How to Get Low Cost Car Insurance

Car insurance, also known as auto or motor insurance protects you and your car from unforeseen incidents such as accidents, theft and other disasters by providing you financial protection. With a car insurance policy, you can also get protection for third parties such as your driver and your co-passengers, and their cars. A car insurance policy is therefore a great boon and gives you the peace of mind to drive without anxiety, but with responsibility. Also, car insurance is mandatory by law in India.

With so many motor insurance companies in the market, you must be at a real loss to figure out which policy and insurer to choose. You need an insurance policy that fulfills your requirements and is also cost effective. You must therefore ensure that you get the best insurance in the market at the most reasonable premium.

Factors That Determine Insurance Premium

You can always search for companies that give you cheap car insurance along with adequate benefits. However, there are various factors that affect the premium. The premium is normally dependent on factors such as:

The type of car and its cost like luxury car will have a higher premium than ordinary cars.

Most companies give a discount if there are safety and security accessories in your car.

Safe Driving- if you have been accident free for a stipulated period of time, you get a discount in the premium.

Insurance for loss of personal belongings and car locks, luxury gadgets like night vision equipment and ultrasound sensors etc. will increase your premium.

The more the amount of voluntary excess you pay after an emergency will reduce your premium.

A No Claims Bonus (NCB) will get you some discount.

How to Get a Good Insurance Policy

To get the cheapest auto insurance with the best coverage, you must do the following from your side:

Get insurance quotes from various companies and compare them

You must compare both the prices and the features

Do online research and find various auto insurance rates and quotes

Insurance portals like Easypolicy.com help you do this easily.

You must also crosscheck the information provided by the insurer on websites like Easypolicy.com

You must be truthful in all your declarations to avoid problems during the actual claim.

Get all that is promised by the insurer in writing.

Ensure that your insurance agent provides you first with the cover note. You then get the final policy document after 60 days.

Find out which company has a cashless-settlement process tie-up with which garage in your city.

Buy insurance from insurance brokers who unlike insurance agents don’t work for particular companies.

Above all, you must drive carefully and responsibly, with respect for your life as well as for others on the road. This is the best way to never have to use your insurance, or at least to bring down its usage.

Quick tips to buy car insurance online

What do you do when you want to buy car insurance but are not sure if you would land up with the best deal for you? The reality is that you could easily be taken for a ride when purchasing motor insurance – there is so much out there in the market that you could possibly not see the difference between the best car insurance and one that you would rather be without. Here is what you should know and what you could gain when you buy insurance online.

Compare insurance: One of the main advantages of being connected to the World Wide Web is that you are not alone in your search. The power of the internet is many times more powerful than a whole bunch of retailers put together – remember not to overlook this ability. It is much easier and realistic today to look out for online insurance than what it was a few years ago, when the industry was in its infancy,trying to figure out what the internet had in store. The most important part in your
search for the best deal is to spend some time – online.

Provide the right information: When you are dealing with the world of virtual reality, you need to be sure that you have the right information on hand, and are willing and able to provide with the facts as may be required. Insurers tend to look favourably upon people who have not had insurance claims, or those who could be categorised as being low-risk drivers. You may also want to have your Vehicle Identification Number, Registration number, make and model details handy as you try
to crack the code of car insurance online.

Do not rush: Whether you are on the road commuting to work or you are online,trying to secure your motor insurance, there is one rule that you should follow – do not wait for the eleventh hour. When you rush, you miss out. Take your time, shop around, and compare insurance. The advantage of buying insurance online is your ability to seek out the right information. Plan in advance before your policy is due for renewal and compare car insurance to see what is on offer and how you could make the most of it all.

Be informed: In an era of internet and instant connectivity, information is the key.And there is so much information available online these days, at the click of a button that you would only have to be intent on getting them all in place to make a decision.Find out about the insurance claim, get information on your rights and responsibilities, and get to know the motor insurance industry better. As always,
knowledge is power.

3 Ways to Buy Car Insurance

Here discussed are the basic car insurance that would provide you coverage against various risks. Also discussed are what you can expect from a car insurance cover and which of these would fit your coverage needs.

Buying car insurance policy is mandatory under the India Motor Tariff act and you need to renew it every year. But, before you buy car insurance you need to make sure

1) You know your coverage needs

2) Understand your liability in case you file a claim 

3) Have done an online comparison to ensure you get the best deal

Your Coverage Needs

Let’s understand what you can expect from a car insurance cover and which of these would fit your coverage needs.

Basic car insurance would provide you coverage against the risks like -

1)   Damage to your own car or third party property / person during an accident

2)   Car theft

3)   Damage to your car because of man-made calamities like terrorism, riots or due to a malicious act

4)   Loss or Damage to your car due to natural calamities like fire, explosion, lightning, earthquake etc.

5)   A personal accident cover which would provide a fixed sum to the driver of the car, in case of an accident which leads to death or disability.

Apart from the basic insurance cover, if you are looking for additional protection for your car, you can opt for riders like -

1) Zero depreciation cover – This allows you to avail full reimbursement of cost, or replacement of damaged parts, without any depreciation deduction.

