Problems related to cars involved in various accidents on the roads of the country and abroad are becoming more and more common, unfortunately, and this causes car owners to take all safety measures in order not to have to pay huge sums out of their own pockets . Fortunately, there is a mandatory solution to this problem, namely the RCA policy. Unfinished, it could result in hefty fines for the owner and financial loss in the event of an accident. However, this insurance fails to cover all situations that may arise, so another policy, CASCO, has become a necessity for car owners. Both insurances are important, offering numerous benefits.

In the article below you will discover the difference between RCA and CASCO, what particularities can be observed in each, how to choose the right car insurance, what are the advantages of RCA and CASCO. In addition, you will find numerous tips and recommendations from specialists regarding the conclusion of these car insurances.

1. The difference between RCA and CASCO

Car insurance is that contract concluded between the insured and the insurance company, its purpose being financial protection in the event of an accident. Before taking out a car policy it is advisable to do a little research on it in order to gather all the necessary information. There are two car insurances on the Romanian market: RCA and CASCO.

RCA insurance is mandatory by law, covering damages caused to third parties, and CASCO insurance covers damages related to damage to the insured’s car, being optional. Another difference is related to the fact that in the case of not concluding the first policy, the car owner will be penalized, while in the case of not concluding the CASCO insurance, nothing will happen in this regard, since it is not mandatory.

It should also be mentioned that the RCA is granted to all vehicles, without the need for a risk inspection (however, there is an obligation for most cars to carry out the ITP every 1-2 years, otherwise they will not be able to drive on public roads) , while CASCO obliges the owner to carry out the risk inspection and can only be obtained by those cars that tick at least the minimum conditions. The car must not already be damaged as it will not be insured.

1.1. RCA

RCA is the basic policy to protect the car, required by the legislation in force. If the insured is guilty of causing an accident, the insurance company will be contacted within 48 hours, with the expert assessing and appraising the damage. It is important that the insured meets the conditions of this policy, otherwise the damages will not be covered. For example, he must not have driven under the influence of alcohol or drugs. Another situation in which the RCA will not be able to be used is when the driver had an accident while committing a crime (passed the red light, did not yield the right of way to the other car, etc.). It may also happen that the driver does not have a driver’s license or drives a stolen car, in which cases the RCA will also not be able to be used.

If the driver is caught in traffic without RCA, the following measures will be taken:

• fine;
• picking up the car ticket;
• supporting car damage in the event of an accident;
• retention of registration plates by the authorized bodies.

1.2. CASCO

CASCO insurance is an optional insurance, which the car owner is not obliged to take out, but which can bring with it numerous advantages, worth remembering. Based on it, the insurer pays compensation for accidental damage (partial or total) or for car theft (partial or total). Its conditions may differ depending on the insurance companies. This type of insurance is ideal for those who bought a new car, but also for people who already have a car that is several years old. A disadvantage can be considered its higher price compared to that of the RCA policy, which causes some drivers not to consider it.

There is a situation where CASCO becomes mandatory, when it is a lease purchase, the policy becoming necessary for the duration of the contract. This insurance can be a basic one, to which additional services can be added, related to the coverage of damages caused by theft, vandalism, collision, scratching, overturning, damage during traffic, etc. CASCO pays compensation to the insured, regardless of whether or not the damage was caused by their vehicle.

2. Choosing the right car insurance – RCA vs CASCO

RCA is mandatory concluded according to the law, but CASCO may or may not be concluded depending on the owner’s needs, his budget, the age of the car, etc. If the RCA policy cannot be chosen, because it is mandatory, CASCO comes with an offer that cannot be refused, that of perfectly complementing the car owner’s insurance needs. In the absence of the RCA, the driver will have to pay both the fine and other penalties imposed by the competent bodies, as well as the damages caused to the others involved in the accident. To get the best price for RCA insurance you can consult the offers on the market, existing insurance companies offering policies at lower or higher prices. The additional choice of a auto CASCO insurance is extremely important, because the personal car and the budget they will be completely safe with her help.

