Optional Civil Liability Insurance for Vehicles (RCF-V)

RCF-V – Optional Vehicle Civil Liability Insurance, is an optional insurance that can cover damages against third parties, thus preventing you from incurring losses due to the repair of another vehicle in a collision. See in this article how RCF coverage works.

When purchasing or renewing car insurance, many people have doubts about the coverage that is being provided by the insurance company.

This happens because coverage can vary greatly from one insurer to another.

Furthermore, there are countless possibilities to choose from among the optional coverages. Which can be interesting in different situations.

To help alleviate this doubt a little, today we will talk about RCF-V insurance, explaining how it works and why it is always interesting to have it, follow along.

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What is RCF-V?

Optional Vehicle Civil Liability (RCF-V) is optional insurance that aims to repair damages to third parties, which is why it is also known as third-party insurance.

It can be hired by individuals or companies looking for extra protection for their vehicles.

This coverage aims to cover the payment of judicial or extrajudicial compensation that the insurance company is obliged to pay to another person. It may be part of the coverage offered by the insurer included in the policy or contracted separately.

But in both cases it will cover collisions with cars other than the insured one.

Optional Vehicle Civil Liability Insurance Coverage

RCF-V (Optional Civil Liability Insurance) coverage can be basic or complete, with some additional options. These options can offer protection against:

• Materials damage: will repair the damage caused to the vehicle involved in the collision, such as repairs, maintenance and even compensation for total loss.
• Bodily damage: is related to physical injuries that the person suffers and that require medical care or hospitalization. In this case, the insurance company will cover the treatment, this coverage may also cover compensation in the event of the death of the other person involved.
• Permanent disability: pays compensation if the people involved suffer some type of injury that causes permanent disability.
• Civil and criminal defense: used to cover the costs of proceedings that may occur as a result of the accident, including legal costs and compensation for moral damages.

Care must be taken not to confuse Optional Vehicle Civil Liability with Passenger Personal Accident Insurance (APP), as this second option aims to serve passengers who are transported by the insured's vehicle and who suffer an accident.

Discover strategies to avoid getting bored with your car insurance 😉

Compensation values

The compensation amounts will vary according to what was contracted by the insured, generally speaking, insurance companies offer coverage starting at R$50,000.

However, as this coverage is not renewed during the term, it is worth considering a higher value.

Let's assume that you take out RCF insurance worth R$50,000 and are involved in an accident for which the repairs for the other vehicle cost R$48,000.

After that, you will only have R$2,000 to cover other possible accidents within the validity period of your contract.

In other words, if you are involved in a second accident and the repairs for the other car cost R$18,000, you will have to pay R$16,000 alone.

Remembering that, the most common thing is that the compensation amounts for material and bodily damages are greater than those for moral damages.

If the third party calls the insurance company to have the expenses paid, the amounts will be paid by the insurer directly to the service provider, such as hospitals or workshops, limited to the amount contracted by the insured.

Advantage of having RCF-V insurance

Taking out car insurance is very important to protect your vehicle, but it is important to consider that no one is safe from being involved in an accident, causing damage to third parties.

In these cases, RCF-V insurance (Vehicle Optional Civil Liability Insurance) can be very useful so that you are not forced to pay for vehicle repairs, or even pay medical costs, and possible compensation arising from Law Suit.

Does RCF-V coverage have a deductible?

It’s possible that at this point you’re thinking, “this coverage is really interesting, but it must have a really high deductible!”

If you thought that, know that no, optional vehicle liability coverage does not have a deductible.

That's right, if you are involved in an accident and claim the insurance to pay for the repairs on the other vehicle, proving that you were responsible for the accident, you will not pay any deductible for the RCF coverage to work.

You will only be subject to paying the deductible if your vehicle has faults and you claim the insurance to repair them.

Otherwise, there is nothing to worry about. However, if the expenses with the third party are greater than the amount contracted in your policy, in this case it will be your responsibility to pay the amount that exceeds the limit.

In what situations can I not count on RCF insurance?

As previously stated, RCF insurance covers damages caused to third parties, by the insured, without the need to pay a deductible.

However, there are some situations where this coverage is not valid. These situations are:

• Accident caused by reckless traffic: such as when the driver runs through a red light or enters the wrong lane;
• Accidents caused by the use of narcotic substances: such as driving while drunk or under the influence of illicit drugs;
• Accidents caused by criminal offenses: if the driver is committing an irregularity such as driving above the permitted speed, he or she may also lose the right to RCF insurance coverage;
• Intentional accidents: accidents caused on purpose are also not covered by insurance.

In short, if you commit reckless driving, drive drunk or even intentionally cause a traffic accident, the insurance will not cover the expenses related to the other vehicle.

What about DPVAT?

There are those who believe that RCF insurance is not necessary because of DPVAT – Personal Injury Insurance Caused by Motor Vehicles.

Mandatory insurance in Brazil that must be paid annually by all vehicle owners.

However, despite the DPVAT offering similar coverage to those involved in a traffic accident, whether they are another driver, a pedestrian or a cyclist. The coverages are not the same.

The main difference between them is in the compensation values, DPVAT has a compensation ceiling of around R$13 thousand, while RCF insurance has a minimum value of R$50 thousand.

In other words, even though DPVAT exists, it is worth having RCF-V insurance, especially as vehicles are becoming increasingly sophisticated and have more expensive spare parts and labor.

Furthermore, this is also an excellent way to drive with greater peace of mind, knowing that in the event of an accident you can count on protection not only for you or your car, but also for others involved.