August 6, 2021

Is Car Insurance An Expense? Here’s Why It’s Not.

If not for the required CTPL, many car owners might opt out of buying car insurance. Why? Added expense! But here’s why it’s not.

Is Car Insurance An Expense? Here’s Why It’s Not.

Is Your Auto Insurance An Added Expense or An Unrecognized Asset?

Most Filipino drivers think of auto insurance as an added expense. If it wasn't a prerequisite for renewing our car registrations, we wouldn't have second thoughts about getting it. It doesn't provide any gratification the way a new pair of shoes does. It's not as satisfying as getting something off Shopee or Lazada. Even vaping accessories are more desirable than auto insurance!

But what if we've been thinking about auto insurance the wrong way? What if, instead of thinking of car insurance as an added expense on top of all the other expenses to maintain our cars, we start thinking of insurance as an asset---an extra layer of protection every time we go out and drive?

Change The Way You Think About Expense, Change Your Ideas About Auto Insurance

The biggest block for most car owners is seeing auto insurance as an added expense. Instead, think of it as getting an asset that can help protect you from the unforeseen and unexpected.

It's a promise to policyholders that they will be financially protected (with the amount they are assured for) at any time during the life of their auto insurance policy.

How does your car insurance become an asset? When it offers you value.

The perception (or misunderstanding) that you don't get anything even after paying a sizable amount is what baffles and turns most Filipinos off from getting auto insurance (or any kind of insurance, as a matter of fact). But by changing mindsets, a car owner like you may be able to see its value as added protection, as financial security, and the peace of mind and confidence it can offer you.

That, we believe, is the true value that car insurance offers.

Protecting Your Income and Savings Against Unforeseen Events

If we’re being honest, auto insurance is one of the first lines of defense against future unforeseen events that may impact your income and savings. Planning ahead is the key and discounting how uncertainty can impact you and your family is something you just can’t risk.

This is especially true if your family depends on your income. If you do get into an accident and you aren’t covered by auto insurance, chances are you may have to make any payments (car damages, medical and hospitalization expenses, even legal help) directly from the money you have on hand and from your savings. Car insurance seeks to protect you and your family from future financial uncertainties.

With car insurance, you won’t have to worry about having enough money on hand because part if not all of that financial risk is now being handled by your insurance provider. That’s the premium you pay for: peace of mind and freedom from worry about finances.

Assurance.Ph is your partner in providing financial protection for your vehicle, and more. As we are expanding our array of protection products, we continue to work hard at making insurance (life and non-life) simple and easy-to-understand, answering inquiries you may have and helping clients pick and purchase the auto insurance plans that suit their needs and budgets.

Start a chat or call with one of your Assurance.Ph advisors today at 0915 705 2031, 0905 205 0402, or 0956 302 9631, or email us at contact@assurance.ph to know more about our vehicle insurance prices and packages.