Car Insurance Premium Calculator Online

Car insurance premium calculator is a very helpful online tool offered by insurers and online platforms, helping you determine and derive the insurance premium quote for your car. It also enables you to compare insurance quotes offered by various insurers in India.

Customers have their own set of requirements when it comes to their cars. A car insurance calculator helps find and select the best car insurance policy that meets these requirements. Moreover, this makes it easy to compare different insurance companies in India (including old insurers) and choose a reliable policy through a simple and time-saving process.

All you have to do is enter a few details such as your car’s make and model, registration number, etc., and your free quote is displayed instantly!

How to Calculate Car Insurance Premium?

With the help of the car insurance premium calculation formula, you can easily understand how the premium rate is estimated. The components required for the calculation consist of the own damage premium, No Claim Bonus, other discounts, third-party liability premium, etc. Here’s how to calculate car insurance premium in India:

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

Furthermore, the third-party insurance rates are decided by the IRDAI based on the engine capacity of the vehicle as follows:

Engine Capacity Existing TP Premium Rates
(FY 2019-20)
Proposed Rates (FY 2020-21)
Not more than 1000cc ₹2,072 ₹2,182
More than 1000cc but not exceeding 1500cc ₹3,221 ₹3,386
More than 1500cc ₹7,890 ₹7,890

Steps to Use Online Car Insurance Premium Calculator

The online car insurance premium calculator is an easy-to-use online tool. All you need to do is, follow some quick steps online, enter the relevant information and the calculator displays the premium amount payable by you. Just follow these 5 simple steps to calculate your car insurance premium:

Step 1: Enter your car’s registration number & mobile number and confirm if your existing policy is expired

Step 2: Fill in your car details such as vehicle number, make & model, fuel type, and other information

Step 3: Pick the plan of your choice!

Step 4: Provide your personal information including date of birth, address, etc.

Step 5: And that’s it! Your car insurance premium will be displayed.

How to Estimate Car Insurance Premium for Old & New Cars?

To determine the premium quote for an old and a new car, you need to enter the below-mentioned details in the four-wheeler insurance calculator:

Calculating Premium Rate for Old Car

The vehicle insurance premium calculator for an old or used car can be calculated by providing relevant car details. After entering the correct information, the online car insurance price calculator shall display the insurance premium amount that a customer needs to pay for an insurance plan. The details are:

  • Make and model of car
  • Fuel type
  • Depreciation rate
  • Details of previous insurance policy
  • Claim history
  • Details of the previous owner, in case of second-hand car

Calculating Premium Rate for New Car

If you choose to purchase comprehensive four-wheeler insurance for your new car, two components make up the premium amount. First is the third-party cover and the second is the Own Damage (OD) cover. As you already know, the third-party insurance rates are determined by the IRDAI. However, to estimate the OD premium amount, you can use the following new car insurance premium calculation formula:

OD cover = [Insured Declared Value (IDV) x insurer’s premium rate] + add on covers - discounts

You can input the below-mentioned details in the vehicle insurance premium calculator:

  • Car manufacturer
  • Type of car
  • Make and model of car
  • Fuel type
  • Manufacturing year
  • Registration date and state

Benefits of Using a Car Insurance Calculator

As car insurance is mandatory in India, customers are becoming keen on ensuring that their car insurance policy is in place. With the entire car insurance premium calculation process made available online, here’s why an online insurance calculator for cars proves beneficial:

  • An online car insurance calculator in India is a simple, reliable, convenient & hassle-free tool
  • It helps you become familiar with the options available
  • It saves an ample amount of time by eliminating the need of doing manual calculations
  • It helps you be pre-prepared with the pre-requisite documents
  • Vehicle insurance calculators let you easily familiarise yourself with the nitty-gritty of various insurance plans, thereby allowing you to make a well-informed decision before zeroing in on a policy
  • The car insurance premium calculated is unbiased with no middlemen or agents involved
  • This tool offers you the convenience of use from anywhere

Factors which Determine Car Insurance Premium

Vehicle Age

Vehicle Age

The manufacturer’s present value & depreciation based on the age of your car help determine the car's Insured Declared Value. Hence, it remains a crucial factor.

Geographic Location

Geographic Location

If you are located in areas that are prone to vandalism, you may have to pay a higher premium. This is because a car parked in a dangerous zone means greater chances of damage and theft.

Type of Coverage

Type of Coverage

The type of car insurance plan you opt for, third-party insurance or comprehensive car insurance, has a key role to play in determining your car insurance premium. As comprehensive car insurance covers both, own damage & third-party damage, the premiums are higher.

Type of Engine

Type of Engine

Insurers often ask for our car’s engine capacity as it is one of the key factors determining your car insurance premium.

Add-on Covers

Add-on Covers

Riders or add-on covers are a crucial factor in determining the car insurance premium amount. Although it adds to the base premium a bit, add-on covers are a great way to enhance your coverage with a hike of a nominal amount.

