Congratulations, You’re Buying a Car! Now Here’s What You Need to Know



If you are in the market to buy a car, congratulations! It is an exciting decision and one that takes time. Most likely, you’ve been saving up for this big purchase and have done some research on brands, safety features and pricing along the way.  Car insurance, like all forms of insurance, gives you peace of mind and protects you in the event of an accident.


The Transport Control Department (TCD) administers the operation of all motor vehicles in Bermuda. TCD requires that all vehicles be insured. Ultimately, car insurance is a protection to help you in the event of a car accident. Here’s what all car owners need to know about car insurance.

First, there are different levels of car insurance and you should select an insurance that is best suited to meet the needs of you and your family. Argus provides two levels of car insurance: Third Party Only and Comprehensive.

Third Party Only will cover your legal liability for injury or damage caused to another vehicle, property and/or person in the event of an accident. It does not cover any loss or damage to your own vehicle.  Third Party Only is the minimum insurance required by law. The standard Limit of Indemnity, or maximum amount Argus will pay for an individual claim, is five million dollars.

The Comprehensive insurance option offers more protection. It covers everything that the Third Party Only option offers plus it includes cover for loss of or accidental damage to your own vehicle.

Car premiums, what you must pay in order to obtain the insurance, are based on the main drivers and their past driving experience. If you are in the market for insurance, be sure to obtain a quote. To do so, you will need to provide information on the car and the drivers. You’ll need to know the type, age and value of the vehicle and you will be asked the age and driving experience of the main drivers.

To purchase car insurance, the same information above will be asked by your insurance provider. Argus, like most insurance companies, will provide you with an application form to initiate your insurance policy.

It is important to know that insurance is unique to the car and drivers who are listed in the policy. When buying a second-hand car, it is not possible for insurance to be transferred between the seller and the buyer of a vehicle. The buyer must arrange with an insurance company for new insurance. Be sure to abide by the rules of the road and to keep your insurance and vehicle license current.

If you are in a car accident, call the Bermuda Police at 911.  The police and ambulance will help you in the event of injury. Be sure to exchange contact information (names, email address, phone numbers) and insurance information             with all parties involved to assist in filing your insurance claim.

If you are looking to purchase a car or need to update your insurance, talk to the experts at Argus to learn about your options and to help protect your vehicle and your family.