2) Extend personal accident cover to Co-passengers – The personal accident cover which normally covers just the driver can be extended to include co-passengers as well.

3) Spare Car Cover – A spare car cover would allow you to get reimbursement or daily cash benefit to cover the cost of hiring an alternate mode of transport.

Your Liability When you File a Claim

Your personal liability would depend on the insurance cover you have brought. There are four things that would influence your liability when you file a claim.

Deductible

When you file for a claim, a certain minimum amount has to be paid by the insured and it depends on the car you own. For a private car less than 1500 cc, the minimum deductible is Rs 1000, while for a private car above 1500cc, the deductible is Rs 2000.

Voluntary Deductible

A few people who are confident about their driving skill and intend to keep the insurance premium low opt for a voluntary deductible. The voluntary deductible is in excess of the compulsory deductible that the insured agrees to pay while he files for a claim.

Depreciation Value

The insurer pay for the current market value of the parts as calculated by applying depreciation on those parts. So, the insured will have to pay the difference between the replacement value and the depreciated value of the part.

No Claim Bonus

While filing for a claim, you need to make sure that the amount you are looking to claim is reasonably big, as there is hidden cost attached to filing a claim. The hidden cost is nothing but a No Claim Bonus (NCB).

What is No claim bonus (NCB)

 

No claim bonus is the discount on the future premium payments, which the insurance holder receives from the company for a claims-free year. In case of car insurance policy,  you can enjoy getting discount in your next premiums as per the terms and conditions  mentioned in the insurance plan you opted for.

The concept is simple, car insurance generally provides cover against damages to the insured vehicle and third party claims.

No claim benefit in motor insurance is applicable as long as insurance claim is not made.  After the claim is made, the benefit of no-claim benefits is back to null. This explains that the policyholder will have to make higher payments for premiums because he/she won’t be  eligible for policy premium discounts under no claim bonus scheme.

Though, as per the latest offers made by insurance companies in this field, a policyholder  can still enjoy saving 20 per cent of no claim discount even after claiming the insurance  amount. To avail this benefit, the insurance holder needs to take an add-on cover plan to  protect the benefit of no claim bonus.

If you own a four-wheeler vehicle insured, then the amount of bonus being offered on not  claiming coverage begins in the second year from 20% and can go up to 50% till the sixth  year. All the insurance companies have same rates for the bonus amount on not claiming.  The best way to save money during an insurance policy is to estimate the money you will  need to spend in repairing and compare it with estimated discount you will get through no-  claim benefits in upcoming years. If the amount of discount is higher, you should prefer to  get the damage repaired by yourself instead of claiming for insurance premium and enjoy
getting excellent benefits of no-claim discounts in your policy.

Trim Down the Cost of Car Insurance

There is a lot of talk about cheap car insurance. Budget conscious as we all are, we are tempted by it. There are ways you can reduce car insurance premiums substantially.

Have you ever thought that you could have got a better deal in terms of premium and the cover provided? Think about it. You might be paying a lot more than you need to or you might get a better vehicle insurance cover. Check and compare with what you have and what could be better. Trim down the cost of car insurance.

Type of Insurance: Premium varies with the level of insurance you choose for the car. Liability only policy is mandatory as well as the cheapest. It is fixed for a particular vehicle. Comprehensive vehicle insurance policies are expensive but the cover includes liability as well as damage to own car.

Get Quotes and Compare Prices: Getting quotes from various companies was a tedious task. With online insurance comparison channels, it has become much easier to get quotes, compare prices and have policy features at a glance. You will find that the rates offered by different companies for the same car are different.

Reasons for price difference can be many. Check if the difference is due to some added features and if those additional features are important to you. The difference may also be due to the discounts offered by different car insurance companies to specific car brands.

Avail the No Claim Bonus: If you are a safe driver and have not made a claim on your vehicle in the past policy year(s), you are entitled to premium discounts called the no claim bonus. It can be from 20% to 50% of the own damage part of the premium depending upon the number of claim free years.

If you are planning to change your insurance company, you can transfer your no claim bonus to it. You can even transfer the no claim bonus accumulated over your old car to your new car when you sell the old car.

Voluntary Deductible: Voluntary deductible is the repair cost that the policy holder decides to pay in case a claim arises. Insurance policy settles the claim after deducting this amount. Opting for voluntary deductible reduces the premium. There is a compulsory deductible amount you will have to bear in any case. Opt for the voluntary deductible amount that you can comfortably bear.

Choose the Add-on Covers Wisely: There are a lot of add-on covers available in with the car insurance companies. Although all of them are very beneficial, they add to the cost. Also see which accessories you want to get covered. Including accessories in the cover will increase the premium.

For a new car you may want to buy a full featured insurance but needs change over the time and you may want to discontinue some of them. So, it is better to spare a thought to which added features you actually require.

Other Discounts: you are entitled to discounts if you have installed anti-theft devise approved by ARAI or you are a member of a recognized automobile association.
Once you take care of these things, you will either be able to get cheap car insurance or get a better deal for the same amount.

Car Policy Types in India

Car insurance policies offered by general insurance companies in India can be broadly classified into two types – liability only policy and comprehensive policy. While it is mandatory for you to own a liability policy, you have the freedom to decide if you need to own a comprehensive plan.

