Car Insurance

Get a cover against damage or theft of your four-wheeler with the right car insurance. On Bajaj Markets, you can compare policies and get one starting at just ₹2,094/yr. With the right plan, you can get expensive parts replaced or repaired more affordably.

 

Since third-party insurance is mandatory as per the Motor Vehicles Act of 1988, waste no time in choosing the right policy. To get additional benefits during accidents or disasters, go for a comprehensive insurance plan.

There are several car insurance providers you can choose from, each offering unique features. Instant settlements of your claims, 24x7 assistance and cashless services in garages across the country are some features to look for. 

 

Here is an overview of some of the best options that include such benefits:

Disclaimer: The above-mentioned details are indicative and subject to change as per the insurance provider’s latest updates.

Getting insurance is simple once you have finalised the insurer and the policy. To get your car insurance policy online, follow these steps:

• Navigate to the ‘Car Insurance Premium Calculator’ page.

• Fill in your mobile number, vehicle type, make and model of your insured car, car number, and registration date. 

• Choose the type of insurance policy you want to purchase. You can also choose the add-on covers. 

• Fill in your details like your name, email ID, date of birth, residential address, etc. to proceed.

• Enter your car’s engine and chassis number.

• Enter the details of your previous car insurance policy, if any

• Cross-check all the details you have entered.

• Choose a suitable payment facility to safeguard your vehicle with car insurance.

 

You will receive your policy document soon.

While you have both options at your disposal, you may enjoy greater convenience via the online route. Here is a detailed look into what both modes entail.

 

With the online mode, you can:

• Get the policy conveniently, at any place and at any time

• The process is transparent

• Complete the process with minimal paperwork and upload them online 

• Carry out research easily and compare options to make an informed decision

• Connect with the customer support team at any time

 

With the offline mode, you will have to:

• Visit the insurer’s office with hard copies of the required documents

• Pay marginally higher costs as the operational costs may be higher 

• Bear the risk of less transparency

• Connect with agents or the customer support team only during stipulated hours

 

It is no wonder that choosing to get/renew your car insurance policy online is considered both easier and quicker. However, ensure that you choose the right insurance provider and policy.

Here is what you need to know about the three options you have under four-wheeler insurance:

• Third-Party Insurance

This is among the most common options, primarily because having a third-party cover is compulsory. Under it, the insurer will cover the costs only for the third-party damages, be it related to a person, property or vehicle. The cost of the injuries and damages to you and your car are not covered. 

• Standalone Own Damage Cover

With this policy, you get coverage for the damages sustained to your car only. You can get this with a third-party cover for broader protection from natural or man-made calamities, theft, and accidents. 

• Comprehensive Cover

This is a mix of third-party insurance and a standalone own damage policy as it covers both you and the third party. It can thus cost more than the other options. However, since it offers the most enhanced coverage, it is a good investment for your car and finances.

Purchasing four-wheeler insurance with comprehensive coverage is beneficial in many ways, allowing you to secure your financial and physical health. Some of these are:

• Helps You Comply With The Law

Having a comprehensive cover is not mandatory, but it can help you stay compliant with the law since it includes a third-party cover. If you fail to comply with this regulation, you may have to pay hefty fines and suffer other consequences, including imprisonment. Your license may also be suspended without third-party coverage.

• Offers Protection for the Third-Party

In case of an unfortunate event, the insurer will cover the costs of treatment of the other person's injury or death. The insurance plan will also cover the costs for the damage caused to the third-party vehicle or property.

• Covers You and Your Vehicle 

Regular third-party coverage does not offer protection for the injuries that you sustain or the damage caused to your car. You can get this protection with a standalone own damage policy, but you still need a third-party liability cover. 

 

Managing two policies can be tiresome and expensive. However, with a comprehensive cover, you get both with one policy. This helps save you time and finances, all while keeping you and your vehicle protected.

Improving your car insurance coverage is easy when you select appropriate add-ons. Some of the commonly offered covers are:

• NCB Protection

Insurance providers offer this bonus when you do not file a claim during the policy period. However, if you do file a claim, you are ineligible for this bonus. Since NCB can help lower your premium amount, missing out on it can be a loss.

 

Your NCB add-on will remain intact during the car insurance renewal process even if you file a claim during the policy year. This is what makes it so popular. 

• Roadside Assistance Cover

Although insurers offer a wide network of garages, they may not be accessible in remote locations. During such instances, you can rely on this add-on cover. Under it, the insurance provider will offer 24X7 service to assist you during a breakdown or other emergencies. 

