensation goes well beyond your annual expense. If it is older and its value does not exceed €1,500, it would be unthinkable to continue paying €1,000 in premium per year.

Meet your insurer. This one will be able to offer you an intermediate formula, more adapted to your car. Play the competition! Your insurer was perhaps in the best position when you bought your new car four years ago. But what about today?
Changing insurance companies has never been easier than it is today. Use online insurance comparators such as the one offered by, the online insurance comparison specialist, for example. You will be able to consult car insurance offers without leaving your home and save up to several hundred euros.

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