What does the motor vehicle insurance premium depend on?
Seesam takes a personal approach to every customer while calculating the payment of motor vehicle insurance, taking into consideration the following factors:
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information about the policy holder (e.g., previous traffic behaviour, customer relations with Seesam);
- information about the vehicle (e.g. mark, model, age, power of engine);
- choice of insurance covers;
- amount of deductible.
What is the market value of the vehicle?
In case of a new vehicle, the market value equals the price at the shop, in case of a used car, it equals the current average selling price (market price) right before the loss occurred.
Why is the sum insured not indicated on the policy when a vehicle is insured?
The vehicle is insured in the amount of market value. According to that, every individual case of damage is indemnified based on the vehicle’s market value prior to the accident. All in all, the amount indemnified during the insurance period may exceed the vehicle’s market value prior to the loss event. As the insurance sum is not specified, in case of a loss event the customer does not have to worry, that the indemnification will not be received in sufficient amount.
Why is lease value insurance necessary?
The present value of a vehicle leased as new just a few years ago can today be worth thousands of euros less than the residual value indicated in the lease contract.
If the vehicle is destroyed or stolen, the insurance compensates for the vehicle’s market value, as common practice. If, however, the market value is lower than the residual value of the leasing, a person may find himself owing a large amount of money to the lessor. Lease value insurance compensates for the residual value of the leasing in case of full damage of the vehicle, if it exceeds the vehicle’s market value.
Does my car need lease value insurance?
Lease value insurance* is meant for those vehicles that meet all of the following conditions:
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the vehicle is a car or small truck in normal usage;
- the vehicle belongs to the lessor**;
- the vehicle is up to 7 years old;
- the residual value of the vehicle’s leasing can be insured up to EUR 32,000.
* Lease value stands only for the value of the vehicle according to the lease contract right before the moment the insured event takes place, not including any other possible monetary liabilities (e.g. lease payment in owing, interests, penalties, contractual expenses and payments) lessee may have towards lease company.
** The following lease companies active in Estonia are approved as lessors: Danske Bank A/S Estonian Branch, DnB Liising AS, Krediidipanga Liisingu AS, Nordea Finance Estonia AS, Pohjola Finance Estonia AS, SEB Liising AS, Swedbank Liising AS.