 

This may include a team to refuel your car, tow it, repair a flat tyre, or even arrange for cab services. These services will vary depending on the insurer and your chosen policy.

• Zero Depreciation Cover

Your car is an asset, and its value will depreciate over time due to regular wear and tear. This can result in out-of-pocket expenses as insurance providers do not cover depreciation costs. However, with this add-on cover, you can forego such expenses. 

 

Remember, there will be certain terms and conditions that this cover comes with, such as it will be applicable only for the first two claims. Go through these conditions carefully before you add the cover to your policy.

• Engine Protector Cover

A regular car insurance policy does not cover the cost incurred due to the damage to your engine. Since such costs can be high, paying for them from your pocket can be a strain. By getting this add-on, you can extend your policy’s cover to your engine as well.

• Daily Allowance

In some cases, your car may have to stay in the garage for a longer period. During this period, you may have to look for other modes of transport. By getting this add-on cover, you can pay for alternate transportation through your insurance. 

 

Generally, insurers offer daily allowance up to two weeks. However, it varies depending on the company and the policy you choose.

• Lock and Key Replacement Cover

If you lose the key to your car or if the lock needs repair, the cost is not covered by standard car insurance. With the help of this add-on, you can cover these costs through your policy.

• Tyre Cover

As the name suggests, this add-on offers coverage for the cost of your car’s tyres, which makes replacing tyres and tubes more affordable. Generally, it is applicable in case of burst tyres, punctures, cuts, or bulges. This will vary across insurers and plans, so read the terms before you add it to your policy. 

• Return to Invoice

With this add-on cover, you can protect your car to its full invoice value. The insurer will pay the full cost of your car in the event of loss or theft. However, this will also have terms and conditions that you must go through before opting for it.

• Personal Accident Cover

This is a mandatory cover that you must have along with a third-party car insurance policy. With this, you can get compensation in case of injuries, disability, or death resulting from an accident. 

 

This is offered to the owner-driver of the insured vehicle, who owns the vehicle and has a valid driving licence. 

• Personal Baggage Cover

If you don’t want to end up with lost or damaged personal belongings, this add-on cover can help you recover the cost via insurance. However, remember that different insurance providers will cover different types of belongings. 

 

For instance, your laptop, clothes, CDs, or audio tapes may be covered, but your jewellery, cards, or money may not be. Read through the terms before you add it to your car insurance policy.

• Passenger Cover

This add-on cover extends coverage to the passenger of the car. Like the Personal Accident cover, it offers compensation for injuries, disabilities, or death due to an accident. However, this is not a mandatory cover. 

 

Although the above add-on covers are common, their availability will depend on the insurance provider and policy you choose. You may also find other covers that may not be listed above. Review your options carefully to add only the ones you need.

IRDAI decides the price of car insurance in case of third-party coverage. For other covers, like the standalone own damage, you can calculate the price in the following ways: 

• Using an Online Premium Calculator

Most insurers provide a digital calculator that gives you an estimate of your premium. This amount depends on basic details like the make and model of your car and the ex-showroom price. 

 

Once you enter this information, the calculator will instantly provide the forecasted premium. Using it, you can compare the car insurance quotes from different insurers and choose the most cost-effective one.

• Using the Formula

To manually calculate the price of insurance for standalone own damage cover, you can use the following formula: 

 

Premium = IDV*Premium rate + Add-ons – Discounts and benefits

 

Here, the premium rate will be decided by the insurer. In discounts and benefits, you can consider the monetary value of NCB, anti-theft devices, and more. 

 

To calculate the IDV, you can use the following formula:

 

IDV = (Current market value of the car – Depreciation value) + (Cost of vehicle accessories – Depreciation value of these parts)

Manual calculations can be time-consuming and are even prone to errors. A safe and smarter alternative is to use online calculators. They help you calculate your car insurance premium easily, so you can compare them and choose the most affordable option.

Here are some reasons to opt for the online mode for car insurance renewal:

• Easy to Compare 

When you choose the online option, you can easily access the details of various insurance policies from different issuers. Comparing features is also more convenient, so you can pick one that is within your budget and offers adequate protection.  

• Quicker Process

Depending on the insurer and platform you choose, you can complete the car insurance renewal process in a matter of minutes. Most insurers require you to share basic details like policy number and birthdate. Once you enter this information, you can renew the policy in just a few clicks.

