6 Common types of car insurance that you need to know
08/04/2025
When driving a car, you not only need to pay attention to protecting yourself but also ensuring the safety of those around you. Therefore, understanding the types of car insurance is very important. In this article, we will learn about 6 types of car insurance that you need to know to make the right choice and protect your vehicle and property in the most optimal way.
Readers should note: The data and information in the article are compiled from general market sources and do not apply specifically to SeABank's products or services.
Insurance type
Object
Insurance coverage
Compensation level
Compulsory civil liability insurance
Owners of cars and motor vehicles participating in traffic in Vietnam.
Physical damage, life and property to third parties caused by motor vehicles.
Damage to the body and life of passengers under the contract of carriage.
- Human damage: Maximum 150 million VND/person/incident.
- Property damage: Maximum 50 million VND/case.
Voluntary civil liability insurance
Owners of motor vehicles or cars
Expanding the scope of compensation beyond mandatory insurance liability for damage to life, body and property of third parties.
Support for compensation of amounts exceeding the mandatory insurance level.
Cargo civil liability insurance
The owner of the transport vehicle and the goods on the vehicle
Damage to goods due to traffic accidents, fire, explosion, vehicle rollover or other risks during transportation.
Depending on the contract value, it is usually limited to the value of the actual damaged goods.
Car material insurance
The insurance policyholder's car
Vehicle damage do traffic accident, natural disaster, fire, theft or total loss of vehicle.
Compensation is based on the actual value of the vehicle (after depreciation).
Accident insurance for people sitting in the car
The driver and passengers sit in the car
Pay for medical expenses, hospital fees, or compensation in case of death due to traffic accidents.
From 10 million to 50 million VND/person/case.
Two-way car insurance (comprehensive)
Car owners have a need to protect their vehicles from physical damage
Damage caused by collision, traffic accident, natural disaster, fire, theft or other incidents due to driver error.
Compensate for repair costs, replacement parts or vehicle value if completely lost, depending on the insurance contract.
Car insurance is not only a legal requirement but also an important factor to help protect your property and safety when on the road. In the context of traffic accidents that can happen at any time, owning a suitable insurance policy will help you minimize financial risks.
Car insurance is an important factor in protecting your property and body on every trip.
Car insurance not only protects you from physical damage but also ensures the rights of yourself and your passengers in case of an accident. Furthermore, with many different types of insurance, choosing the right one will help you save costs and increase peace of mind when driving on all roads.
1. Civil liability insurance
1.1. Compulsory civil liability insurance
Compulsory civil liability insurance (CIT) is a type of insurance that every car owner must buy according to the law.
Object: Owners of cars and motor vehicles participating in traffic in Vietnam.
Insurance coverage
Non-contractual damage to body, life and property to third parties caused by motor vehicles;
Damage to the body and life of passengers under the passenger transport contract caused by motor vehicles;
Only applies to motor vehicle accidents occurring within the territory of Vietnam.
Compensation level
Human damage: Maximum 150 million VND/person/incident.
Property damage: Maximum 50 million VND/accident.
Note
This is a type of insurance required by law.
Must carry insurance certificate when participating in traffic to avoid fines.
Compulsory liability insurance is an obligation of car owners.
1.2. Voluntary civil liability insurance
This is advanced voluntary insurance, supporting the expansion of scope or compensation level compared to mandatory civil liability insurance.
Object: Owners of motor vehicles or cars
Insurance coverage
Non-contractual damage to life, body and property to third parties caused by motor vehicles.
Damage to the life and body of passengers under the passenger transportation contract caused by motor vehicles.
Compensation level
In case the car owner must compensate the victim in excess of the mandatory auto insurance liability, voluntary civil liability insurance will support compensation for the amount exceeding the mandatory insurance liability. Insurance benefits include:
1 - About people:
The car owner will be reimbursed for actual costs to overcome consequences for third parties that exceed the level of mandatory insurance liability according to regulations of the Ministry of Finance.
This amount will be calculated based on the voluntary liability level that the car owner has participated in the insurance contract.
2 - Regarding assets:
After the compulsory insurance has covered all liability, the insurance company will pay the difference in the amount the car owner compensated the person for damage.
This amount will be paid by insurance based on the amount of money the car owner has participated in voluntary civil liability insurance.
