Depending on which part of the world, it is usually a requirement to at least have one type of motor insurance before using or keeping a motor vehicle on public roads.

Most motor policies on offer are similar and customers may have a hard time selecting an option that will suit them the best. Below, we have enumerated some important factors need to be considered to guide you before making a final decision:

1. Brand – Who is your insurance provider?

Are you sure the company offering the motor policy you’re looking at is trustworthy? Before buying any kind of insurance, it is always important to research about the insurers first. Thanks to the internet, it is easier to conduct simple background checks on companies. You can learn about their customer satisfaction ratings online through discussions on forums, as well as reviews on reputable sites. Most insurance companies today also have their own websites where you may check its past records, including details of claim settled and time taken for claim settlement. Here at Gobear, we can at least assure our clients that the insurers we are affiliated with are trustworthy firms.

True, there are still many insurance companies that are good, though not as visible in the online world as others. But, if your searches discover little to no information, it is better to err on the side of caution.

2. Cvoerage – Can you customize your policy coverage?

The next important step is to select the right insurance cover that suits your personal needs and expectations. The usual coverage types are the following:

• Compulsory Third Party (CTP) Insurance

This insurance provides compensation for damage caused by a vehicle – it covers the vehicle owner and any person who drives the vehicle against claims for liability in respect of the death or injury to people caused by the fault of the owner or driver. It is important to note that it does not provide cover for any damage to the vehicle, and therefore other forms of motor vehicle insurance should be purchased to complement it.

• Comprehensive Insurance

As its name suggests, it's a wide-ranging policy type. It can cover damage to vehicles, theft of vehicles, collision, malicious damage and weather damage. Depending on the insurance provider, it may also cover damage caused to other vehicles.

• Fire and Theft Only

This is a limited form of insurance that only covers for what it states: fire damage to your vehicle and theft. It does not cover other risks like collision damage to vehicles.

• Third Party Property Only

It provides cover for vehicles damaged by the policyholder's vehicle. It does not provide cover for the policyholder's own vehicle. This product is generally only taken out by consumers with a low value vehicle, protecting themselves against damage to other motorists.

• Liability Insurance

This is very similar to third party property only policy, with a bit of CTP. It covers any damage or injury you may cause to property or other people in the event you are deemed to be at fault in an accident or collision. However, it doesn't cover you or your vehicle.

Most insurance companies allow their clients to put together a policy that will provide the type and amount of coverage they need. It all depends on factors such as age, budget, type of vehicle and how often you drive. It is important to note here that some insurance companies are now offering attractive add-ons along with basic motor package policy, too.

3. Price – Expensive does not necessarily mean better, but cheap isn’t always good either

Not everyone goes looking for cheap insurance, but the issue of price remains to be one of the major determining factors influencing policy purchase. The higher the chance of accidents, the higher is the price for an insurance cover. But, if you are paying for more coverage than you actually need, you are throwing away money.

The minimum requirement in most jurisdictions is usually for basic liability insurance, and not everyone are high-risk drivers who need higher coverage limits. Get multiple quotes to compare policy rates before finalizing your purchase. Fortunately, it is now easy to get insurance quotes immediately and online. With Gobear, you can quickly compare plans across a wide variety of insurance companies to find the right one for you. If you find a policy with a comprehensive amount of coverage for a cheaper price, then that might be your best choice.

4. Accessibility – Can your insurer quickly respond to you when you need them?

Sometimes, it is not clear who or where to reach out in case the insured gets into trouble. An accident might turn into an even bigger nightmare if you’re not able to contact the company, or they’re not able to immediately respond to your problem even after you manage to reach them. To avoid that unfortunate circumstance, it is important to have an insurer with a wide network and multiple distribution and communication channels so you don’t have to worry about having services delayed because the company is not well represented.