Car Insurance

Did you know that car insurance is mandatory under the Motor Vehicles Act, 1988? In simple terms, a vehicle insurance policy safeguards your four-wheeler against various mishaps that may occur on the road. Such a cover keeps you in compliance with the law and financially protects your vehicle in the event of damage. While a basic third-party motor vehicle insurance plan only secures the loss caused to a third person, you would need comprehensive car insurance to avail coverage for your own vehicle. Let’s further deep dive into the importance of four-wheel motor vehicle insurance and how to opt for one.

Why is Purchasing/Renewing Car Insurance Important?

Here are the main reasons on why a policy of this kind is a necessity:

• Covers Legal Aspect

As you may already know, vehicle insurance is mandated under the Motor Vehicles Act, 1988. Thus, purchasing one enables you to drive legally on public roads in India without attracting a penalty.

• Offers Financial Backup

With a comprehensive car policy, you no longer need to cover the repair expenses incurred by your own vehicle! Four-wheeler motor vehicle insurance covers the accidental damage caused due to an untoward incident.

• Covers Third-Party Liabilities

From damage caused to third-party property to any accidental injuries sustained by the victim, third-party liabilities are covered in case of an accident.

• Provides Personal Accident Cover

In the event of an unfortunate mishap, the treatment cost of any bodily injuries that you may sustain shall be secured under the compulsory personal accident cover.

• Secures Against Calamities

Natural and man-made calamities come uninvited and may cause major damage to your car. With the right vehicle insurance plan, you can rest worry-free!

Can you imagine your vehicle incurring damage due to an unforeseen mishap? Without the safety net of four-wheeler insurance, you shall have to shoulder the financial burden of repair and replacement expenses. However, the best car insurance policy ensures monetary backup during such times and compensates for the loss caused to your prized possession. Let’s go through the best car insurance in India available on Bajaj MARKETS.

Best Car Insurance Plans in India for 2022

Insurance Provider	Incurred Claim Ratio (2020-21)	Premiums Starting at*	Buy Plans
Bajaj Allianz Car Insurance	68.06%	Starting from ₹2094**
Acko Car Insurance	82.35%	Starting from ₹2094**
HDFC ERGO Car Insurance	70.02%	Starting from ₹2094**

Disclaimer: *The premium rates are indicative. The actual premium that you may have to pay may change depending on various factors. Please check the prevailing premium rates before purchasing your car policy.

How to Buy Car Insurance Online

Step 1: Go to the ‘Car Insurance Premium Calculator’ page.

Step 2: Fill in the required details such as the vehicle type, car number, your mobile number, etc. and proceed.

Step 3: Enter your vehicle details such as the make and model, fuel type, manufacturing and registration date, etc.

Step 4: Select the type of coverage you want to purchase, the NCB bonus from your previous policy and the Insured Declared Value. Moreover, you can opt for additional coverage with add-on covers.

Step 5: Choose a suitable car policy and go through the policy details before proceeding.

Step 6: Enter your details like your name, date of birth, email ID, address, etc. and proceed.

Step 7: Enter your vehicle details like engine number and chassis number.

Step 8: Now, you must enter the details of your previous motor vehicle insurance policy.

Step 9: The page shall display all the information that you have entered, so go through it to ensure the details are accurate.

Step 10: Finally, select a suitable payment option to safeguard your vehicle with car insurance.

Step 11: After successful payment, your four-wheeler policy document will be issued soon!

How to Renew Car Insurance Online

Step 1: Go to the ‘Car Insurance Renewal’ section on the insurer's website

Step 2: Enter the information required on the page

Step 3: Enter your vehicle details, such as make and model, fuel type, etc. and proceed.

Step 4: Now, select the type of coverage, policy expiry date, add-on covers and No Claim Bonus reward.

Step 5: Go through the policy details and proceed to renew your insurance plan.

Step 6: Next, you must enter your personal details, vehicle-related information and previous policy details.

Step 7: Finally, make the premium payment online.

Step 8: Your renewed car policy document shall be issued soon!

Read More: What is Car Insurance Renewal?

Types of Car Insurance Plans in India

Now that you have understood the step-by-step process to buy/renew such insurance plans online, let’s move to the next section. Did you know that there are following types of four-wheeler insurance policies to choose from? Here are the details:

• Third-Party Car Insurance

A third-party motor vehicle insurance cover is a basic insurance plan. It covers the damage incurred by third-party property or any injuries caused to the victim due to your insured car. Moreover, third-party insurance is mandatory as per the Motor Vehicles Act, 1988, and can result in a penalty or imprisonment if you do not have a valid policy. The plan also includes a personal accident cover to protect against any accidental injury, disability or even death of the insured.

• Comprehensive Car Insurance

A comprehensive car insurance plan is an enhanced cover compared to third-party four-wheeler insurance. It includes both the third-party cover and own damage cover. With complete protection, the cover helps manage legal liabilities and offers extensive financial protection. Although you have to pay a slightly higher premium for a comprehensive plan over a third-party cover, it is worth the investment. Comprehensive car insurance brings together the benefits of third-party coverage, personal accident cover and own damage cover. Any damage due to unfortunate scenarios like natural and man-made calamities or theft is covered under comprehensive insurance.

• Own Damage Cover

The standalone own damage cover provides coverage against any loss or damage resulting to your own four-wheeler. It offers protection against theft, calamities, disasters, and other perils, excluding third-party liabilities. So, if you already have a third-party insurance plan and want to extend your coverage, standalone own damage cover is the way!