• Safe and Secure

The online process is fairly easy as well as safe. The payment you will make is processed through secure payment gateways. The majority of the insurers allow you to pay using your debit or credit card, UPI, or internet banking. As such, you can make secure payments stress-free.

• Swift Switching

Along with easy comparison, switching your insurer during car insurance renewal is just as easy. All you have to do is choose your new policy and follow the process to port it online. 

Having a valid, i.e., active car insurance policy is important for various reasons, including:

• Avoiding Legal Consequences

As mentioned, having at least third-party car insurance is a legal obligation. If you fail to comply with this regulation, the fine can go up to ₹4,000. The imprisonment period can be up to 3 months. To avoid this, renew your car insurance at the earliest.

• Loss of Benefits and Coverage

Insurers offer several benefits like the No Claim Bonus when you renew your policy. However, if you do not renew, you will lose out on these benefits, leading to loss. Additionally, the cover offered by the insurer is only valid till the policy period and the grace period. 

 

Not renewing the policy before this period ends will result in the discontinuation of the cover. So, if your car is in an accident or damaged in any other way, the insurer will not be liable to pay for the cost of repair. 

 

Given this, renew your car insurance before it expires. In case you miss the due date, you can still renew it within the grace period. Most insurers offer this period and if you renew it within this time, your policy will not lapse.

 

If you are unhappy with your current insurer, you can transfer your policy to another one. Ensure that you do this before the policy expires. 

 

Changing the insurer does not mean that you will lose your current benefits. Benefits like NCB will also be transferred provided you switch the insurer at the right time.

While the process to claim car insurance can differ based on the provider, here are some general steps to follow:

1. Visit the insurer’s website or log on to the mobile app

2. Register your claim

3. Note the claim intimation number

4. Take the car to a network garage for a cashless claim or any other garage for a reimbursement claim

5. Wait for inspection from the surveyor

6. Submit all the required documents

 

Once the insurer processes your request, they will either accept or reject it. If accepted, they will settle the claim once the car is repaired. You can also call their customer support team to file your claim.

The insurer will require you to submit a few documents to support your claim. While these can also vary, some commonly requested documents are:

• Copy of the Registration Certificate (RC)

• Copy of the driving license of the policyholder

• Verified copy of the FIR (First Information Report filed with the police)

• Copy of policy documents

• Keys to the car

• Duly filed and signed claim form

• RTO transfer papers

• No Objection Certificate and Form 35 in case of active loan

• No Trace Report in case of theft

 

You can contact the car insurance provider’s customer support team to know the exact documents required. You can also check the requirements on the official website or app. Alternatively, you can confirm it at the time of filing the claim.

To ensure you understand your policy and make the right decisions during comparison, here are some terms that you must know:

• Deductible

This refers to the portion of the claim amount that you need to pay. As such, it results in a lower claim amount. It can be either compulsory or voluntary, depending on the policy and the insurer. 

• Cashless

This is when you do not have to pay anything to get your car fixed as per the policy terms and sum insured. The insurer will directly settle the bill with the garage. However, to use this facility, you must choose a network garage only. 

• IDV

This refers to the market value of your car. It influences the coverage and the premium you will pay for your car insurance plan. 

• No Claim Bonus

This is a benefit that the insurer will offer if you do not file any claim during the policy period. It is reflected by a discount on the premium amount.

• OD Cover

Own Damage (OD) cover extends the policy’s coverage to the injuries and damages sustained by your car. It will not cover any third-party damages.

• Premium

This is the amount that you will pay once a year for car insurance. It depends on the type of car, coverage, location, modifications, and other such factors.

• Policy Period

This refers to the time during which your car insurance policy will be valid. It depends on the term you choose. If you choose one year, the period will be of one year, and so on.

• Policyholder

This refers to the person whose name appears on the policy. If it is in your name, you will be policyholder but if it is in the name of another family member, they will be policyholder.

• Add-on Covers

They help broaden the coverage of your car insurance policy. Insurers offer a variety of add-on covers. With them, your cover will expand as per the terms, and the premium will also increase.

• Endorsement

This is a process through which you can make changes to your car insurance policy document. You can make changes to your name or disclose any modifications you made to the car during the policy period.

Every car insurance provider has a certain terms, which determine whether you can file a claim or not. While this varies across insurers and policies, here are some common ones you should know:

Spending a little time doing research can help you choose the right policy for your car and save more in the process. On Bajaj Markets, you can compare offerings of reputed insurers and get a policy with ease online.