Instead of relying on public transport, it is convenient to own a car for everyday commute. When you buy a new vehicle, it is also mandatory to have a car insurance policy under the Motor Vehicles Act 1988.
This article acts as a quick guide for finding appropriate car insurance in India. Without wasting any more time, let us proceed.
Advantages of Having a Car Insurance Policy
Having a car insurance policy surely has certain benefits. Here’s are three advantages to owning a car insurance policy.
Personal Accident Cover
With a car insurance policy, you will be covered against all the medical expenses related to body injuries, deformities, loss of limb, disablement, and death incurred due to car mishaps. So, rest assured that you and your family members are financially covered in case of accidents with the right car insurance policy.
Third-Party Liability Reduction
A car insurance policy will cover against any claims made against third party loss or damage to property, injuries, or death caused due to your vehicle. In case of any road mishap involving the third party, you are liable to inform your insurance provider and the nearest police station to make a claim.
Coverage For Damage Or Loss Of Vehicle
Any damage or total loss to your car due to natural disasters (like floods, hurricane, avalanche, and earthquake), theft, vandalism, road rage, crash or collision is covered under the car insurance policy.
After considering the benefits, it is quite useful to have a car insurance policy under your name when you buy a new car.
Types of Car Insurance
Generally, there are two types of car insurance coverage available in the Indian market.
Third-Party Insurance or Liability Cover
Comprehensive Vehicle Insurance Cover
The following table will help you understand the two types of car insurance coverage.
The comprehensive insurance has a wide range of coverage options that you can choose from.
You can make a third-party claim under ‘No Fault Liability.’
Any accidental damage/loss to self or third party is covered under this policy.
The policy covers for body injuries and offers accidental death coverage to you (the policyholder).
The policy compensates for more than just the damage caused by the vehicle due to the mishap.
It offers coverage to damage or loss to property caused due to the accident.
It offers coverage for damage or loss caused due to human-made and natural disasters
Along with these two car insurance coverage, many insurance providers also provide add-on insurance covers that include –
Personal injury protection cover – The PIP coverage will cover the medical expenses regardless of who is at fault during the accident.
Roadside assistance – It comes in handy when the car breaks down.
Engine replacement or repair – It is like a critical illness cover for your vehicle as it covers engine-related damage or issue.
Zero depreciation cover – With this add-on cover, the insurance company will pay out the entire cost of the vehicle in case of damage or loss, and exclude the depreciation factor.
Tips To Buy Appropriate Car Insurance
With different insurance providers offering different plans, making the right choice can be overwhelming. So, how do you find the right car insurance for yourself?
Here’s how. Following are a few tips on finding the right car insurance.
Understand Your Needs
Before you start looking for different car insurance plans, you must understand what exactly your requirements are. To do so, you will have to take into consideration the type of vehicle you own, how often do you use it, and more. Then, you can set aside a specific budget depending on your needs based on your research.
If you are financially secure, then you can opt to seek a comprehensive car insurance policy. Also, it is the right choice if you own an expensive car, as the repair and replacement costs can get hefty to cover from your pocket.
Compare Different Insurance Policies Online
With various car insurance plans available in the market, finding the appropriate one can be difficult. You need car insurance that not only provides the necessary coverage but also falls well under your budget.
Hence, there are many websites online that allow you to compare different car insurance policies online. With this facility, you can assess all the coverage related details and tally premium amounts for different car insurance available in the market.
Do A Background Check
To enjoy the benefits of your car insurance policy, you also need to have an understanding of the insurance provider. So, before you purchase the insurance plan, make sure that you carefully go through all the FAQs and terms regarding the said policy.
Also, check the reviews on the insurance provider online and the different products and services it offers. Understand what the claim settlement process they follow and what the claim settlement ratio is. Alongside, look for the online offers on the policy purchase and car insurance renewal facility.
Additionally, it does not hurt to go through the car insurance paperwork and details. You can choose to opt for additional coverage like zero depreciation cover that allows you to make your car insurance policy as comprehensive as possible. Also, it offers a high level of protection to your vehicle.
A Final Thought
Many insurance companies offer car insurance online. Finserv MARKETS is one such platform that allows you to buy car insurance as well as renew your policy easily online. In the end, being safe when driving your vehicle is essential.
With Car Insurance at Finserv MARKETS, you can benefit from features like round the clock assistance, cash-free servicing, and much more. The premiums offered are affordable, and you are covered against any road mishap, damage caused due to natural or human-made disasters.
So, what are you waiting for? Get Car Insurance at Finserv MARKETS, today!
Also read about the different types of car insurance plans to choose the best car insurance policy for your car.
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