Free car insurance first year

[mantu]

Is this usually provided free of charge with new car purchases (with/without financing) when buying from one of the big Japanese dealerships?

[ThaiBob]

That has been my experience, although a friend was interested in the new Honda Civic and was told free insurance for all Honda models except that one.

[IMHO]

Depends on the campaign being offered/accepted and/or negotiating skills.

For models in high demand, it's not a gimme.

[canopus1969]

No such thing as free !

[transam]

When I bought my ride I got 21,000 knocked off the price tag but nooo free insurance, the 21,000 paid for the insurance.

[Totster]

Be careful that the 'free' insurance gives you adequate cover. A lot of the time it's not first class insurance that is being offered.

totster

[Thailaw]

When I bought my ride I got 21,000 knocked off the price tag but nooo free insurance, the 21,000 paid for the insurance.

It is simply a price discount, but one which the manufacturer/dealer can "leverage", as it costs them less for the insurance than it would cost the car buyer. Often times, the insurance is offered through a "controlled/affiliated", but in most cases very strong, insurance company. Also, for the average Thai that will finance the car and may struggle to come up with the down payment for the car, it allows them to build in the cost of insurance into the price of the car and financing, so that they do not need to come up with the 1st year's insurance in addition to the down payment (note that, on a B500k car, a price reduction of B21,000 only reduces the down payment (assuming 20% down in each case) by B4,200 (the amount financed goes down by the balance), hardly enough to pay for insurance). And all car finance companies require that the car be insured. So, it is a very popular promotion on slower moving vehicles or one's where there is exess supply. On new models, such as the new City which has just been released, there is no price discount offered and no free insurance. However, Honda has plenty of the old model City laying around, so if you are willing to take one of those, they will throw in free insurance plus a price discount, with a total reduction of B80k to B100k on the car and immediate delivery (why anyone would buy the old model after the new model is available for only a B100k discount is beyond me, but TEHO).

One does, however, need to be careful, as the terms of the "free" insurance are standard, non-negotiable, and may not be/are not as good as are available in the insurance market, and not as good as many foreign buyers may want. Personal injury per person per accident, as I recall, is limited to B100,000 (about $3,000) on many/all such "free" policies, which may be grossly inadequate in the view of many. But getting the personal injury coverage above B300,000 in the insurance market is difficult in any event. TIT....

Edited May 19, 2014 by Thailaw

[transam]

Think I paid 850,000 after discount, they showed me various insurance options (companies), I chose the one I wanted which cost the same as my discount.

[Thailaw]

Be careful that the 'free' insurance gives you adequate cover. A lot of the time it's not first class insurance that is being offered.

totster

From the major Japanese manufacturers selling cars in Thailand, the "free" insurance is always (I hesitiate to use this word in Thaiand, but in this case, I am pretty sure that it is correct) "first class" insurance, meaning that it provides coverage for damage to the insured's car and passengers in accidents that are determined to be the insured car owner's fault and for fire and theft of the insured vehicle. But, as I noted, the limits of coverage may be "stingy" and less than many new car buyers are comfortable with and may not be sufficient to replace the car if it is stolen. So, it does pay to be careful and know what you are getting with the 'free" insurance at the time of the car purchase.

[Totster]

Be careful that the 'free' insurance gives you adequate cover. A lot of the time it's not first class insurance that is being offered.

totster

From the major Japanese manufacturers selling cars in Thailand, the "free" insurance is always (I hesitiate to use this word in Thaiand, but in this case, I am pretty sure that it is correct) "first class" insurance, meaning that it provides coverage for damage to the insured's car and passengers in accidents that are determined to be the insured car owner's fault and for fire and theft of the insured vehicle. But, as I noted, the limits of coverage may be "stingy" and less than many new car buyers are comfortable with and may not be sufficient to replace the car if it is stolen. So, it does pay to be careful and know what you are getting with the 'free" insurance at the time of the car purchase.

