Find out how popular car insurance works!

Owning your own vehicle is many people’s dream. Achieving this goal is an immense satisfaction and makes it possible to be more free in relation to your own mobility. Furthermore, purchasing a car also involves hiring a service to protect your assets against a series of accidents. As a result, popular auto insurance has become popular in recent years since its creation.

This service has become one of the sector’s main bets, as it offers several benefits to policyholders, all at great cost-benefit. Continue following and understand more about what this service is and its main benefits.

What is popular car insurance and how does it work?

Popular auto insurance was developed to serve as a more profitable option for outdated vehicles. Thanks to its low cost, it weighs up to 30% less on the consumer’s pocket, which makes its value one of the attractions used for those who will buy the idea.

The main point that makes its price so low is the possibility of using used car parts or even new generic items in the car repair process. One of the points that makes purchasing car insurance most expensive is precisely the price of the parts.

In some situations, such as minor collisions, insurers were forced to use new objects to replace damaged ones. The parts used by popular auto insurance must come from dismantling companies.

Still, some safety equipment, such as brakes, tires, shock absorbers and suspension, must be replaced with original items. There is even a system used to guarantee policyholders that the parts used as replacements are legal and in good condition.

One of the standards applied in this service states that the minimum coverage must meet the guarantee of vehicle compensation arising from collisions. This all makes purchasing this service a great attraction for users.

The reuse of parts that would have a different end, in addition to being used for replacement, helps reduce costs. Thus, those who would not be able to pay for insurance for their car now have the opportunity to count on a quality service.

What are the main coverages?

Popular car insurance coverage is not far behind the traditional service, working in a very similar way. They will vary according to the user’s needs, and may even include more than one in the same policy.

This gives you more freedom when deciding on a more basic or more complete service option. Among the coverages available for popular car insurance are: protection against collision, fire, theft and theft and 24-hour assistance .

There are other extra options that can be added, such as third-party damage and a spare car. The ideal is to find something that fits your budget and provides greater peace of mind about the integrity of your assets.

How does it differ from traditional insurance?

The main difference between popular auto insurance and traditional service is the use of used spare parts. As we mentioned, this aspect is what makes this option cheaper for the consumer. In the traditional option, the norm is to use new products to repair vehicles.

Another difference between the two types of insurance is the amount of compensation payments. As the popular option has more affordable values ​​for policyholders, there is also a difference in the act of compensation. In cases of theft or robbery, the insurance company pays according to what was stipulated in the policy to cover the loss.

What differs in this situation compared to traditional insurance is that here the amount corresponds to the value of the car according to the Fipe Table. Even so, in popular auto, the amount paid can correspond to between 80% and 90% of the total.

What are the requirements for hiring

Taking out popular car insurance can be carried out for any type of vehicle in the country. Despite its low cost, it includes cars with 0km or up to 25 years of use. The main objective of this service is to serve those who were not interested in a policy, due to its value. Therefore, there are not many restrictions that prevent users from subscribing to this service.

How does the use of dismantling parts make the service cheaper?

The big difference with this service is its low cost. With its premium, on average, up to 30% cheaper than the traditional option, it has been gaining prominence in the market. But how is this possible? The cost of replacing parts is one of the factors that weigh when pricing insurance.

Therefore, original and new parts end up costing much more than those from dismantled stores. This can make it even more expensive if the vehicle is more than 5 years old. The idea behind popular car insurance is precisely to reach those people who were not very interested or could not afford the costs of the traditional service.

This also includes users of older cars , which are often not included in insurance policies. As dismantling parts were generally discarded or recycled, the acquisition cost became much lower when hiring the service.

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