What is a liability policy?

This is also known as third party liability insurance. A liability policy would cover the liability towards a third party incurred on account of an accident. This would cover costs that may arise related to property damage, accidental death and injury to the third party in case the third party sues the insured for claim of such damages. In our country, it is mandatory for all vehicles plying on public roads to at least own a third party liability cover.

What is a comprehensive car insurance policy?

As the name suggests, a comprehensive insurance policy would also provide cover for costs incurred towards “own damage” apart from liability towards third party. The own damage cover would provide insurance against the repair costs to your car in the event of an accident, and also cost of repair of damage due to an unfortunate event like earthquake, flood or other unforeseen calamity.

The car insurance premium that you will have to pay would depend upon whether you choose to buy just a third party liability cover or a comprehensive cover.

Know Your Car Insurance Policy

Vehicle or Motor Insurance in India is compulsory for all new vehicles. Hence insuring your car is now a must by law. Car insurance in India typically provides cover for you, the insured party. It also provides insurance cover for other passengers, the car itself and its parts.

Every person dreams of owning a beautiful car in which they can take their family and friends.  They buy the car and treat it with utmost care so that not even a scratch spoils it. However, no matter what care you take, there may be unforeseen situations, such as accidents, theft, acts of terrorism and natural calamities that come uninvited. You may then have to pay for getting your car back in shape or buy a new car. You may also have to pay for your medical expenses or of another person. So when you buy a car, you must also think about how you can protect yourself and your car in case of such unforeseen situations. An insurance cover for your car is what you need to save yourself from such risks and the subsequent financial liabilities.

Vehicle or Motor Insurance in India is compulsory for all new vehicles. Hence insuring your car is now a must by law. As a result, private car Insurance is a fast growing sector in the insurance industry. All these aspects and more that come under Car Insurance in India and its various features will be covered here.

How to Choose a Car Insurance Policy

With so many car insurance companies in the market, you must make sure that you select a reliable and good insurance company, and also choose the right policy for your car.  There are mainly two types of policies, which are:

• Package Policy

This type of policy provides cover for the insured vehicle, its owner, and third party coverage

• Liability Only Policy

This type of policy provides cover for a third party, damage to third party’s vehicle and life of  the driver.

Also, you must compare and select an online car insurance quote based on the following factors:

• Good name and reputation of the company

• Premiums and add-on coverage options, riders, benefits etc.

• Payment options like EMIs, lump sum etc.

• Company’s and garage tie-ups for settlement of claims


Insurance Amount and Renewal

Car insurance in India typically provides cover for you, the insured party. It also provides insurance cover for other passengers, the car itself and its parts. In addition, third-party legal liabilities, including people and car are also covered under this kind of insurance.  These days there are certain general insurance companies who also offer online insurance services for your vehicle.

The insured amount is always the market value of the automobile at that particular point of time. It is not the booking price or the original price of the vehicle when it was purchased. The amount of premium depends on the following factors:

• Make, model and value of the car

• Which state the car is registered

• The year of manufacture of the vehicle

• Capacity of the vehicle

• Previous Claim History

The renewal of the policy must be done before its expiry; else the insurance policy becomes invalid and will attract a penalty. As you already know, you can’t drive an uninsured vehicle. Also, if the policy gets expired, one must take the vehicle to the office of the insurance company again for renewal, which is an added burden.
Car Insurance Companies

You can get the car insurance from the government-owned General Insurance Company (GIC) or the four subsidiary companies of GIC:

• National Insurance Company

• Oriental Insurance Company

• New India Assurance Company

• United India Insurance Company


When Can You Claim Insurance?

Listed here are some possible situations when you can claim car insurance for loss or damage:

• Self ignition

• Accident

• External Explosion

• Sabotage

• Robbery

• Riots or Terrorism

• Fire or Flood

• During Transit

When You Can’t Claim Insurance?

Listed here are some possible situations when you can’t claim car insurance:

. Drunken driving caused accident

. Depreciation in value of the vehicle

. Mechanical and electrical breakdown

. When vehicle is used outside the geographical area

. Driver is different from the one stated in driver's clause

. War like situations, nuclear disasters 

Renew Your Car Insurance Online

Car insurance is mandatory by law in India and you must take care to see that you have your insurance ready before you take out your car on the roads. You must therefore always keep your insurance updated and renewed. Online car insurance renewal is the fastest and easiest way to do it.

Also, in case your insurance has expired, you must take care that you have it renewed at the earliest. You will otherwise be open and defenseless when faced with a fine, theft, accident or any disaster. You have diverse ways of getting your insurance policy renewed, which may be through agents or by going online.

By going in for the online insurance renewal, you have many advantages. The key ones are:

All information that you need is easily available online, at one place. There is no laborious paperwork or endless rounds of insurance offices to spoil your day, but everything gets done quickly at the click of a button.

By going online, you can also ensure that the entire process is dependable. You can do a detailed study of various facilities provided by the insurer from the comfort of your home. Also, you will have digital documents to prove your payments and all other transactions as well.

