Vehicle Insurance
Features Of Vehicle Insurance
Third-Party Liability Coverage:
Medical expenses, property repair costs, and legal fees
Own Damage Coverage:
Covers damages to your own vehicle
Personal Accident Cover:
Financial compensation in case of bodily injury
No Claim Bonus (NCB):
Discount on your renewal premium
Cashless Garages:
Network of garages
IDV:
Maximum sum assured amount
Benefits
About Vehicle Insurance
Vehicle insurance provides financial protection for your vehicles. It helps cover the costs if your vehicle is damaged, stolen, or if you are involved in an accident. In India, it is mandatory to have at least third-party vehicle insurance.
Third-Party Liability Coverage:
This is the most crucial aspect and often legally mandated. It covers your financial liability if you cause injury or damage to another person or their property in an accident. This includes medical expenses, property repair costs, and legal fees.
Own Damage Coverage:
This covers damages to your own vehicle in case of an accident, fire, theft, vandalism, or natural disasters. It protects your investment in your vehicle.
Personal Accident Cover:
This provides financial compensation in case of bodily injury or death to the owner/driver of the insured vehicle as a result of an accident. It offers a safety net for you and your family.
No Claim Bonus (NCB):
If you don’t make any claims during a policy period, you earn a discount on your renewal premium. This encourages safe driving and rewards claim-free years.
Cashless Garages:
Insurance companies have tie-ups with a network of garages. If you get your vehicle repaired at a network garage, the insurance company directly settles the bill with the garage, providing a hassle-free experience.
IDV:
IDV is the maximum sum assured amount that one will receive from the insurance company in case of a total loss or theft of the vehicle. It is generally decided according to the age and condition of the vehicle.
Why to take Vehicle insurance?
It is advisable for every person to have vehicle insurance, because a single vehicle accident can lead to unexpected financial burdens. Vehicle insurance is crucial for your financial security and peace of mind on the road.
Financially:
Financial Stability:
Unexpected accidents and repairs can be financially devastating. Vehicle insurance mitigates this risk by distributing the financial burden, protecting your savings and preventing debt accumulation.
Liability Protection:
If you are at fault in an accident, insurance covers the costs of damages to other vehicles or property and any resulting medical expenses for injured parties, protecting you from potentially devastating lawsuits.
Vehicle Protection:
Insurance covers the cost of repairing or replacing your vehicle in case of accidents, theft, or damage from other covered perils (e.g., natural disasters).
Emotionally:
Reduced Anxiety:
Knowing you are financially protected in case of an accident significantly reduces stress and allows for greater confidence while driving.
Enhanced Freedom and Mobility:
Vehicle insurance provides the freedom to use your vehicle without the constant fear of financial hardship due to unforeseen events.
Peace of Mind and Responsible Driving:
Knowing you are protected and can assist others in case of an accident fosters peace of mind and reinforces responsible driving habits.
Beyond Basic Coverage
Our comprehensive vehicle insurance plans not only cover damages caused by accidents but also extend protection against natural calamities such as floods, storms, and earthquakes, as well as man-made disasters like theft, vandalism, or fire. With add-on covers like zero depreciation, engine protection, and roadside assistance, we ensure your vehicle gets the best possible coverage at all times.
- Easy Claims and Hassle-Free Service
We pride ourselves on offering seamless and hassle-free claim settlements. Insurers tie-ups with a wide network of garages and service centers ensure quick repairs and cashless services, minimizing inconvenience during stressful situations. Our dedicated support team is always ready to assist you in case of an accident or breakdown.
It is very important for you to know.
- When Buying Insurance:
- Assess your needs: Determine the right type of coverage (third-party liability, comprehensive, or standalone own damage). Consider the age and value of your vehicle, your driving history, and your budget.
- Compare policies: Compare quotes from different insurers online or through agents. Look at the coverage offered, add-ons, claim settlement ratio, and customer service.
- Understand the policy coverage: Carefully review the inclusions, exclusions, and limitations of the policy. Pay attention to what is covered (e.g., accidents, theft, natural disasters) and what is not (e.g., wear and tear, driving under the influence).
- Check for add-ons: Consider add-ons like zero depreciation, roadside assistance, engine protection, and consumables cover based on your needs and budget.
- Disclose accurate information: Provide accurate details about your vehicle, driving history, and any previous claims. Misrepresentation can lead to claim rejection.
- Check the Insured Declared Value (IDV): Ensure the IDV (the maximum sum insured) is accurate and reflects the current market value of your vehicle.
- Read the policy document thoroughly: Before finalizing, read the policy wording carefully to understand all terms and conditions.
- Don’t just focus on the lowest premium: While cost is a factor, prioritize adequate coverage and a reputable insurer.
- Don’t hide any information: Never conceal any details about your driving history, vehicle modifications, or previous claims.
- Don’t delay renewing your policy: Ensure continuous coverage by renewing your policy before it expires.
- Don’t assume all policies are the same: Compare the features and benefits of different policies before making a decision.
By following these do’s and don’ts, you can ensure a smoother experience when purchasing vehicle insurance and filing a claim.
- When Making a Claim:
- Inform the insurer immediately: Contact your insurance company as soon as possible after an accident or incident.
- Gather evidence: Collect evidence such as photos of the damage, details of the other parties involved, and any police reports.
- File a police report (if necessary): If there are injuries, significant damage, or disputes, file a police report immediately.
- Cooperate with the surveyor: Cooperate with the surveyor appointed by the insurance company and provide all necessary information and documents.
- Keep records of all communication: Maintain records of all communication with the insurer, including emails, phone calls, and claim documents.
- Get repairs done at network garages (if applicable): If you have a cashless claim facility, get your vehicle repaired at a network garage to avoid paying upfront.
- Don’t delay informing the insurer: Delaying notification can complicate the claim process.
- Don’t admit fault at the scene of the accident: Avoid admitting fault until the investigation is complete.
- Don’t tamper with the evidence: Do not attempt to repair or alter the damage before the surveyor has inspected it.
- Don’t submit false information: Providing false information can lead to claim rejection and legal consequences.
- Don’t discard any documents: Retain all original documents related to the accident and the claim.
- Don’t get repairs done without insurer approval (unless emergency): Getting repairs done without prior approval from the insurer may lead to claim rejection or reduced settlement.
By following these do’s and don’ts, you can ensure a smoother experience when filing a claim.
FAQ - Frequently Asked Questions
There are two types of vehicle insurance policies, like:
- Third-Party Insurance: This is mandatory by law in India and covers damages and liabilities to a third party (other vehicles, property, or individuals) in case of an accident involving your vehicle.
Comprehensive Insurance: This provides broader coverage than third-party insurance. In addition to third-party liabilities, it also covers damages to your own vehicle due to accidents, theft, natural disasters, fire, and other unforeseen events.
Yes, as per the Motor Vehicles Act, 1988, having your vehicle insured is mandatory at least with third-party coverage.
A comprehensive insurance policy covers:
- Own damage: Damages to the vehicle due to accidents, fire, theft, natural calamities, or vandalism.
- Third-party liability: Legal liabilities arising from injury, death, or property damage to a third party caused by your vehicle.
Several factors influence the insurance premium, including the type of coverage, the age of the vehicle, the vehicle’s make and model, geographical location, previous claim history, and the Insured Declared Value (IDV) of the vehicle, add on covers and selection of particular insurance company.
Disclaimer:
Please note that the information provided here is for general understanding and might not cover all specific scenarios or recent changes in regulations. For detailed and accurate information, it is recommended to contact an insurance provider or consult the Insurance Regulatory and Development Authority of India (IRDAI) website. www.irdai.gov.in