Key Highlights of Car Insurance Plans on Bajaj MARKETS

Calculate Your Car Insurance Premium

The car insurance premium price is based on numerous factors such as:

• Type of coverage

• Insured Declared Value (IDV)

• Engine’s Cubic Capacity

• Type and age of the car

• Add-on covers

Here’s the four-wheeler insurance premium formula,

Own Damage Premium - (No Claim Bonus + Discounts) + TP Liability Premium

You can now estimate and get a premium quote with our easy-to-use car insurance premium calculator! Moreover, the online tool further enables you to compare car insurance price lists for different insurance providers.

What’s Covered Under Car Insurance

Aspects that are covered under your car policy are as follows:

• Loss or damage incurred due to natural calamities

• Any loss resulting from man-made disasters such fire or explosion

• Third-party liability coverage

• Personal accident cover

• Damages incurred due to accidents

• Theft of four-wheeler

What’s Not Covered Under Car Insurance

Aspects that are excluded from your insurance policy are as follows:

• Regular wear and tear of your car

• Mechanical or electrical breakdown

• Damage caused to your car while driving under the influence of alcohol or other intoxicants

• Loss or damage incurred while driving without a valid driver's licence

• Damage caused when the policy is inactive

• Damage or loss incurred during a war-like situation

• Damage or loss incurred due to malicious activities

Opt for Car Insurance Add-On Covers

If you wish to enhance the scope of your car insurance plans in India, it is possible to do so with add-on covers. However, note that add-ons are only available with comprehensive motor vehicle policies. There’s no facility to add these benefits to a third-party car policy.

A few add-on covers to combine with your new car insurance plan are as follows:

• Personal Baggage Cover

The personal baggage cover secures the loss or damage caused to your personal belongings during an unfortunate accident. Thus, you can have peace of mind when it comes to your baggage!

• Lock & Key Replacement Cover

Misplacing your car keys or losing them is quite common. However, the replacement cost of car keys as well as the vehicle locks aren’t covered under your policy. You can easily gain coverage with such a key protection add-on while replacing the car keys and locks.

• Roadside Assistance Cover

Experiencing vehicle issues on a trip isn’t on anyone’s itinerary. Without access to a nearby garage, you may get stuck in the middle of nowhere. But you can ensure emergency help for services like urgent fuel delivery, flat tyre repair, cab services, towing, etc., with 24x7 roadside assistance cover!

• Engine Protector Cover

The repair or replacement cost of your four-wheeler’s engine can really leave a dent in your savings. Be worry-free when it comes to engine damage caused due to lubricating oil leakage, water seepage or other issues by opting for this insurance rider.

• NCB Protection Cover

Trying to maintain a claim-free year to avail a No Claim Bonus can be tough, especially if you experience any damage that is beyond your control. The NCB protection cover offers a guaranteed NCB reward by permitting a set number of insurance claims in a single policy year.

• Personal Accident Cover

The compulsory PA cover ensures coverage in the event of accidental death, permanent disabilities, or bodily injuries sustained by the insured car driver.

• Zero Depreciation Cover

With zero depreciation cover, you can put an end to out-of-pocket expenses resulting from incomplete claim payments due to the depreciation rate of your car. Avail the complete claim amount without any deductions owing to vehicle depreciation now!

Third-Party Vs Standalone OD Cover Vs Comprehensive Car Insurance - Comparison

Car Insurance Claim Process

After getting four-wheeler insurance, the next crucial step is to understand how claims can be registered in case a mishap occurs. Typically, car insurance companies offer two types of car insurance claims, cashless and reimbursement claims. For a cashless facility, the insurer directly settles the repair cost with the garage if you opt for a network garage. Whereas for reimbursement claims, you must cover the repair expenses in case you choose a non-network garage. After document verification, the claim amount is reimbursed to your account.

How to File a Car Insurance Claim Online

The claim settlement process is similar across most insurance companies in India. Bajaj MARKETS just makes it even easier for you!

Process for Filing Cashless Claims

Step 1: Inform the insurer and register the claim by calling their toll-free number or by visiting their website.

Step 2: Get your car repaired at the nearest network garage.

Step 3: Submit all the required documents.

Step 4: Once the documents are verified, your insurer will settle the claim directly with the network garage.

Process for Filing Reimbursement Claims

Step 1: Inform the insurer about the incident. File an FIR in case of vehicle damage due to a third party or theft.

Step 2: Get your car repaired at a preferred garage and make payment.

Step 3: Submit the original bills, the FIR and the payment receipt to the insurer.

Step 4: Once the documents are verified, your claim amount will be reimbursed.

Documents Required for Claiming Car Insurance

Take a look at the important documents that you need for raising a claim under auto insurance.

• Insurance policy document

• Vehicle details

• Insurer personal details

• Details of the accident specifying the location and the date of the accident

• FIR copy in case of theft

• Original bills and receipts of the vehicle repair

How to get a car insurance using Bajaj Markets app

The Bajaj MARKETS app makes buying car insurance a breeze with its simplified process. Here are the steps to get you started:

• Step 1: Enter the details of the car you would like to insure including make, model, vehicle number, etc. along with your personal information

• Step 2: Get a quote from the representative about the various options available

• Step 3: Choose a coverage that suits your requirement and budget. Enhance the coverage by selecting add-on covers

• Step 4: Choose the suitable policy cover

• Step 5: Upload the requested documents and pay the car insurance premium online

You will receive the insurance policy, shortly after you make the payment. 

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