2.1. The advantages of RCA

The advantages of concluding an RCA insurance are numerous, among them are the ones specified below:

• receiving the necessary support quickly in case of a serious accident (some insurance companies specify that the problem is solved within 48 hours);
• if a risk covered by RCA occurs, you can opt for the repair of your own vehicle by optionally concluding the direct settlement clause, which means that you will receive compensation for material damages (including write-off costs and registration, stamp duties, transport costs), for costs related to bringing the car to the state before the event in question, for damages representing the consequence of the lack of use of the damaged car (even its temporary replacement), for court costs incurred by the person which was prejudiced);
• RCA insures bodily injury or death, property damage, court costs and damage representing the impossibility of using the damaged car;
• the policy conclusion period is 6-12 months, but it can also be taken for one month, provided that the owner of the car has provisional numbers and a provisional driving certificate;</li li>
• includes the Green Card document, which covers damage caused to third parties by vehicle accidents outside the country;
• to obtain the RCA there is no need to carry out a risk inspection;
• RCA can also be concluded online, the insured saving time and money in this way;
• RCA price may vary, drivers can choose cheaper or more expensive options, depending on their wishes.

2.2. Advantages of CASCO

CASCO insurance comes bundled with numerous advantages for car owners, perfectly complementing the RCA:

• offers extra safety and confidence to drivers;
• covers damage to your own car, not just damage to third parties;
• can be completed by any car owner (there is an age limit for cars, generally 12 years);
• bears the costs of damages regardless of whether or not the driver is at fault for the accident;
• the risks covered by this policy are numerous: damages, acts of vandalism, natural phenomena, theft (partial or total, even attempted theft);
• can be valid outside the country;
• there are also full CASCO insurances, which are not concluded by all companies, covering any type of damage.

3. Advice and recommendations of specialists on the conclusion of RCA and CASCO

Taking out car insurance, regardless of its type, is important because it protects the car owner financially, and in the case of RCA, protects him from harsh penalties. Specialists give some advice and recommendations to everyone who has questions about this topic:

• RCA insurance can be concluded with any insurance company authorized in this regard or through an authorized insurance broker;
• The validity of RCA insurance can be checked by consulting the database available to car owners or by a simple phone call to the insurance company or the broker where the policy was taken out;</li li>
• RCA protects the owner only on Romanian territory, when the accident occurred through his fault. For coverage outside the country, an additional policy is needed, the Green Card, which is automatically issued at the end of the RCA, since 2007 (however, the countries where this is valid must be checked);
• The RCA policy can be concluded for a period of validity between one month and 12 months;
• In the event of an accident with another vehicle, it is important that the driver calls the Police (unless two cars are involved in the event and there are no bodily injuries) and the insurer to receive the information who needs If the event resulted in bodily injuries or more than two cars were involved in the accident, then the Police will be called immediately and the cars involved will not move;
• If the car was hit by another car, the latter not having RCA, the innocent owner will contact BAAR (Automotive Insurers Bureau of Romania). BAAR will cover the repair costs of the innocent driver’s car and hospital expenses, if applicable, and then recover these amounts from the guilty party;
• The price paid for optional CASCO insurance is higher than for RCA, but the benefits are commensurate in the event of an accident. CASCO should be seen as a necessity, not a fad, because the future is unpredictable and you never know what can happen. Thus, the car owner will be insured and will always feel completely safe;
• The price of a CASCO policy can take into account certain factors, such as the age of the driver and the years of experience he has behind the wheel, the cost of the deductible, the number of accidents he has at active driver, the number of risks borne by the insurer;
• The coverage of a CASCO policy is very high. A good example of this is when the owner finds his car hit in the parking lot. This insurance basically helps him to restore it to its original condition;
• Also, it can be mentioned that the amounts insured by the RCA policy are fixed by law, but for CASCO they are determined according to the value of the car on the market;
• The value of an RCA policy can depend on the cylinder capacity, engine power, car make, model, year of manufacture, age of the owner, address in the slip, on the data it has regarding the accidents carried out . For example, a 30-year-old person living in the city who has a car with a 1596 cc engine, manufactured in 2008, will pay more than another person who is 50 years old and has the same car;
• An important tip for owners of expensive cars is to also take out a CASCO policy, as this will reduce financial obligations in the event of an accident;
• It is also good to know that some insurance companies may have stipulated in the contract that in certain situations, when the damage occurred under certain circumstances, not to pay the damage caused. A clear example of this is when the driver left the car unlocked;
• The information provided to the insurer when taking out the policy must be true, otherwise the insurer may detect an attempt to defraud and cancel the insurance;
• Before signing the policy, the insured must carefully read all the data and information contained in it, to check if it corresponds to his needs, avoiding the problems that could arise when submit an accident claim later.

In conclusion, both types of insurance must be taken out in order to gain peace of mind and confidence in traffic. Damages, regardless of their nature, will be paid by the insurance company, so everything will be fine financially.

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