How Much Car Insurance Do You Really Need?

Chris NAsh
Chris NAsh 25.09.2020

You probably know that driving a vehicle in Trinidad and Tobago requires you to have third-party car insurance at the bare minimum. That type of policy will cover your financial responsibility should you cause an accident resulting in property damage or bodily injury. This minimum requirement is sensible and a good institution to have.

Of course, you also know that most drivers like to have even more insurance on their vehicles. This is primarily for the convenience and peace of mind, should an accident ever befall them.

Insurance providers are always willing to sell you the biggest and best insurance plans, but drivers need to strike a balance with their car insurance. They need sufficient insurance to cover unexpected events on the road while also keeping those insurance costs within their current budgets.

At Shyft, we help drivers to compare car insurance in Trinidad, but how can you tell how much car insurance you really need? We explain below.

Major Insurance Types in Trinidad and Tobago

To answer the question of how much car insurance you really need, we will first briefly address the major types of car insurance available in Trinidad and Tobago.

Third Party

To drive in Trinidad and Tobago, the minimum coverage required is a third-party insurance policy. This kind of policy will cover you if you cause an accident and damage or destroy someone’s vehicle or other property. Third-party insurance also covers your responsibility to anyone you physically injure in an accident.

Third Party Fire and Theft

Next are the third-party fire and theft policies. These cover everything that standard third-party policies cover but add in coverage for vehicle damage done by fire and theft. That means you will be covered if fire destroys your vehicle, or if it is damaged while being broken into, or if it is stolen entirely.


The most thorough type of car insurance is comprehensive. This includes the two previously mentioned coverages plus coverage for scenarios such as: fire damage done to your garage, medical bills due to people in your car getting injured, and loss of personal effects inside your car at the time of the damage.

Miscellaneous Coverages

Depending on your insurance provider, you may also be able to get car insurance for damage resulting from floods, volcanic eruptions, earthquakes, riots, and strikes. You can also get a windscreen damage policy meant specifically for your vehicle’s windshield.

How to Know What Coverage Level You Need

Now that we have briefly reviewed the types of car insurance available to you in Trinidad and Tobago, you are probably left wondering the question of this article: how much car insurance do you really need?

That answer ultimately comes down to you. First, you need to consider the insurance rates that insurance companies in Trinidad are offering you. Providers base their rates on your level of financial risk: essentially, your age, your driving record, where you live, etc. Knowing the prices of various insurance policies can help you plan to make a purchase.

Then, you should think about the amount of risk you want to take on for yourself. Yes, third-party insurance is the minimum amount of car insurance required by law, but is it enough for you? It covers only what you owe to others should your vehicle damage their property or injure them.

If fire and theft concern you, as well, and you would like to know that an insurance policy will be there to protect your financial investment in your vehicle, then a third-party fire and theft policy is for you.

Comprehensive insurance is the most expensive type of policy you can buy, but think of the rewards. The primary benefit to you is that you will be covered for damage done to your vehicle in any type of accident. Comprehensive policies give people peace of mind, since they know that they have a safety net under them should any hazards arise on the road.

You always want to be covered in the event of an accident, but it is possible to be overinsured, as well. If you are driving a newer car that you would want to repair following a crash, then it would behoove you to purchase a comprehensive policy. If your go-to vehicle is an older one that isn’t worth much and that you would not repair or replace after an accident, then perhaps third-party only is the policy that suits you best.

You can see that this all comes down to you, your finances, and how you want to go about protecting your assets. Get just enough insurance to cover your risk, and no more, and you should strike the right balance.

Compare Insurance Quotes and Save with Shyft

Shyft is here to help drivers who are looking for car insurance for the first time or who just need a switch to a new provider for better rates.

Our comparison software lets you see and compare all available quotes instantly. Those looking for car insurance in Trinidad can find quotes from across the Caribbean in just a few clicks.

Compare and save on your car insurance today with Shyft.