What is a Private Car Insurance Policy?

Your car is your precious asset. So, ensuring that it is financially secured at all times is essential. It is why a private car insurance policy is important. While the Motor Vehicle Act, 1988, mandates every motorised vehicle to have a minimum of third-party liability insurance, it is recommended that you opt for wider coverage in the form of comprehensive insurance. Private car insurance policy will financially cover your personal vehicle in case of an accident, theft, natural calamities, etc. so you do not have to stress over expensive costs like breakage or third-party claims. Hence, you must consider the private car insurance price while purchasing a car.

Features of Private Car Insurance Policy

Some of the key features of a private car insurance plan are listed below:

 

  • A private car insurance policy will only provide coverage for your personal car. You cannot claim the benefits of this policy if your car is used for any business activity that involves the commercial transportation of people or goods.

  • Private car motor insurance policies will provide financial coverage against the damages or losses incurred due to an accident, theft, natural calamity, fire, etc.

  • The insurance plan will provide reimbursement for any third-party loss or damage caused by your insured car.

  • Such plans also provide personal accident coverage to the car’s owner-driver.

Inclusion and Exclusion in Private Car Insurance Policy

A private car insurance plan will cover the expenses that arise due to:

 

  • Natural or man-made disasters

  • Third-party liabilities

  • Repair and replacement

  • Strikes and riots.

A private car insurance plans generally do not cover for the following expenses:

 

  • Damage or loss incurred outside the stated geographical region

  • Damages due to overspeeding or driving under the influence of intoxicants

  • Accidental damages caused due to nuclear exposure

  • Damages due to war-like situations

  • Malicious activities.

Add On Covers in Private Car Insurance

When buying a private car package policy, you can enhance the scope of coverage of the policy by purchasing certain add-on covers. These add-ons are optional, and you can choose to buy the ones that are necessary for your vehicle. Here are some of the common add-on covers available:

  • Zero Depreciation Cover

With this Zero Depreciation add-on cover, the insurer will not factor in the depreciation in the value of your car during claim settlement, allowing you to receive the full amount in compensation. You can opt for this add-on only till the time your car is up to 5 years old.

  • Return to Invoice Cover

This Return to Invoice add-on cover will ensure that you receive the invoice value of your insured private car if it is lost/ stolen or in case it is damaged beyond repair and goes into a total loss. The invoice value is the total amount paid while purchasing the car.

  • Engine and Tyre Secure Cover

With this add-on, you will be covered for the damages incurred to your engine and tyres. This add-on will also cover any damages caused to the internal parts like the gearbox.

  • Roadside Assistance

As the name suggests, the Roadside Assistance add-on offers you rescue in case your car breaks down on a roadside. You can opt for repair or towing and your car would be taken to the nearest safest destination, if need be.

 

Read More: Add-on Covers in Car Insurance

Documents Required to Get Private Car Insurance

Here is the list of documents required to get a private car insurance policy:

 

  • Copy of Birth Certificate

  • Identity Proof (Voter ID, PAN Card, Aadhaar Card, Passport)

  • Driving Licence

  • Copy of Car Registration Certificate

  • Copy of previous car insurance policy (in case of private car insurance renewal).

Conclusion

Buying a personal car is a milestone for most of us. Hence, we must ensure that it is secured at all times. If you own a car or are considering buying one, remember to secure it with adequate private car insurance. This is not only mandatory as per the Motor Vehicles Act of 1988 but also necessary to stay financially protected during incidents like accidents, theft, etc. So, if you are looking for a car insurance plan for your vehicle, take a look at the policies available at Bajaj Markets now!

Check Out Car Insurance Plans Available at Bajaj MARKETS

FAQs on Private Car Insurance

  • ✔️Who can buy a private car insurance policy?

    Any car owner whose car is registered under his/her name with the Regional Transport Authority in India can buy a private car insurance plan.

  • ✔️What is the zero depreciation cover in private car insurance?

    The zero depreciation cover is an optional add-on that you can purchase along with your private car comprehensive policy. With this add-on, the insurer will not factor in the depreciation in the value of your car during claim settlement, allowing you to receive the full amount in compensation.

  • ✔️Is it compulsory to buy a car insurance policy for my vehicle?

    Yes. It is mandatory to have at least a liability-only car insurance plan for your car as per the Motor Vehicles Act of 1988.

  • ✔️Can I buy a private car insurance plan for less than a year?

    No. Private car insurance plans at Bajaj Markets are provided for one full year.

  • ✔️How can I buy private car insurance online?

    You can easily buy private car insurance online by visiting the Bajaj Markets official website or downloading our insurance app.