1.3. Cargo civil liability insurance
Cargo civil liability insurance is a type of insurance specifically for truck owners, helping to protect goods during the transportation process. When an incident occurs, this type of insurance will pay for damage to goods lost or damaged due to traffic accidents or unexpected risks.
Object: This insurance applies to the truck owner and the goods transported on the vehicle. Car owners need to ensure that their goods have enough insurance throughout the transportation journey.
Insurance coverage: This insurance covers damage to goods due to:
Traffic accident: Includes collisions, accidents or incidents during travel.
Fire and explosion: Loss or damage to goods due to fire or explosion during transportation.
Flip the car: Damage occurs when the vehicle overturns while moving, causing damage to the goods.
Other risks: Unforeseen incidents such as natural disasters or incidents from external factors can cause damage to goods.
Compensation level The level of compensation will be determined based on the value of the insurance contract and the actual value of the damaged goods. Normally, the compensation level is limited to the actual value of the goods, but does not exceed the insurance limit signed in the contract.
Cargo civil liability insurance is a type of insurance specifically for truck owners
2. Car physical insurance
Car physical insurance is a type of insurance that helps car owners protect their car from physical damage due to accidents, natural disasters or unforeseen incidents.
Object: This type of insurance applies to the policyholder's car, helping to protect the car against unexpected situations such as collision, fire, theft, or natural disasters.
Insurance coverage: Car physical insurance includes:
Damage caused by traffic accidents: Includes damage to vehicle body and mechanical parts due to collision during travel.
Natural disaster: Natural disasters such as storms, floods, and earthquakes cause physical damage to vehicles.
Fire: Vehicle damage due to explosion or fire.
Stolen, total car lost: If the vehicle is lost or cannot be recovered due to theft.
Compensation level Compensation will be calculated according to the actual value of the vehicle at the time the damage occurred, after depreciation. If the damage is to the entire vehicle (complete loss of the vehicle), the compensation level will be the value of the vehicle before the loss.
3. Accident insurance for vehicle occupants
This type of insurance helps protect the driver and passengers in the vehicle in the event of a traffic accident, paying for medical expenses and compensation in case of injury or death.
Object: Accident insurance for vehicle occupants includes the driver and all passengers in the vehicle, ensuring the rights of all traffic participants in the vehicle.
Insurance coverage:
This insurance will pay for medical or hospital expenses when the driver or passenger is injured in a traffic accident. Insurance will also compensate in case of death due to an accident that occurs during the travel process.
Compensation level:
Compensation for accident insurance usually ranges from 10 million VND to 50 million VND/person/case, depending on the severity of the accident and the terms of the insurance contract.
4. Two-way car insurance
Two-way car insurance, also known as comprehensive insurance, is a type of insurance that includes both civil liability insurance and vehicle physical insurance. This type of insurance provides comprehensive protection for your vehicle against risks, including accidents you cause and unforeseen incidents.
Object: Two-way car insurance applies to all car owners who need to protect their vehicles from physical damage, including personal, business or organizational vehicles.
Scope: The coverage of two-way car insurance is very wide, including:
Damage caused by collisions, traffic accidents, or external impacts such as flying rocks and falling trees.
Damage caused by natural disasters such as storms, floods, or earthquakes.
Stolen or damaged by theft.
Other incidents were due to driver error or unknown causes.
Compensation level: The compensation level of two-way car insurance depends on the value of the car, the level of damage and the terms of the insurance contract. Usually, the compensation level will include the cost of repairing the vehicle, replacing damaged parts, or even the value of the vehicle in case of complete loss. However, the amount of compensation may be limited if the damage does not exceed the pre-agreed insurance value.
The compensation level of two-way car insurance depends on the value of the car, the level of damage and the terms of the contract.
Car civil liability insurance costs
BAutomobile civil liability insurance is regulated by law at a single general level according to current law. As for other types of extended car insurance, the insurance premium will be calculated according to the specific value of the car.
Below is a summary table of compulsory Civil Liability Insurance fees for each subject:
Numerical order
Vehicle type
Insurance fee (VND/year) - VAT not included
I.
