Tricks to Buy Car Insurance Plans

Buying a car in today’s world is itself a tedious task. With umpteen options to choose from, we filter out the best car according to our requirements. However, when it comes to buying a premium car insurance, we handover this vital task to sloppy agents.  Adequate car insurance is a must for every owner. As per “The Motor Vehicles Act, 1988” it is mandatory for every vehicle running on Indian roads to get insurance. It will protect you from undesired and unexpected circumstances. Advantages of getting car insurance:

  1. It provides coverage in case of loss or damage of the insured vehicle.
  2. It provides coverage in case of any vehicle accident, loss or damage due to self-ignition, fire, explosion, natural calamities, riots, terrorism, etc.
  3. It includes personal accident cover.
  4. It provides coverage in case of financial and legal liability caused by injury or death of a third party or damage to property.

There are different types of coverage types. However, they can be broadly classified into two namely- Comprehensive Car Insurance Policy and Third Party Car Insurance Policy.

  1. Comprehensive Car Insurance Policy:

It covers all the losses occurring due to man-made and natural disasters. The natural disasters include lightning, flood, hailstorm, typhoon, hurricane, storm, cyclone, frost, landslide, fire, explosion rockslide, and shock damage due to the earthquake. On the other hand, man-made disasters include burglary, terrorism, theft, riot or strike, accident, malicious acts, damage during travel by road, rail, inland-waterway, and air. The policyholdercan cover fellow commuters in the vehicle by taking appropriate add-on.

Another feature is the third party legal liability cover. It guards the owner against legal liability in case of an accident that causes injury or death as well as any harm to property. It also covers for theft and fire only if the vehicles are not in active use and statically parked in the garage.

  1. Third Party Car Insurance Policy:

A car insurance policy is between two parties- the owner and the insurance company. The third party is usually an uninvolved party like pedestrians, drivers, public transport commuters, etc. The car insurance policy covers legal liability for any reimbursement to be paid arising from an accident caused by your car. It includes liability for death or injury to third persons.

We come up with some essential information that would help you to choose the best car insurance.

Car Insurance Plans- Best Deals:

Some of the best car insurance deals are defined below:

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  1. HDFC Ergo Car Insurance Plans:
  • Its online purchase is straightforward. It doesn’t require lengthy documentation.
  • It includes liability to the third party.
  • A car owner will be permitted to Personal Accident Cover for up to INR 2 lakhs against Permanent Total Disability and Accidental Death.
  • It has a 3400+ network of garages across the country.
  1. Bharti AXA Car Insurance:
  • It provides car insurance to private vehicles.
  • The owner’s plan is delivered in very less time and effort.
  • It had a sizeable cashless claim settlement at 2000 plus certified Bharti AXA car Insurance network garages.
  • A customer can enhance coverage of car insurance by adding on covers under their plan.
  1. Cholamandalam Car Insurance:
  • It requires minimum documentation and delivers in less time and effort.
  • It has an uncomplicated procedure for renewal of old insurance policy with Chola MS.
  • They are available 24X7 for their customers to provide smooth assistance.
  • Vast network of cashless gargages of Chola MS allow a cashless settlement to the owner in case of claim.

Frequently Asked Questions about Car Insurance:

  1. What do mean by No Claim Bonus (NCB)?

No Claim Bonus is the insurer’s discount by the company in case the owner does not  make any claim during the course of motor insurance policy term.

  1. What is Insured Declared Value (IDV)?

It is maximum money that is paid by the company at the time of vehicle loss, damage or stolen claim. It is declared before the commencement of the policy.

  1. What are the documents required to be submitted for a Car Insurance claim?

The following documents are required:

  • Registration Copy (RC) of the vehicle
  • Claim form filled
  • Original losses estimate
  • Payment receipt and repair invoice

Only a cashless facility requires a repair invoice. In case of theft claims, one needs to submit a copy of the FIR that has been registered with the police authorities. You will also have to provide a non-traceable certificate along with keys of the vehicle in such a situation.

  1. What is a voluntary deductible?

It is a percentage of the  share which an owner decides to bear at the time of a claim. A mandatory deductible is pre-decided by the IRDA, but the car owner can opt for the voluntary deductible according to his/her financial capacity.