Also, get the entire process done at your own time, at your leisure. You don’t have to fret and fume about your work load at the office that is causing delay in getting your policy renewed.

Most insurance providers provide an insurance calculator on their sites. This is for your convenience to make your renewal process easier and error free.

Last but not the least, you get email alerts on your next insurance date by going in for an online process. You thus have something to remind you that your insurance renewal date is fast approaching.

Car insurance renewal using the usual manual method is time-consuming and troublesome, just like getting a new policy. The easier, hassle free and less time consuming way is to go online. There are very few chances of errors as you have all the data and information available online, to be accessed anytime.

Choosing the Right Auto Insurance

When we buy a car, we usually get to interact with an insurance agent right at the dealers shop and end up buying it, generally because it is most convenient. Thereafter, we carry on with the same company for the ease of continuing with it. We often avoid surveying for good car insurance because it sounds tedious. 

It is important to check what various car insurance policies provide cover for and then compare. By not doing so you might be paying a lot more than it is necessary. Checkout what types of car insurance are available and see what you need the cover for. We can assist you in comparing and identifying the most suitable insurance, and it is easy and convenient.

Types of car insurance:

Third party cover – This is mandatory by law. If you wish to drive, you must have third party insurance for your vehicle. It covers injury to another person or damage to another property caused by your vehicle. It is the cheapest cover available and fulfills the legal requirement.

While this is enough to put your vehicle on road, it does not provide any safety cover to your vehicle. So, if something happens to you or your vehicle in an accident, you are left with no financial cover. You will have to pay for everything on your own, though you still have a minimum accidental cover as the owner of the vehicle. 

If your vehicle is very old or if you are planning to sell it soon, then it may suffice. In case of a new or not so old car, it proves to be insufficient.  

Third party, fire and theft cover –This covers the third party liability to person or property and also covers damages to your car in case of theft or fire. It can be taken in combinations like third party and fire cover, third party and theft cover and third party, fire and theft cover. 

This gives some protection to your vehicle as well. So in this case if the damage to your vehicle is due to fire or if your vehicle is stolen, it is covered. This still does not provide any cover in case of an accident. It is better to go for this cover for cheaper cars or for the older cars. 

Comprehensive cover – As the name suggests it provides complete cover. This includes third party damages and damage to own car due to fire, theft accident or vandalism as well as accidental cover for self. This gives ample protection to third party damages and own car damages due to any reason and theft. This kind of vehicle insurance is generally sufficient to cover most situations.

Although comprehensive car insurance provides good cover to the vehicle along with covering the mandatory aspects, it is much more expensive than the other two types. While it is most suitable for new or expensive cars, it may be a little excessive for older or cheaper cars.

Even the comprehensive car insurance does not cover all. There are certain emergency situations that are not covered in any vehicle insurance. Now, to make the car fully covered, car insurance companies introduce add-on covers like:

Zero depreciation cover

No claim bonus protection cover

Emergency transport cover

Roadside assistance cover

Loss of personal belongings cover

Key replacement cover

Windscreen and accessories cover

These add-on covers add to the cost as well. They are more suitable for very expensive cars or new cars. So if you are looking for cheap car insurance they might not suit you at all even if they are providing value added services.

Understand Your Rights And Obligations to Avoid Accident Claim Rejection?

When you buy a car insurance policy you feel assured that you are protected against any liability arising because of an accident. But unfortunately this is not entirely true and there are cases when accident claims get rejected. To avoid feeling cheated on account of such claim rejections it is important that you read the policy document thoroughly when you buy a car insurance policy.

You will realize that there are certain situations under which claims can be rejected by the insurance company even if you have paid your insurance premium timely. For the insurance company to honour a claim, you need to fulfill certain obligations which include:

1) You cannot drive when you are intoxicated or under the influence of drugs/alcohol. If the insurance company finds that the accident has occurred as the driver was intoxicated they have a right to reject your claim.

2) Make sure that you transfer the policy to your name in case you buy a second hand car – Your claim would be rejected if you meet with an accident while driving a second hand car that you purchased but did not get the car insurance policy document registered in your name.

3) You need to report the accident timely – You need to report to the insurance company about the accident within 10 days. A delay can lead to rejection

4) Do not make commercial use of a private car – If it is found that your personal car for which you filed an accident claim was being used for a commercial purpose (a cab, a goods carrier) your claim stand to be rejected. 

If you think your car accident claim was wrongfully rejected you have the right to approach the insurance ombudsman.

Steps Taken In Case You Are Involved In an Accident

 

Accidents can be a scary and difficult experience. However, during an accident, you need to be calm and take the necessary proceedings carefully. Do not make hasty decisions in an emotional state. Also, inform the police immediately in order to sort and handle the situation hassle free.

When you inform the police, you are asked to give a statement about the accident. After completing these statements, contact your insurance provider and claim your motor insurance.  Claim for an insurance almost immediately if you have a comprehensive auto insurance. However, there are chances of losing your no claims bonus if your insurer cannot recover the money from the insurer of the other driver.

After the basic proceedings of the accident are handled, consult a physician almost immediately. Take the advice of the expert and make sure you are physically fit. If possible also take the others involved in the accidents for a proper checkup. Medical injuries can be extremely dangerous if you handle them incorrectly.