When I bought my car, the actual insurance being offered was second class, this was from a main Toyota dealer. I am not alone, it is well known that this is a common pitfall when taking the 'free' insurance.

totster

[stevenl]

Be careful that the 'free' insurance gives you adequate cover. A lot of the time it's not first class insurance that is being offered.

totster

From the major Japanese manufacturers selling cars in Thailand, the "free" insurance is always (I hesitiate to use this word in Thaiand, but in this case, I am pretty sure that it is correct) "first class" insurance, meaning that it provides coverage for damage to the insured's car and passengers in accidents that are determined to be the insured car owner's fault and for fire and theft of the insured vehicle. But, as I noted, the limits of coverage may be "stingy" and less than many new car buyers are comfortable with and may not be sufficient to replace the car if it is stolen. So, it does pay to be careful and know what you are getting with the 'free" insurance at the time of the car purchase.

When I bought my car, the actual insurance being offered was second class, this was from a main Toyota dealer. I am not alone, it is well known that this is a common pitfall when taking the 'free' insurance.

totster

Many things are well known, only a few of them are true.

And this is IMO not one of them. It would also not make sense to the finance company, since a more limited insurance (like second class is compared to first class) would leave them much more exposed to being left with the full finance amount uncovered.

[Totster]

Be careful that the 'free' insurance gives you adequate cover. A lot of the time it's not first class insurance that is being offered.

totster

From the major Japanese manufacturers selling cars in Thailand, the "free" insurance is always (I hesitiate to use this word in Thaiand, but in this case, I am pretty sure that it is correct) "first class" insurance, meaning that it provides coverage for damage to the insured's car and passengers in accidents that are determined to be the insured car owner's fault and for fire and theft of the insured vehicle. But, as I noted, the limits of coverage may be "stingy" and less than many new car buyers are comfortable with and may not be sufficient to replace the car if it is stolen. So, it does pay to be careful and know what you are getting with the 'free" insurance at the time of the car purchase.

When I bought my car, the actual insurance being offered was second class, this was from a main Toyota dealer. I am not alone, it is well known that this is a common pitfall when taking the 'free' insurance.

totster

Many things are well known, only a few of them are true.

And this is IMO not one of them. It would also not make sense to the finance company, since a more limited insurance (like second class is compared to first class) would leave them much more exposed to being left with the full finance amount uncovered.

Your opinion is just that.. an opinion. I have first hand experience in this matter and therefore can confirm that it happens.

In any case, whether you agree/believe is irrelevant, I think we all agree it's best to check the cover that is being offered for 'free' to ensure the cover is adequate.

totster

[Thailaw]

When I bought my car, the actual insurance being offered was second class, this was from a main Toyota dealer. I am not alone, it is well known that this is a common pitfall when taking the 'free' insurance.

totster

Many things are well known, only a few of them are true.

And this is IMO not one of them. It would also not make sense to the finance company, since a more limited insurance (like second class is compared to first class) would leave them much more exposed to being left with the full finance amount uncovered.

Your opinion is just that.. an opinion. I have first hand experience in this matter and therefore can confirm that it happens.

In any case, whether you agree/believe is irrelevant, I think we all agree it's best to check the cover that is being offered for 'free' to ensure the cover is adequate.

totster

Please provide the name and address of the Toyota dealer that provided you with "second class" insurance on a new car purchase, and the model of the car and the approximate date of the car purchase, so that your claim can be confirmed/refuted.

[Totster]

Please provide the name and address of the Toyota dealer that provided you with "second class" insurance on a new car purchase, and the model of the car and the approximate date of the car purchase, so that your claim can be confirmed/refuted.

5555555555

I couldn't care less if my claim is confirmed or refuted by you !

totster

Edited May 19, 2014 by Totster

[stevenl]

Please provide the name and address of the Toyota dealer that provided you with "second class" insurance on a new car purchase, and the model of the car and the approximate date of the car purchase, so that your claim can be confirmed/refuted.

5555555555

I couldn't care less if my claim is confirmed or refuted by you !

totster

No, why would you care about giving correct info on the forum.

[Totster]

Please provide the name and address of the Toyota dealer that provided you with "second class" insurance on a new car purchase, and the model of the car and the approximate date of the car purchase, so that your claim can be confirmed/refuted.

5555555555

I couldn't care less if my claim is confirmed or refuted by you !

totster

No, why would you care about giving correct info on the forum.