List of Car Insurance Providers we are Partnered With:

Bajaj Allianz Car Insurance

BagicBagic
Bajaj Allianz Car Insurance is a reliable product offered by Bajaj Allianz, a collaboration between Bajaj Finserv Limited and Allianz SE. With their profound expertise in the general insurance industry, their products are designed to meet the unique needs of customers. Bajaj Allianz Car Insurance is equipped with great features and value-added benefits, so customers can get better value for money.

Acko General Insurance

acko
Acko General Insurance, with its a different approach, makes buying insurance easy and quick! The plans are well-designed for the customer's needs. It offers inexpensive plans and a range of add-on covers to enhance the plans as per customer requirements.

Components of Comprehensive Car Insurance Premium Calculator

Comprehensive car insurance is a well-rounded plan offering extensive coverage to your precious vehicle. Right from third-party cover and own damage to theft and other such perils, a comprehensive policy financially secures you against various risks and mishaps. So, let’s look at the key components that form the comprehensive car insurance premium:

  • Third-party cover
  • Own damage
  • Insured Declared Value (IDV)
  • Make and model of the car
  • Age of the car
  • Deductibles
  • Personal Accident (PA) cover
  • Add-on covers
  • No Claim Bonus (NCB)

Components of Third-Party Car Insurance Premium Calculator

With a third-party car insurance plan, you can opt for the most basic cover to safeguard your four-wheeler which is also mandated by law. The insurance policy covers any loss or damage incurred by the third party and includes a personal accident cover as well. Here are the components of third-party car insurance premium:

  • Third-party cover
  • Personal Accident (PA) cover
  • Engine capacity or cc of the car

How to Compare Car Insurance Quotes Online?

Online car insurance price calculators have made it easier for customers to view the premium amount payable, instantly. It is important to keep certain factors in mind, while we compare car insurance quotes online with motor insurance premium calculators. Here’s what you need to consider when comparing car insurance plans:

  • It is important to examine factors such as the features and inclusions to identify the right choice.
  • Insurance cover is the next important factor that lets you select the plan. Typically, the lower the premium, the lower is the insurance cover. Hence, it is important to go through the plan details.
  • Check for the add-on covers made available with the plan, so you can enhance your financial protection against damages.

How to Reduce Car Insurance Premium?

Do you go for third-party car insurance while selecting car insurance online just to save on premiums? Not anymore! Now you need not compromise on the coverage of your choice, as you can reduce car insurance premiums by taking care of the following aspects:

  • Compare & buy –

    It is crucial to compare the car insurance plans available in order to arrive at the best plan that suits your needs, so you can get good value for money.
  • Pick add-on covers wisely –

    Ensure you pick the additional covers wisely so you do not end up paying extra for the riders you do not require.
  • Avoid filing claims for minor damages –

    Take care of minor damages out of your pocket, so you can save on your premium through the No Claim Bonus benefit for every claimless policy year.
  • Install Anti-Theft Devices

    Installing anti-theft devices approved by the Automotive Research Association of India (ARAI) enables you to avail a discount on premiums. Thus, it is highly recommended to take such safety measures to lower your car insurance price.
  • Avoid Modifying Vehicles

    Adding new components to your car or modifying it can lead to an increase in your car insurance premium. To avoid paying a hefty premium, ensure to consult your insurance provider and find out if such modifications can lead to high premiums.
  • Transfer NCB

    If you have earned a No Claim Bonus in your previous insurance plan, then it is advised to transfer it before switching insurers. This will allow you to reduce your car insurance premium amount and get a discount on renewal.

What are the components of a car insurance premium?

There are three key components of a regular comprehensive car insurance premium, which include third-party (Liability) cover, Own Damage (OD) cover, and Personal Accident cover.

Does a car's fuel type affect the car insurance premium?

Yes, the car’s fuel type is one of the key factors affecting the car insurance premium. Usually, diesel cars have a relatively higher insurance premium than petrol cars as the former have a marginally higher risk cover than the latter.

How does a car insurance premium calculator help during policy renewal?

The new car insurance premium calculator in India is an effective tool for buyers during car insurance policy renewal.This is because, you cannot just arrive at the insurance quote instantly, as the vehicle insurance calculator also helps select a suitable insurance plan that suits your requirements.

How soon should you purchase car insurance after buying a new car?

To drive legally on Indian roads, you must have third-party car insurance without fail. Thus, it is recommended to opt for the right insurance plan with the help of a vehicle insurance premium calculator on buying a new four-wheeler!

How can I earn an NCB discount to reduce my car insurance renewal premium?

You can easily earn an NCB discount by not making any claims throughout the policy period. This way you can avail the No Claim Bonus on your renewal premium. To estimate the premium rate while renewing insurance, you can make use of the car insurance renewal premium calculator online.

Why is it important to use a car insurance renewal premium calculator?

The online car insurance renewal premium calculator enables you to lower your insurance premium rate, get the best deal in the market and continue securing your vehicle from unfortunate mishaps.

How can I combine add-on covers with my car insurance policy?

You can buy add-on covers for extensive coverage with your comprehensive car insurance policy at the time of purchase or renewal. For example, you can opt for add-on covers such as zero depreciation while using car insurance premium calculators online.