After this, consult the car insurance company where you have your vehicle covered. Consult with them about the various proceedings of the accident, give them detailed information about the situation and then ask them about the coverage and the benefits that you can avail from your premiums.

You should consult the insurance agents immediately to report the claim. The sooner you report the claim, the sooner the company starts working to resolve it. Make sure that your car insurance policy is properly used to sort out the various claims. Consult an adept insurance agent to sort these claims quickly and easily.
 

How to Enjoy the Best Car Insurance Rates

If you are looking to save on your annual car insurance premium, here are a few simple strategies that can help you save on premium and yet you make sure that you get adequate coverage.

1) Opt for a Voluntary Deductible – Voluntary deductible is an incremental amount over and above the compulsory deductible that you agree to pay out of pocket for the repair expenses in case you file for an accident claim. If you opt for a voluntary deductible you still get the same coverage but at a lower premium.

2) Avoid coverage that does not add value – If your car insurance policy offers you personal accident coverage and at the same time you hold a separate personal accident insurance cover too, you may ask your insurance provider to provide you with an insurance policy that does not include a personal accident cover. This will lower your premium amount.

3) Avoid making minor claims in favour of no-claim bonus

You are eligible for a no-claim bonus if you do not file a claim during the policy term. The discount on your car insurance premium on account of no-claim bonus is a pretty significant. The bonus amount increases progressively and can be as high as 50 percent of the premium amount. So, if you think the amount you stand to receive from the car insurance company for an accident claim is less than the no-claim bonus you can receive by not filing the claim it is wise to forego the claim.

How to Know Your Car Insurance Coverages?

There are few golden rules that you must keep into consideration to be aware about your car insurance coverages. The way stars informs us by shining brilliantly, thereby keeping us on the same track, similarly insurance coverages always provide a stepping stone in an advantageous direction. By categorizing your goals and objectives, you must start seeking the Golden guidelines about car insurance with which you can connect with. Hence, chart your route and permit them to guide you towards success and achievement.

Golden Rules regarding Car Insurance

There are few important things that you can carry out to be definite that you get, and maintain, the most excellent plan possible:

Identify what you wish for in advance: In order to make an informed buying decision, you ought to be familiar with the alternatives available to you. Before applying for a plan, you must give a call to your local insurance agent or broker to help you out, or else you can make use of online service as well.

Don’t wait for long to start your plan: It is a fact that insurance premium keeps on changing. Your quoted price may change if you ultimately make a decision to start your plan months subsequent to you were quoted. The moment you come across a good rate, always be sure to take full advantage of it to fix it for the coming year.

Discover all your coverage alternatives: If you really desire to assess your needs, then you may certainly need more insurance coverage. You may increase your policy's liability value, and put in complete or collision coverage.

Can I Reduce My Car Insurance Premium?

Car insurance premiums may increase every year, even if you are a careful driver. Now, in such situations you can always lower the rate of premiums from your auto insurance by following a set of guidelines. The first thing which you can do here is use less expensive vehicles. New cars, sports cars and extravagant cars tend to have a greater insurance rate. So, if you want to cut down on the insurance premium then it is always better to change the car.

Again, if you choose one insurance company and avail the services from that specific company, then, your insurance rates will be a bit lower. In fact, you can also enjoy a multiline discount of 10% on choosing one specific insurance company for your auto insurance. Check out the insurance policies of the various companies to place your bid on the most prospective one.

Another thing which you can make sure is driving safe. Safe drivers always have a greater advantage with premiums than rash and rough drivers. So, if you are willing to enjoy lesser premium rates then make sure you drive slowly. Careful and safe drivers tend to avail up to 5% discount on premiums.

Lastly, choose a safe car. Apart from driving safe, you should purchase a car with air bags, anti-lock brakes and proper electronic stability. This smart choice will reward you with lesser premiums on the go. So, if you want to pay lesser insurance premium for your car, then, make sure you follow these viable set of guidelines. 

Best Car Insurance Now Available Online

Car insurance protects you from the possible losses that you may incur on roads. With online car insurance, your chances of landing up with the best offer has only got better, thanks to the ease with which car insurance could be browsed, scrutinized and purchased.

Car insurance cannot be done without due to the legal framework. However, which car insurance you go for could determine how efficient your investment in the insurance policy is. The best car insurance is something that offers you the best value for money, many advantages to you in return for the entire insurance premium that you pay in the course of the validity of your insurance cover. Now, that online car insurance has made purchase of insurance so much easier, you should have the basic information related to the foundations of car insurance, such as ‘what is car insurance’, and ‘which car insurance to buy’.

What is car insurance? Car insurance covers you for the risks involved in your travel, protecting you from the possible losses that you may incur. It could be a minor damage to your car, a major accident that might have resulted in much damage to your vehicle, or even damage to property caused by the vehicle that you were driving. In each of these cases, it takes the best car insurance to protect you against all risks and offering comprehensive coverages in return for the insurance premium you pay.

