For anyone who owns a four-wheeler, buying an insurance policy is compulsory under the Motor Vehicle Act of 1988. However, buying a four-wheeler in itself is an expensive affair. In fact, some people take loans to buy cars or two-wheelers. For them, the added expense of buying four-wheeler insurance can put a considerable strain on their finances. To overcome this issue, some insurance providers offer flexible options of paying their car insurance premiums annually or in partial monthly payments. However, while some might opt for partial payment as the easier way, others might prefer the advantage of hassle-free full payment once and for all.
So, how do you decide which payment method is better? Let us look at the advantages and disadvantages of both these payment options to gain some perspective.
Paying for car insurance annually is a good choice for those who do not have access to large amounts of disposable funds. Annual premium payment is generally cheaper than paying for it in monthly instalments. Let’s analyse the pros and cons of buying car insurance annually:
Paying for car insurance in monthly instalments is a good choice for those who are on a budget. Moreover, it allows car owners to be flexible as they can switch between insurance providers more easily. Let’s take a look at the pros and cons of paying for car insurance monthly:
Buying car insurance is a mandatory cost that all car owners have to incur, but there are some tips that you can use to save money on your insurance premiums. Let’s take a look at them below:
As you can see from the above details, both full and monthly payments on your car insurance have their own share of advantages and disadvantages. Ultimately, it all boils down to your personal preferences. Before you make your choice, make sure you consider your financial situation. Although full payments on your insurance can save a lot on your premium amount, for some policyholders, making monthly payments can offer more convenience. So, while you make your choice when buying car insurance, you can check out the car insurance plans available on Bajaj MARKETS.
You can use the ‘Car Insurance Premium Calculator’ to get an estimate on premium costs for your car.
You should pay for car insurance premiums annually if you have access to large disposable funds.
You should choose monthly car insurance premium payments if you have a tight budget and cannot spend all of it in one go.
Yes, some insurance companies also offer the choice of quarterly or semi-annual premium payments to their policyholders.
Yes, you can buy car insurance plans that offer annual payment options on Bajaj MARKETS and other insurance websites.