The optional vehicle insurance against accidental damage or vehicle theft can be found in the most insurance companies offer under the name of Casco Insurance. This type of policy complements the mandatory by law liability vehicle insurance, but it is not replacing it.
In the Casco insurance case, compensations are provided just for covering the damage produced to the insured vehicle, with the conditions that the vehicle to be compliant with the legal norms for vehicle registration and to belong to the person registered on the insurance policy. Selling or unregistering the vehicle would automatically imply the ceasing of the insurance policy validity, with the exception the unregistering implied by ending the leasing contracts.
Usually a vehicle is a valuable investment that we could not afford to replace it without unbalancing our budget. Not only the vehicle itself but also the maintenance and the repairing in case of damages produced could seriously affect our budget. Here is where the Casco insurance steps in by promising to cover the necessary amount is case of damages produced by accidents or even the vehicle theft.