What should you check when you buy online car insurance? In an era of internet and information communication, there is no question about the ease with which you could buy online car insurance. However, the best car insurance depends not just on the insurance provider but also you, the insured, as to what you look for when you get car insurance. Your insurance policy should include coverages for bodily injury and that too, to a sufficient degree. Further, make sure that your insurance policy also has provisions to cover liabilities connected with damages to property in an accident.

Compare and Contrast: One of the basic tips in buying the best car insurance is that you would be better off not being in a hurry to get car insurance. Buying an insurance policy and searching for the best car insurance has much to do with your patience and perseverance in comparing offers among the different options available. With online car insurance, your chances of landing up with the best offer has only got better, thanks to the ease with which car insurance could be browsed, scrutinized and purchased.

The best is not the cheapest: People tend to take cheap car insurance for the best car insurance. That’s where having the right information about insurance policy helps. You need to dig deeper than just being able to answer the question, ‘what is car insurance’, to be able to realize that the best car insurance is the one that considers more than just the cost factor. Again, it helps to compare online car insurance to arrive at what is best for you.

Comprehensive insurance policy and riders: Whether you plan to go for online car insurance or not, you could ask for comprehensive insurance package, with complete coverage of theft, third party liability, and personal accident cover included in the insurance policy. Of course, you could also make your own “comprehensive car insurance policy” that suits your needs, with a host of riders or “add-ons” that could be purchased along with your car insurance, with the payment of an additional amount along with the regular insurance premium. And the best part about car insurance is that you could do them all with online car insurance in the comfort of your homes.

ways to reduce premium for car insurance

Here discussed are some ways that will help you bring down your car insurance premium. The no-claim bonus magnifies with every additional consecutive year of no-claim record.

If the premium that you pay towards your car insurance pinches your pocket there are ways you can bring down this liability. You do not actually have to compromise on the coverage too much, rather you need to be just a bit discreet about what you are buying and also be aware of the various options that you have in hand. Here are some ways that will help you bring down your car insurance premium:

1) Avoid making minor claims in favour of No-claim bonus

You do not have to really rush for a claim for the most insignificant damage that has happened to you car. In case of minor claims you might end up spending more than you save. So if you need to make a claim at the cost of losing a no-claim bonus be sure that the amount of claim that the insurance company would reimburse you for is significantly higher than the potential no-claim bonus you can get for not making the claim. The no-claim bonus magnifies with every additional consecutive year of no-claim record.

2) Voluntary Deductible

Quite a few people in order to save money on insurance tend to cut down on coverage. A better way to deal with the situation is to opt for a voluntary deductible in addition to the compulsory deductible. Compulsory deductible is the minimum amount of money that the insured has to pay out of pocket in case he makes a claim. By opting for a voluntary deductible you agree to pay a higher sum out of pocket in case you make a claim. The insurance company compensates you for this by lowering your premium. You can expect to cut down on you insurance premium by 20 to 30 percent. Those people who are quite confident about their driving should go for a voluntary deductible.

3) Compare before you buy

The insurance business is competitive and there are many insurance companies offering car insurance. The price of motor insurance is likely to vary from one company to another and it is advised that you make an online comparison. This will help you spot the best car insurance that fits your needs as well as budget.

4) Know if you are eligible for discount

You can look to save a few hundred rupees on your insurance policy if you have installed anti-theft device in your car. If you qualify as a “safe driver” you can earn an incremental discount of about Rs 200. To be recognized as a “safe driver” you can become a member of the Automobile Association of India.

5) Cut down on policy coverage that seems redundant or avoidable

If you already own personal accident policy separately and your car insurance as well includes the same as part of the coverage it is best that you ask the insurance company to offer you a policy that does not include personal accident coverage.

what is a voluntary deductible option

You can save spending more money in the form of periodical premiums for your vehicle based on your driving skills. One of the ways is voluntary deductible option. It is the minimum amount that is declared by the policyholder for bearing the expense at the time of claim.


If you have planned to purchase a new car, then it is vital to know which car insurance suits you the most. When you opt for cheap car insurance, it prevents you from getting cash-strapped in the event of a mishap. These days more and more car owners have started showing interest in car insurance policies. Today, the situation is such that owners are comparing different car insurance premium quotes from various insurance companies before making their choice. This attitude of owners plays a major role in reducing the money spent for car insurance premium. Are you one of them? If yes, then you can hit upon several attractive offers as well.

What you need to know about Voluntary deductibles

You can save spending more money in the form of periodical premiums for your vehicle based on your driving skills. One of the ways is voluntary deductible option. Are you wondering what it is? It is the minimum amount that is declared by the policyholder for bearing the expense at the time of claim. Premium and deductible are inversely related. The less premium you pay more is the deductible in the event of a claim, and those who believe they have good driving skills can use this to save on premium and reduce the risk of accidents.

How voluntary deductible works:

In case you have a claim amount of Rs 10,000. Let’s say Rs 500 is the mandatory deductible and you have declared the voluntary deductible amount as Rs 1,500, then you have to pay Rs 2,000 initially. Rest of the amount i.e. Rs 8,000 will be payable by the insurance company. If you hadn’t opted for the additional voluntary deductible of Rs 1,500, you would have paid extra money through premium. Those who risk the incident of a claim less can use this inverse relation to their advantage.

