When a policyholder’s car is stolen or damaged due to unforeseeable events, car insurance pays reimbursement to the policyholder. The three types of auto insurance available to people are Third-Party Car Insurance, Comprehensive Car Insurance, and Standalone Own Damage Car Insurance.
Car Insurance Types
Complete Auto Insurance
The most comprehensive form of auto insurance is known as a comprehensive coverage, and it holds an insurance provider responsible for both the car’s own damages and any financial obligations owed to a third party. The coverage is valid in cases of natural disasters, man-made disasters, identity or lightning, detonation, fire, theft, etc. in addition to automobile accidents.
Car Insurance for Third Parties
In India, having third-party auto insurance is required in order to operate a vehicle. It is also known as a Liability Only Car Insurance Policy because it is the most fundamental type of auto insurance. In accordance with this coverage, the insurance provider is responsible for covering third-party deaths, permanent disabilities, temporary disabilities, and bodily injuries brought on by auto accidents involving the insured’s vehicle. This plan additionally covers third-party property destruction up to a maximum of Rs. 7.5 lakh.
Auto Insurance for Own Damage
The standalone Own-Damage auto insurance policy was unveiled by the Insurance Regulatory and Development Authority of India (IRDAI) in September 2019. In accordance with this plan, the insured is solely covered for damages to his or her four-wheeler that result from an accident, calamity (natural or man-made), fire, bomb, theft, or other incident. A desktop own-damage auto insurance policy attempts to give the insured the freedom to select the insurance company of their choice.
How Do I Choose an Online Four Wheeler Insurance Policy?
By paying attention to the following advice, you may select the best auto insurance plan available online:
1. Decide on the Type of Plan – Determine the Type of Policy You Need after evaluating Your Needs for Auto Insurance. Depending on your needs, decide between comprehensive or third party insurance.
2. Compare Policies – Online comparisons of various auto insurance policies are advised. It is simpler to choose the best auto insurance plan based on your demands and budget thanks to the comparison.
3. Verify the IDV and premium – The IDV is the market worth of your car at the time of purchase and the maximum payment an insurer will make to you in the event of a total loss or irreparable damage to your vehicle. Extended coverage may be possible with a larger IDV, but the premium will also rise. Check the IDV amount and choose the one that fits your budget and needs.
4. Request Add-on Covers – Add-on covers broaden the scope of your policy’s protection. It is available for purchase by adding a premium. Ask about the add-ons and pick the one that best meets your requirements. You can only get these covers, though, if you have a complete insurance plan.
5. Examine the Claim Process – Seek out an insurance provider with an easy and efficient claim procedure. Before making a decision, you can check an insurer’s Claim Settlement Ratio (CSR) to verify the caliber of their claim handling procedures. It is the proportion of claims that were resolved by the insurer in a given year. It is preferable to purchase a plan from a business with a high CSR.
Advantages of Car Insurance Purchase?
A variety of advantages are available to automobile insurance consumers. The following are the main advantages:
Maintains Your Legal Compliance
As per Indian Motor Tariff, every automobile owner is obligated to have at least a third-party car insurance coverage, having car insurance helps you stay legally compliant. Which’s absence is penalized by a fine of Rs. 2,000 and/or up to three months in jail.
Avoidance of Third-Party Liabilities
A car insurance policy aids in reducing third-party obligations for things like destruction of property, death, short- or long-term disability, and physical injury. While there is a restriction on third-party property damage compensation of Rs. 7.5 lakh, there is no such cap on third-party bodily injury and disability payment.
Protection from One’s Own Damages
An automobile insurance coverage enables you to protect your finances against the costs associated with your vehicle’s own-damage. Road accidents, environmental catastrophes, man-made tragedies, fire, explosions, vandalism, etc. all result in damage that is covered by standalone own-damage and comprehensive automobile insurance plans.
Protection From Theft
A car insurance policy also offers protection in the event that your vehicle is stolen. Your insurance provider will give you your vehicle’s Insured Declared Value (IDV), which is the market value of your vehicle, in the event that it is stolen.
Coverage for Personal Accidents
A short – term disability cover of up to Rs. 15 lakh that provides coverage in the event of death, bodily injury, and disability is also available with a car insurance policy.
How do I purchase auto insurance online?
Purchasing auto insurance is a very basic and straightforward process. Here’s how to purchase the appropriate auto insurance online from us.
Enter Your Car Information
To check the price of car insurance offered by the best insurance companies in India, enter information about your automobile, including its make, model, etc.
Car Insurance Quote Comparison
Choose the auto insurance policy that best fits your needs and budget out of all the ones that are offered.
Make a digital payment
Online payment of the policy’s premium will get your auto insurance documentation right to your inbox.
