Unless you have notified the road traffic register that you are not using your car, you are required by law to have a traffic insurance policy.
Things to keep in mind
- There are different kinds of insurance policies.
- Unless you have notified the road traffic register that you are not using your car, you are required by law to have a traffic insurance policy.
- Before you purchase a policy, compare its coverage and premiums with others that are available. Both coverage and premiums differ from one insurance company to another.
- The policyholder must be the owner of the car.
- Read the terms of the policy carefully—contact the insurance company if there is something you do not understand.
- Compare various car insurance policies on the website of the Swedish Consumers' Insurance Bureau
If you do not sign a traffic insurance policy, you will be required to pay a charge to Swedish Motor Insurers. The charge is SEK 100 per day for as long as the car remains uninsured.
Which car insurance policy should you have?
Almost all new cars come with a three-year damage guarantee, so you do not need a comprehensive policy during that time. Keep in mind that directly imported cars do not come with a damage guarantee.
Once the guarantee expires, you should sign a comprehensive policy.
Depending on the value of the car, you may want to consider cutting back to partial coverage after a few years.
Assuming that the car is not worth very much, you might want to have traffic insurance only. One disadvantage is that you will not have the legal protection that partial coverage provides.
Compare insurance companies
The coverage and premiums associated with an insurance policy vary from one company to another. You can save up to several thousand kronor a year by comparing what different companies have to offer.
You are legally required to purchase traffic insurance for your car. The policy covers all personal injury, as well as damage to the property of others, for which you are responsible.
Partial coverage includes traffic, theft, fire, window, machinery breakdown, rescue and legal protection insurance. Damage insurance is not included.
A comprehensive policy includes partial coverage and damage insurance. Damage insurance covers your car during a traffic accident, as well as if a tree falls on it, etc. It also covers damage, such as scratches on the paint of your car, that somebody else causes.
Never list anybody else as the owner
Never list your mother, father or anyone else as the policyholder or owner of your car in order to save money on premiums. The insurance company may end up not paying a claim at all.
If you are not using your car
If you are not using your car and you have notified the road traffic register, you do not need any insurance.