Cars are not in the transportation business
1
Vehicles with less than 6 seats
437.000
2
Vehicles from 6 to 12 seats
794.000
3
Vehicles from 12 to 24 seats
1.270.000
4
Vehicles with over 24 seats
1.825.000
5
The vehicle carries both people and goods
437.000
II.
Cars for transportation business
1
Under 6 seats according to registration
756.000
2
6 seats according to registration
929.000
3
7 seats according to registration
1.080.000
4
8 seats according to registration
1.253.000
5
9 seats according to registration
1.404.000
6
10 seats according to registration
1.512.000
7
11 seats according to registration
1.656.000
8
12 seats according to registration
1.822.000
9
13 seats according to registration
2.049.000
10
14 seats according to registration
2.221.000
11
15 seats by registration
2.394.000
12
16 seats according to registration
3.054.000
13
17 seats according to registration
2.718.000
14
18 seats according to registration
2.869.000
15
19 seats according to registration
3.041.000
16
20 seats by registration
3.191.000
17
21 seats according to registration
3.364.000
18
22 seats according to registration
3.515.000
19
23 seats according to registration
3.688.000
20
24 seats according to registration
4.632.000
21
25 seats by registration
4.813.000
22
26 seats according to registration
4.843.000
23
27 seats according to registration
4.873.000
24
28 seats according to registration
4.903.000
25
29 seats according to registration
4.933.000
26
30 seats by registration
4.963.000
27
31 seats according to registration
4.993.000
28
32 seats according to registration
5.023.000
29
33 seats according to registration
5.053.000
30
34 seats according to registration
5.083.000
31
35 seats by registration
5.113.000
32
36 seats according to registration
5.143.000
33
37 seats according to registration
5.173.000
34
38 seats according to registration
5.203.000
35
39 seats according to registration
5.233.000
36
40 seats by registration
5.263.000
37
41 seats according to registration
5.293.000
38
42 seats according to registration
5.323.000
39
43 seats according to registration
5.353.000
40
44 seats according to registration
5.383.000
41
45 seats by registration
5.413.000
42
46 seats according to registration
5.443.000
43
47 seats according to registration
5.473.000
44
48 seats according to registration
5.503.000
45
49 seats according to registration
5.533.000
46
50 seats by registration
5.563.000
47
51 seats according to registration
5.593.000
48
52 seats according to registration
5.623.000
49
53 seats according to registration
5.653.000
50
54 seats according to registration
5.683.000
III.
Cargo cars (trucks)
1
Under 3 tons
853.000
2
From 3 to 8 tons
1.660.000
3
Over 8 to 15 tons
2.746.000
4
Over 15 tons
3.200.000
IV.
FEE SCHEDULE IN CERTAIN OTHER CASES
1.
Driving practice car
Calculated by 120% of the fee for vehicles of the same type specified in Sections III and V.
2.
Taxi
Calculated by 100% of the business vehicle fee with the number of seats specified in section IV.
3.
Specialized cars
The insurance premium for an ambulance is calculated at 120% of the insurance premium for a pickup truck.
The insurance fee for a vehicle carrying money is calculated at 120% of the insurance fee for a vehicle with less than 6 seats specified in section III.
Insurance premiums for other specialized vehicles are calculated at 120% of insurance premiums for cargo vehicles with the same tonnage specified in section V.
4.
Trailer tractor
Calculated by 150% of the fee for vehicles with a tonnage over 15 tons. The insurance fee for a tractor-trailer is the cost of both the tractor and trailer
55.
Bus
Calculated by the insurance premium of a non-transportation vehicle with the number of seats specified in section III.
Above, we have shared in detail all the information about car insurance that you need to know. Hope you have found useful information and have safe journeys. Don't forget to update news about loan, credit, savings and insurance services at SeABank because there will always be many interesting things waiting for you!
SeABank (Southeast Asia Commercial Joint Stock Bank) is one of the long-standing reputable banks in Vietnam, providing diverse and convenient financial services to individual and business customers. In particular, currently, SeABank is cooperating to provide insurance services Car material with extremely competitive fees, high insurance value and a nationwide customer care system, promising to satisfy all customers.
Come to SeABank today to experience attractive insurance services, helping you realize all your plans in life.of!
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Address: BRG Building, 198 Tran Quang Khai, Ly Thai To Ward, Hoan Kiem District, Hanoi
