It is very common nowadays for confusion to arise about the types of insurance available in the market for vehicles. For this reason, when traffic accidents occur, people do not know which entity to turn to and end up, for example, requesting payment for vehicle damages from the insurer with which they contracted the SOAT.
Based on the above and in order to understand how these insurances work, their importance, and their differences, we will make the following clarifications:
What is comprehensive insurance?
First, we must clarify that this policy is voluntary and its coverage will depend on the budget and needs required by the driver. Among the benefits is the payment of patrimonial and extra-patrimonial damages that are a consequence of damages caused to a third party or their property derived from a traffic accident. Likewise, the insurer will pay, according to what has been contracted, the total or partial loss of the insured car and its accessories, theft, and additional services agreed upon at the time of purchasing the policy.
It should be noted that the policy's coverage is conditioned on the policyholder or the person authorized to drive the vehicle being civilly liable to the persons to whom the damages were caused. In this sense, it is necessary to file a claim with the insurance company in which the occurrence and the amount of the damage must be proven.
Accordingly, the costs of the insurance may vary depending on the coverages requested by the driver, and its validity will depend on the time at which the client decides to contract said policy.
What is the mandatory traffic accident insurance – SOAT?
Quite the opposite of the aforementioned insurance, the issuance of the SOAT is mandatory, since not having it could incur fines equivalent to 30 current legal daily minimum wages and the immobilization of the vehicle.
Now, this insurance only covers medical, surgical, pharmaceutical, and hospital expenses, permanent disabilities, death, funeral expenses, transportation and mobilization expenses for victims. However, it is important to note that this coverage does not apply to damages caused to your vehicle or to that of a third party.
It should be highlighted that the SOAT does not necessarily have to be in the name of the owner, since it is vehicle insurance and not personal insurance, so it would have coverage for drivers, private occupants, passengers, and pedestrians.
An advantage of the SOAT is that, unlike comprehensive insurance, it does not condition any type of exclusion regarding the existence of liability of the driver or the victim in the traffic accident.
Regarding the validity of this insurance, it is established that it is for one year for all national vehicles. However, for antique and classic vehicles, its validity will be quarterly, and for those cars that transit through border areas and imported vehicles for sale, it will have a monthly validity. Finally, it must be taken into account that the insurer or insurance company will be responsible for protecting those assets that are potentially damageable and are under some type of risk, as in the specific case, vehicles or people. Thus, when an accident occurs, the company will be responsible for remedying or repairing the damages caused.
Daniela Ballen J. – AZC CONSULTING ATTORNEY