How Insurance Works
There is a multitude of different types of insurance policies available, and virtually any individual or business can find an insurance company willing to insure them—for a price. The most common types of personal insurance policies are auto, health, homeowners, and life. Most individuals in the United States have at least one of these types of insurance, and car insurance is required by law.
Insurance is a contract (policy) in which an insurer indemnifies another against losses from specific contingencies or perils.
There many types of insurance policies. Life, health, homeowners, and auto are the most common forms of insurance.
The core components that make up most insurance policies are the deductible, policy limit, and premium.
The maximum limit of the company's liability for one event for both physical damage (including blood money, bodily injuries damages and medical expenses) and material damages, shall not exceed together a total sum of SR 10,000,000 (ten million Saudi riyals) as a coverage liability limit
With regard to health insurance, people who have chronic health issues or need regular medical attention should look for policies with lower deductibles.
Though the annual premium is higher than a comparable policy with a higher deductible, less expensive access to medical care throughout the year may be worth the trade-off.
SANAD Private Motor Vehicle Third Party Liability Insurance Program
A program that covers third party legal liability resulting from motor accidents shouldered by the car owner or authorized driver according to the terms, conditions and exclusions set forth in the insurance policy.
SANAD cover includes :
Physical damage to third party
Physical damage to third party's property
In accordance with the terms and conditions contained in SANAD policy, compensation is effected throughout the duration of insurance policy against any damage to third party's property, physical injury and death or any legal costs. The estimated maximum cover value is SR 10,000,000.
SANAD Program Cover
Liability towards Third Party
In the event of an accident occurring during the policy effective period, involving indemnity for third party liability under the terms of this Policy, the maximum limits of the Company’s liability in respect of bodily injury (including blood money and the sums estimated for injuries and medical expenses) and in respect of property damage shall not exceed SR 10,000,000 (Saudi Riyal ten million) per any one occurrence.
Natural perils caused by hail and floods
SANAD cover can be extended to include the damage or loss sustained by insured car as a result of natural perils such as hail and flooding due to rains or floods, whether such damage arises out of one loss or several losses up to SR 20,000 for the duration of the whole policy validity.
The policy cover is extended against an additional contribution to include personal injury to the driver and passengers as a result of an incident in which the insured car is involved.
Advantages SANAD Program
The insured is provided with an Insurance Card and Bail Bond approved by the Traffic Police together with SANAD Insurance Policy to prevent the arrest or detainment of the driver causing the accident.
The insurance covers all types of cars without specifying their type or model.
The expansion of insurance cover to include the accidents caused by the insured vehicle even if the driver is not present at the accident time.
All authorized family members can use the insurance policy for one car.
The age restriction can be extended to include the drivers less than 21 years old.