With most insurers offering car insurance policies online, it has become easier for car owners to compare car insurance providers and plans and choose the best option for them. There are many insurers offering a wide range of insurance for cars to car owners. These plans have varying features and premiums designed to cater to the unique needs of car owners.
When you decide to buy a motor car insurance policy, you can compare the services of different providers, different types of plans, and add-on covers to choose a policy that meets your requirements. A car insurance calculator is an important tool that can help you with this comparison and find the best car insurance policy.
What is a Car Insurance Calculator?
If you are opting for a third-party car insurance policy, then the premium is determined by the engine capacity of the car. However, if you are opting for a standalone own-damage plan or a comprehensive car insurance plan, then there are many factors that can impact the premium calculation.
An online car insurance premium calculator is an online tool that helps you ascertain the premium of a car insurance plan based on a range of factors. These include:
- The make, model, and age of your car
- The Insured Declared Value or IDV of the car
- The engine capacity (CC) of the car
- The geographical area of registration of the car
- No Claim Bonus (if any)
- Add-on covers
- Deductibles and many more
How to Use a Car Insurance Calculator?
Most insurer websites and many other platforms offer free online car insurance calculators in India to help car owners determine the premium cost of the policy they intend to purchase. But, first, you need to visit the website and provide information about the car, its use, registration, and personal details about you (the owner of the car).
If you are buying insurance for a used car, then you might have to enter details of the existing policy, claim history, and previous ownership. Once you furnish these details, the online car insurance premium calculator estimates the premium that you might have to pay for the features you need in the plan.
How Can Car Insurance Calculator Help You Get The Best Coverage?
Most car owners consider the cost of the insurance policy before making a decision. This is because car insurance offers protection from damages that involve the insured car. Many car owners find this to be an unnecessary cost and look for the cheapest plan to fulfil the legal requirement. However, this exposes them to financial risks if the cover is inadequate.
When you use a car insurance calculator, you can understand how the premium is calculated and how different factors contribute to the final amount. You can add/remove some features to get the best coverage at a premium that fits into your budget.
For example, you can select add-on covers by comparing the cost of repair or replacement of specific parts of your car with the premium that you have to pay. If you think that you will manage the costs of repair, then you can exclude the said add-on. Similarly, you can choose a voluntary deductible and determine the reduced premium based on the deductible that you are willing to bear.
An online car insurance premium calculator is one of the most important tools for people looking to buy a car insurance policy. It allows you to be in complete control of the features for which you are paying a premium. It also allows you to compare plans across providers to determine the most cost-effective plan.
Before you start looking for a motor car insurance policy, assess the risks that you and your car are exposed to based on the routes that you drive on, the parking area, thefts in your area, natural calamities in your region, and so on. Then you look for providers with a good track record of service. Next, look for plans that offer features that you need and use the car insurance calculator to find the most cost-efficient plan for your car. Good Luck!