Indeed! I would rather someone check for any eventuality than dismiss another persons first hand experience.

totster

Edited May 19, 2014 by Totster

[ThaiBob]

I have purchased Hondas and Toyotas here in Thailand for the last three years and I also take my friends to the dealerships here in the Pattaya area. In all cases "free" first class insurance was offered along with other "freebies". Usually every model has certain amount of discount or "freebies" built into the price. As mentioned, the new midyear Honda Civic 2014 had no free insurance but the usual free floor mats, tint, license plate holder, etc. All other models had free insurance. Perhaps out in the boonies where profit margins and incentives are less, no free car insurance is offered.

[chris2004]

That has been my experience, although a friend was interested in the new Honda Civic and was told free insurance for all Honda models except that one.

Honda refused my request for free insurance on a new Amaze. They didn't get the order.

[Thailaw]

I have purchased Hondas and Toyotas here in Thailand for the last three years and I also take my friends to the dealerships here in the Pattaya area. In all cases "free" first class insurance was offered along with other "freebies". Usually every model has certain amount of discount or "freebies" built into the price. As mentioned, the new midyear Honda Civic 2014 had no free insurance but the usual free floor mats, tint, license plate holder, etc. All other models had free insurance. Perhaps out in the boonies where profit margins and incentives are less, no free car insurance is offered.

You and your friends obviously have not purchased a new car model within the first 3 to 6 months of the introduction of that new model. There is seldom or ever "free" insurance on a new car model from the Japanese "big 3"car makers, be it Toyota, Honda or Nissan. There is no "free insurance" on the new Honda City recently introduced and there was no "free" insurance on the New Civic when it was first introduced; not sure what the situation is now. The same is/was true on the new Vios and the new Corolla/Altis. But, no doubt, when "free" insurance is offered, it is "first class" insurance.

[ThaiBob]

I have purchased Hondas and Toyotas here in Thailand for the last three years and I also take my friends to the dealerships here in the Pattaya area. In all cases "free" first class insurance was offered along with other "freebies". Usually every model has certain amount of discount or "freebies" built into the price. As mentioned, the new midyear Honda Civic 2014 had no free insurance but the usual free floor mats, tint, license plate holder, etc. All other models had free insurance. Perhaps out in the boonies where profit margins and incentives are less, no free car insurance is offered.

You and your friends obviously have not purchased a new car model within the first 3 to 6 months of the introduction of that new model. There is seldom or ever "free" insurance on a new car model from the Japanese "big 3"car makers, be it Toyota, Honda or Nissan. There is no "free insurance" on the new Honda City recently introduced and there was no "free" insurance on the New Civic when it was first introduced; not sure what the situation is now. The same is/was true on the new Vios and the new Corolla/Altis. But, no doubt, when "free" insurance is offered, it is "first class" insurance.

I agree and my example on the new midyear Civic illustrates this. The new model had alloys, push start and backup camera for almost the same price as the older model standing right next to it. No free insurance on the new model. At Toyota, there was free insurance on everything (including the new Yaris and Vios) except the new Altis.

[Rdrokit]

First thing is you have to ask for it or usually it wont be provided. I just bought (last week) and new top spec Mazda 3 and put 30% down and asked for free insurance (plus other free accessories) and I got everything I asked for. It is "1st class" insurance as the finance company wants a guarantee they would get their money if the car was totaled.

Now I also looked at a Chevy Cruze and if I wanted free insurance the finance rate would be 3.1% and without the free insurance it would be 2.8%. At the Mazda dealer it was just one flat rate no matter what.

[Toany]

But once you have bought your Mazda, you will learn how bad support from Mazda Thailand is. Mazda Thailand will not answer questions directly and will tell you to ask a dealer. (Who, in my case, does not speak English).

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[Rdrokit]

But once you have bought your Mazda, you will learn how bad support from Mazda Thailand is. Mazda Thailand will not answer questions directly and will tell you to ask a dealer. (Who, in my case, does not speak English).

Sent from my iPad using ThaiVisa app

I guess I am lucky or you are unlucky as there are at least 2 people in the Korat Mazda dealership that speak English.