The insurance premium is never a fixed amount. It keeps changing with every insurance company. In fact, it is advisable to first make a good comparison of the prices of various companies before taking the final decision.

The levels of discounts that you get with voluntary deductible option

Usually, the insurance companies offer you four different levels of discounts. Let’s say the least amount of voluntary deductible that you can offer to pay is  2,000, in addition to a compulsory deductible of Rs 1,000. When you opt for a claim of say Rs 25,000, you are supposed to make this combined payment of Rs 3,000. This payment will be considered as a part of the claimed amount. The insurance company will pay the remaining portion of the claimed amount for you. If you are a policyholder, let us say you get a discount of Rs 750 for this choice of voluntary deductible.

Policyholders may be able to choose payment levels starting from Rs 2,000. The highest voluntary deductible a policyholder can make is Rs 20,000, and the discount for this is Rs 10,000. By taking a chance on Rs 2,000 and Rs 20,000, you can save Rs 750 and Rs 10,000, respectively. This could be a fair deal depending on the driving skills of a policyholder and his or her confidence. Hence, there is no denying that voluntary deductibles play a major role in reducing your car insurance.

7 Myths People Believe About Car Insurance

When buying car insurance, it is important that you are not misled by the myths people widely have about car insurance. Here discussed is a checklist which will help you get your facts right.

When buying car insurance, it is important that you are not misled by the myths people widely have about car insurance. Here is a checklist which will help you get your facts right.

1. Colour of the car has a bearing on the premium of car insurance

There are people who believe that the colour of their car has a bearing on the car insurance premium. It is perceived that if the color of the car is red, the premium will be higher than normal. However, this is not true. In no way does the color of the car influences your insurance premium.

The premium of your car insurance is in fact dependent on several other important aspects like the age of your car, your past track record of accidents as determined by your history of claim filings, the make, model and the engine size of your car.

2. In case a third person is driving your car and he meets with an accident, he will be covered under his own policy

This is not true. You need to be sure that you entrust your car in safe hands only. If the person driving your car meets with an accident any claim that you file will be recorded and paid under your own insurance policy and not the policy owned by the driver. Every car is uniquely covered by an insurance policy and not the driver.

3. I am a good driver I don’t need to own comprehensive car insurance

A lot many people are very confident about their driving skills and feel that paying for a comprehensive insurance cover is waste of money. But this is no good reason to not to buy a comprehensive cover. A comprehensive cover protects you from other liabilities apart from accident. It would take care of any loss or damage to your car due to theft or a natural/man-made calamity. Besides, it is a myth that good drivers don’t meet with an accident. An accident can even happen even if there is no fault of the driver.

4. You can buy private car insurance and still expect to be covered if you use your car for business

Private car insurance will provide you cover only if you are using it for your personal use. However, if the vehicle is being used for a business like taxi services, you will need to buy a passenger/goods carrying vehicle insurance.

5. My belongings in the car are as well covered under the car insurance

If you have a laptop or a mobile lying in the car and the same is stolen it is not going to be covered under you car insurance policy.

6. My Credit score does not affect my car insurance premium

Insurance companies believe that there is good correlation between claim filing history and credit score. Those with a good credit score are less likely to file for a claim. Hence, some insurance companies may offer you a discount if you have a good credit score.

7. I already have car insurance and so I don’t have to buy one for my new car

Your insurance cover on your old car will not cover the damages caused to your new car in an accident. So, you do need to buy a separate cover.

Compare Car Insurance And Save Money

The highlight of comparing insurance online is that you can enter your requirements on the computer screen and receive all the policy details on the screen, in this case similar types of insurance plans will be shown to you simultaneously based on the information provided by you.

With the fuel prices going up everything might seem extremely pricey, even though nothing much can be done about the fuel prices but there are ways you can opt for a money saving policy when it comes to car insurance. If you do a thorough research you will be surprised to know that different insurance companies offer different premium for the same coverage. This means that, when you are required to buy car insurance, you have a horde of bargaining chips on your side of the table. Thus if you have a new car, it is natural to look for a low premium, wider coverage best auto insurance policy. As a matter of fact, even if you already have an existing insurance, it really helps to compare various auto insurances available.

In order to buy car insurance you need to have the quotes from various companies, it is a tedious job as you would be required to make several phone calls or visit the insurance providers personally. So, in such a scenario comparing the car insurance online is the best option. The highlight of comparing insurance online is that you can enter your requirements on the computer screen and receive all the policy details on the screen, in this case similar types of insurance plans will be shown to you simultaneously based on the information provided by you. Within no time you get to know which company offers what scheme, helping you to decide on the best car insurance.

While comparing the car insurance plans it is important to remember that there are various factors that will affect your final premium quote, managing those factors well is one of the best money saving policy. The factors that are likely to influence your premium are your age, your driving record, condition of the car etc. After taking all these points into account if you think that you have found the best car insurance, you can go ahead and buy the car insurance online. If you are not comfortable with online transactions then you can always leave a request and the company representatives will get in touch with you.

What points to consider while comparing various insurance plans?

