When you take out car insurance, you assume you're well protected. But did you know that not every policy covers everything? Many drivers only discover the limitations of their coverage when something goes wrong. That’s why it’s important to understand the different types of car insurance and what they do and don’t cover.
Third-Party liability (WA Insurance)
This is the minimum legal requirement in the Netherlands. It covers damage you cause to others for example, if you hit another car or injure someone. What it doesn’t cover? Damage to your own vehicle. If you reverse into a pole or are hit by someone else, you’ll have to pay for the repairs yourself.
Third-party, fire & theft (Limited Casco)
This is a step up from basic liability coverage. It includes protection against damage to your car caused by theft, fire, storm, broken windows, or collisions with animals. However, it does not cover damages you cause yourself, such as an at-fault accident or parking damage.
Comprehensive insurance (All-Risk)
Want the most complete coverage? All-risk insurance includes everything in the previous options plus damage to your own car, even if the accident is your fault. That includes things like accidentally hitting a post or scraping your car while parking. But even all-risk doesn’t cover everything – damage caused by intent, driving under the influence, or general wear and tear are usually excluded.
Which option is right for you?
The best choice depends on the age, value, and usage of your car as well as your personal situation. For newer or more valuable cars, all-risk is often the smartest choice. If your car is over 10 years old, third-party or limited casco may be enough.
Tip: Always read the policy conditions carefully. It can save you a lot of stress (and money) later on.
