An individual is shielded from all dangers by a motor insurance policy. It is beneficial for a person to recover from the expense of an unplanned accident that results in auto damage. It also covers harm done to property or to uninvited guests. In addition to the standard insurance against accidents, “third-party insurance” protects against the covered vehicle being involved in an accident that causes harm, property damage, or the passing away of a third person. Furthermore, extra add-on covers serve as insurance against little to major problems that aren’t a significant component of the basic Motor Insurance policy. *
Since auto insurance is required in India, everyone should be familiar with the terms of the contract. You must take into account the type of insurance coverage your vehicle will need when purchasing motor insurance. It can be divided into two sorts.
Comprehensive motor insurance
A comprehensive motor insurance policy offers total protection against the harm that an accident can do to your car. This auto insurance policy’s underwriter makes claims for damage to your vehicle, third-party legal liability, theft, and personal accident coverage. A comprehensive motor insurance policy also includes coverage for thefts and damage brought on by natural disasters. By including add-on covers, such as engine protection, accessories cover, medical expenditures, zero depreciation cover, etc., the coverage can be increased. *
Third-party liability insurance
The third party involved in an accident is the beneficiary of third-party insurance. Pedestrians, fare-paying and non-fare-paying passengers in a vehicle, and third parties are all possible. The Motor Vehicle Act of 1988 mandates third-party auto insurance in India. In third-party insurance, if the motor insurance claim is approved, it will pay for any harm or damages a third-party person or piece of property has suffered due to the covered vehicle. The passing of a third party is also included. Unfortunately, any damage to your own vehicle during the accident is not covered by this coverage. *
The main consideration when purchasing motor insurance coverage is the premium cost. You should conduct a thorough study on the insurance policy rate and the coverage provided, even while renewing your auto insurance. The amount of your car’s insured declared value (IDV), its cubic capacity, the year it was manufactured, and your no-claims bonus all factor into the cost of your vehicle insurance premium (NCB). *
People with fixed incomes are particularly impacted by the premium cost. If you frequently purchase add-ons to your auto insurance policy to extend the coverage, the premium cost will rise. Add-ons are additional coverage provisions in your policy that aid in preventing losses in the event of an accident. Any additions raise the cost of the insurance for your vehicle. *
You can, however, also lower the premium cost. The premium value is reduced when the deductible is increased. You can delete any unused additional motor insurance coverages to lower the cost of the premium. ##
A motor insurance claim is a procedure in which the insurance provider pays for damage to the insured person’s car. For motor insurance, there are two different sorts of claim procedures.
In a cashless car insurance claim, only authorised garages are used to repair damaged vehicles. Additionally, the insurance pays the garage directly for all of its expenses. *
Claim for reimbursement
This coverage requires the insured party to cover the cost of repairs. Later, in accordance with the terms and conditions of the car insurance policy, the insurer reimburses the sum after following the specified motor insurance claim process. *
When purchasing a new auto insurance plan or renewing/porting your current auto insurance plan, keep in mind the considerations outlined in this article.
* Standard T&C Apply
## All savings are provided by the insurer as per the IRDAI-approved insurance plan. Standard T&C apply
Insurance is the subject matter of solicitation. For more details on benefits, exclusions, limitations, terms, and conditions, please read the sales brochure/policy wording carefully before concluding a sale.