Benefits of Online Auto Insurance Purchase
There are many advantages to purchasing auto insurance online, including the following:
1. Accessibility – Compared to a standard offline facility, buying and renewing auto insurance online is significantly more convenient. The online vehicle insurance feature has made it possible for customers to compare and choose a policy from the comfort of their home, as opposed to the past requirement that they travel to the insurance company’s branch or meet their insurance agents.
2. Minimum Paperwork – When you purchase a car insurance policy online, there is little to no paperwork required, such as a digital format prescribed or copies of scanned papers. Additionally, after the policy is purchased, a soft version of the document is provided to the registered email address.
3. Inexpensive Process – Buying a car insurance coverage online is more cost-effective than doing it offline. When car insurance is purchased online, the overall cost of operations decreases since the insurance agent and other middlemen are cut out of the equation, lowering their commission costs. As a result, insurers can provide you with auto insurance plans at a lower cost.
4. Simple to Check Reliability – Online, as opposed to offline, it is considerably simpler to examine the credibility of any insurance firm. To determine an insurance company’s true functioning standard, you can readily access information on its Incurred Claim Ratio, Claim Settlement Ratio, claim settlement process, and reviews. It can be laborious and time-consuming to gather all of these details offline.
How to reach an Online Four-Wheel Drive Insurance Premium Calculator?
It’s really easy to figure out your vehicle insurance policy’s premium online. The methods to use the premium calculator to determine your auto insurance premium are as follows:
1. Select your car’s brand, model, gasoline type, and version.
2. Decide on the city where your car is legally registered.
3. Enter the year that you purchased your car.
4. Select “Yes” or “No” to indicate if you filed a claim in the prior year.
5. Type in your name and the mobile number where an OTP will be sent. You can choose coverage from a range of policy premium quotations you receive after entering the OTP.
How Do I Make a Car Insurance Claim Online?
There are two ways to file an automobile insurance claim: a reimbursement claim or a cashless claim. When you take your car to a networked (partner) garage of your insurance company for repairs, the claim is settled without the use of cash. When you go to a non-network garage of your choice, the claim is first handled by you, and then your insurance company reimburses you. The stages for filing a claim with your auto insurance are as follows:
Step 1:is to notify your insurance company of the incident.
Step 2 Get your claim inquiry number in
Step 3 : will involve a surveyor visiting the scene of the accident to evaluate the damages.
Step 4: If necessary, your insurance company will make arrangements for your vehicle’s towing.
Step 5: Have your car fixed at either a prepaid network garage or a shop that services your specific vehicle.
Step 6: The insurance company will settle the claim in compliance with the repair shop you selected.
Paperwork Needed to Submit an Insurance Claim for a Car Following an Accident
You need the following documents in order to successfully submit a four-wheeler insurance claim:
1. Automobile insurance
2. A copy of a driver’s licence
3. A properly completed claim form copy
4. The first repair bill
5. An RC car replica
6. Commercial vehicle fitness certificate
6. A duplicate of the FIR in cases of theft, mishaps, or third-party damage.
7. A cash receipt and a vehicle release document
8. Aadhar cards and PAN cards, which serve as proof of insurance,
Common Questions Regarding Auto Insurance
What Is automobile insurance coverage?
An arrangement between an insurance company and a car owner known as “auto insurance” or “four wheeler insurance” provides the latter with financial protection for financial losses caused by the policyholder’s vehicle as a result of unforeseeable circumstances. There are three different kinds of automobile insurance policies, depending on the coverage: third-party car insurance, standalone own-damage car insurance, and extensive car insurance. Instant e-Policy is provided by the online car insurance evaluation process.
What makes car insurance necessary?
The benefits of having four-wheeler insurance are numerous. First off, it enables you to comply with the mandate that you have at least third-party auto insurance. Additionally, a car insurance coverage assists you in covering potential financial obligations you could have to a third party all own to your car from a collision or other sad incident.
How much of a fine must I pay for driving without auto insurance?
While operating a vehicle, you must have at least a third-party insurance policy. If you are caught driving lacking it for the first time, you may be subject to a fine of Rs. 2,000 and/or a maximum of 3 months in jail. If you are caught again, the penalty increases to Rs. 4,000 and/or a maximum of 3 months behind bars.
The IRDAI sets the third-party auto insurance premium rates, which are based on the vehicle’s engine size. However, the cost of standalone own-damage and extensive auto insurance policies vary from vehicle to vehicle depending on a range of variables like the MMV (Make, Model and Variant), RTO region, engine size, city of registration, and fuel type.
What happens if my auto insurance coverage expires?
Every auto insurance policy has a time limit after which you must renew it in order to keep receiving the benefits. Nonetheless, even if you forget to renew your auto insurance coverage by the expiration date, you still have 90 days beyond that date to do so. There is no possibility of renewing auto insurance once this 90-day window has passed. You must then buy a new automobile insurance coverage.