Car Insurance And Its Importance
Car insurance is a type of insurance policy that covers your vehicles from potential risks financially. Financial protection is provided against damages to the policyholder's car or two wheeler due to accidents and other perils. Car insurance is mandatory in India.
types of Car insurance
Car Insurance for Specific Vehicles - Private Car Insurance and Commercial Car Insurance
A private car insurance is purchased by private car owners using their car for personal use. There are different types of policies that a car owner can choose from.
A commercial car insurance is to be purchased by people who own a taxi or use their car for business purposes.
Car insurance policy
1. Third Party Car Insurance Policy
It is mandatory to take third party cover under the Car Vehicle Act 2019. Without it, you will be driving your car illegally on the road and this will result in fines and/or fines. This cover provides coverage against any legal liability caused by your car or vehicle to a third party. In simple words, third party insurance covers injury or death caused by your vehicle to a third person as well as damage to property. Here's an interesting feature of the cover. As per the Car Vehicles Act, the claimant is not bound to prove the negligence of the driver responsible for the accident. As the name suggests, third party insurance only covers third party liabilities. It does not cover damage to your vehicle or theft. The premium is also low considering the nature of the cover.
2. Own Damage Car Insurance Policy
An own damage car insurance policy helps you in protecting your car from damage caused due to accidents like fire, theft, etc.
In case of an accident, a self damage cover indemnifies you for the cost of repairing or replacing parts of your car that were damaged in the accident.
This policy covers the cost of damages to your car due to Natural calamities like floods, earthquakes, fires and more Man-made disasters like vandalism, riots and terrorist attacks Damage to your car or car accessories in the event of an accident theft or malicious act
3. Comprehensive Car Insurance Policy
With comprehensive car insurance, you get the benefit of third party liability cover as well as own damage coverage. As the name indicates, it provides deep, complete protection for you and your car. The major feature of this insurance is that it covers theft of the car apart from the loss due to various reasons. If you have this cover and your car gets stolen, you can breathe easy knowing the fact that it will be covered. Comprehensive insurance covers many perils such as vandalism, fire damage, flood, damage due to natural calamities like tornadoes, wind storms etc., breakage of glass (like windshield), damage due to falling object etc. You can enhance your protection with add-on covers like personal accident cover, electrical appliance cover, zero depreciation cover and much more.
Importance of Car Insurance in India
With the updates in the Car Vehicles Act 2019, it has become even more essential to know about the various aspects affecting you as a vehicle owner. Car insurance is a major aspect you need to know about.
In today's time car has become more important than luxury. Whether traveling or planning for long distance travel, most people prefer to travel in the comfort and ease of their cars rather than using other forms of transport. Whenever you buy a car, a Car insurance policy is equally valuable and important.
Buying a good policy is becoming an overall responsibility for people everywhere as Car insurance policy is really mandatory in most of the countries. Due to the high premium rates today, many buyers consider it a waste of money. However, a Car insurance policy, in the long run in the future, becomes a very important and valuable investment. Car insurance is becoming a necessity for everyone who has a car, no matter how proficient in driving a car or how much he is a super driver.
Accidents can happen to anyone, and a Car insurance policy helps ensure that you and your car stay safe. A lot of insurance providers buy insurance policies not only for destruction and damage to the car, but also for medical insurance as a part of the policy. That way, if anything happens to your vehicle, your insurance policy will take care of all its expenses as well. An added benefit of Car insurance nowadays is third party liability. Because of this benefit, anyone who gets injured due to any kind of accident can also be covered under your insurance policy.
The best Car insurance policy available to you will help you decide based on whatever your needs and requirements are. Due to the huge market of insurance you can find a lot of competitors in the market today, Many insurance companies offer you customized insurance policies. If more than one person in your family drives a car, make sure your insurance policy covers them as well. The best Car insurance policy covers loss or damage to your car due to theft and theft, natural calamities, riots and malicious acts, fire and explosion etc. Many Car insurance policies include a feature known as a no-claim bonus - this is applicable when you haven't made a claim for insurance for a long enough period, so in this case the Car insurance provider will provide you. Will you with a discount on your premium rates.
A Car insurance policy should match your pocket size without putting pressure on your expenses. With the ideal amount of insurance coverage and exclusions, your insurance policy is going to be in effect for your vehicle and condition. Even if you are planning to buy a Car insurance policy for your child's car, it is advisable to buy it in your own name, as young drivers get extra expensive insurance rates. Loyalty discount is included in many insurance companies in India, so if you have purchased another insurance policy from them, they may give you a reduction or discount in value on your Car insurance premium.
Add on cover to your car insurance policy
We have several additional covers to enhance the protection of the vehicle:
Zero Depreciation Cover: We can opt for this cover with a small additional premium to protect the additional depreciation charges at the time of claim.
NCB Retention Cover: We can opt for this cover to protect our No Claim Bonus even after a claim is made in the policy in force.
Total Cover: We can insure our additional cost of the vehicle, this cover allows to get reimbursement of registration cost, road tax and amount spent on insurance at the time of total loss, constructive total loss or theft claims
Engine Protector Cover: An engine is the heart and soul of your car. Engine add-on cover provides compensation for expenses incurred while repairing indirect damage caused by water ingress or lubricating oil leakage causing loss or damage
Consumable cover: Sometimes, a bunch of minor expenses can put a big dent in your pocket. All expenses incurred on consumable items are covered if they are damaged due to perils covered by our policy. Consumables such as nuts and bolts, screws, washers, grease, lubricants, clips, AC gas, bearings, distilled water, engine oil, oil filters, fuel filters and brake oil are covered. I
Car insurance policy is available for people in every walk of life. Whatever your age, what model car you own or how many people you want to cover, you will find a policy that best suits you. With the wide variety in the insurance business today, it is very easy to find a customized Car insurance policy to meet your requirement. Buying a comprehensive car insurance policy is very important for all vehicle owners today - buy the right and most suitable Car insurance policy and stay safe.
Also Read Online Colleges For MBA In USA
Also Read Car Insurance And its importance
Also Read What Is Cloud Computing
Also Read Home Insurance And Its Imporatance
Also Read the average cost of car insurance
Read This 4-different-types-of-general-insurance
You Might Like: Why Would You Need a Property Insurance Policy
Posted in Earn Money Money Affiliate Marketing Business Crypto Investment Bank