Vehicle insurance can be a confusing template for many car owners due to the variety of options and coverages it offers. There are two main types of vehicle insurance, compulsory traffic insurance and comprehensive car insurance, each with different functions and features.

car insurance policy

Compulsory traffic insurance

This type of insurance is legally important, as it is mandatory for vehicles. It aims to cover civil liability, which means that the insurance covers the material and physical damage you may cause to others in the event of an accident in which you are at fault. Failure to comply with this type of insurance can result in legal penalties, including fines. Its primary role is to protect all parties from the costs resulting from traffic accidents.

Comprehensive car insurance

On the other hand, this type of insurance is optional and provides much broader coverage. It protects your own vehicle from various risks such as accidents, theft, and fire. In addition, comprehensive insurance can include additional services such as roadside assistance and emergency repairs. The scope of protection can be customized according to your needs, and the coverage limits vary depending on the policy you choose.

Comparison and differences

Legal aspect: Traffic insurance is mandatory while comprehensive insurance is optional.

Scope of coverage: Traffic insurance covers damages to the other party only, while comprehensive insurance covers damages to your vehicle as well.

Coverage limits: Traffic insurance has fixed limits set by the state, while comprehensive insurance offers varying limits depending on the policy.

Canceling the policy: Comprehensive insurance can be cancelled more easily if you wish, unlike traffic insurance which requires certain conditions for cancellation.

Additional services: Comprehensive insurance provides broader additional coverage and more auxiliary services compared to traffic insurance.

By understanding these differences, vehicle owners can make more informed decisions regarding the type of insurance that is most suitable for them.

Can traffic insurance be cancelled? What are the cancellation conditions?

As with all types of insurance, traffic insurance is based on good faith. Therefore, both the insured and the insurance companies bear certain responsibilities. Failure to fulfill these responsibilities results in the right to cancel or terminate the traffic insurance.

It is the duty of drivers to accurately and completely convey the information provided when issuing the document. If the insurance company decides that the information provided by the insured is incorrect or incomplete, the traffic insurance will be canceled.

Another situation that makes the cancellation of traffic insurance legal is if there are changes during the insurance period. This change may occur due to both the insured and the insurance company. The important thing is that both parties inform each other of the situation.

Situations where the vehicle is totaled and the owner dies are also among the reasons for cancellation.

The most common situation in which traffic insurance cancellation occurs is the replacement of the vehicle, i.e. the sale of the vehicle. Traffic insurance is canceled when the owner of the insured vehicle changes. The license holder changes during the sale and purchase of the vehicle. Since the traffic insurance will be issued in the name of the license holder, the insurance must be canceled and a new document issued. The new owner of the vehicle must request a document issued in his name within 10 days.

Can comprehensive insurance be canceled and what are its conditions?

Car insurance purchased voluntarily can be canceled under certain conditions, and it is possible to cancel car insurance without stating a specific reason. Although it is not recommended to cancel unless it is necessary to maintain the car insurance guarantee, it is possible to cancel it. For example, when you purchase your car insurance and cancel it after one month, you will benefit from the monthly car insurance, but if your car is damaged in the remaining months, you may have to pay the expenses from your own budget.

Also, holders of traffic insurance, which is one of the types of insurance that vehicle owners must obtain, can cancel their policies when certain conditions are met.

What are the cases that require canceling a car insurance policy?

Cancellation of insurance in case of changing the vehicle owner

There are some cases that make it necessary to cancel the insurance policy. The first is changing the vehicle license holder. As is known, car insurance is an insurance that is in the name of the vehicle owner for a period of one year. You may want to sell or exchange your insured vehicle before the end of this period. However, when you sell your insured vehicle or change your vehicle, it is not possible to transfer your insurance.

Death of the vehicle owner

Another case that leads to cancellation of insurance is the death of the vehicle license holder. In the event of the death of the vehicle owner, the guarantees written in the policy are canceled and the heirs concerned are entitled to inherit the insurance. But one point should be noted here: In order for the insurance to be transferred to the heirs and continue, the heirs must apply to the company where the insurance was taken within 8 working days. Even if the heirs do not want the insurance to continue, the premium for the remaining insurance days is calculated in the same way and returned to the heirs.

Cancellation without reason

If you want to cancel your car insurance, you can apply to the insurance company or authorized agency by writing a petition to cancel the car insurance without any reason, and you can terminate your policy unilaterally. If the cancellation is as you wish, you can also get the insurance premium back.

Partial cancellation of insurance

In the event of partial cancellation, the remaining period of the policy is calculated and the amount is returned to the insurer.

Is the money refunded if the car insurance is cancelled?

If the car insurance is cancelled before the end of the one-year policy period, the premium for the remaining period will be refunded.