Minimum liability: The first point to check is the minimum liability coverage even though it is expected that all companies will provide approximately the same minimum liability coverage, it is better to cross check to be doubly sure. There might be exceptions like a policy includes higher limits than what is authorized by law.

Extra Coverage: Next point is to find out what extra coverage is being provided, whether the car insurance includes features like collision insurances or not, if so what is the limit?

Financial Risk: Once you are done with the cross checking of the above points, it is important to assess the extent to which you are willing to take the financial risk. In case you're fine with losing a significant portion of the value of your automobile you might consider the cheapest policy with the least coverage. On the flip side, if you do not intend to take a chance you'll opt for the most comprehensive policy or the best car insurance even if it comes with the highest price tag.

Other Factors: Price alone should not be the deciding factor while choosing a car insurance company, other factors that play a very important role in saving your money in th
e long run are given below

Ranking of the car insurance company

The car insurance company’s past track record that reflects on customer service and claim payment and

The car insurance company’s capability.

Adding On Car Insurance

One of the chief concerns with regard to car insurance is the amount that you would actually be able to claim with your car insurance policy in the event of an accident. Some add on covers that you can avail with your car insurance has been discussed in the article.

Add-on is nothing but additional coverage that you purchase with your car insurance, giving you an additional layer of safety. Some add on covers that you can get for a premium include the following:

•    Depreciation Reimbursement
•    Return of invoice
•    Windshield Glass Cover
•    Hospital Cash Cover
•    Roadside Assistance Cover
•    Personal Accident Cover

One of the chief concerns with regard to car insurance is the amount that you would actually be able to claim with your car insurance policy in the event of an accident. How much would your insurance cover actually pay you when you stake a claim? Now, with add on covers, you could expect your car insurance to reimburse you an amount that would bring some cheer in a rather gloomy economic scenario.

Depreciation Reimbursement Cover:

Also called the depreciation waiver cover, this is an insurance cover that protects the value of car parts from depreciation. These are add ons that would get you a full claim amount without any deduction on account of depreciation for an agreed time frame, when you replace the parts in question. This gives value for money invested in car insurance even if the car itself has grown older over the years.

Return of Invoice or Full Invoice Price Insurance Cover:

With car insurance, you could only expect depreciating value with every passing day. If your car has been consumed completely in an accident or if it has been stolen, your car insurance policy would be worth depending on how long it has been since your car’s purchase. With Return of Invoice add ons, you could expect your car value to defy the laws of gravity and stay put at its face value, or at the value as may have been agreed upon in your car insurance policy. When you buy a car for 6 lakhs, add on covers ensure that the value of the car stays at Rs 5 lakhs, even if normal depreciation would have brought it down to 4 lakhs otherwise.

Windshield Glass Cover:

This is a specific among add ons, where your car insurance would get you a new windshield glass, front or back, in case it gets broken during the tenure of the car insurance policy. The advantage with these add on covers is that your ‘No Claims’ bonus associated with your insurance cover would not be affected when you stake a claim for your windshield glass, while your windshield gets repaired or replaced cost-free, subject to the terms of the car insurance policy.

Hospital Cash Cover:

Accidents happen, and car insurance is all about protecting your interests when they do happen. You could enjoy the added advantage of your hospitalisation expenses being taken care of, by opting for  hospitalisation cash cover add ons to your insurance cover, where your hospitalisation expenses are paid up to the sum insured, to cover hospitalisation expenses of those who might have travelled in the insured car.

Roadside Assistance Cover:

Incidents that happen on the road need not be just accidents. There are times when you would need someone to stand by and be of service when you are stuck, alone or with vulnerable people, on account of a tyre burst, a flat tyre or plain breakdown. Add ons such as roadside assistance cover ensure that you get mechanics or specialists fix your problem or tow your car to the nearest garage, giving you full value for your car insurance policy.

Personal Accident Cover for Family or Passengers

Car insurance that you purchase with the add ons of personal accident cover provide compensation to protect your financial health when your personal health or those of your passengers may be at risk on account of an accident. Add on covers in this category includes insurance cover for the insured person, his or her family or other passengers in the car at the time of the accident. The car insurance policy covers accidental death, loss of limbs or other disability of a permanent nature arising out of the accident, partial or total.

How to Transfer Car Insurance of Second Hand Car

Car Insurance Transfer

Many of us while buying a second hand car often assume that the previous car owner must have had his car insured, so we don’t have to buy car insurance policy again. Moreover,

once the previous car owner would hand over the car keys and car insurance documents to you, the job of buying second hand car is done, however, this is not the case.

While buying the second hand car there are certain things to keep in mind. First thing is that driving car without car insurance in India is an offence and that applies to second hand cars too. So, you need to have car insurance papers with you.




Next important thing is that car insurance documents should be in your name and not in previous owner’s name and last thing to note is that the car insurance should be a valid one.

To transfer the existing car insurance policy in your name, you need to inform the car insurance company regarding the purchase of the car within fourteen days from purchase of the car. New owner or buyer can request for change of name in insurance certificate through application form. Other than application form and car insurance certificate, original registration certificate of the car is also required.

While doing so, the buyer should also know about the car insurance cover. Third party insurance is the basic car insurance cover which is the compulsion to buy, besides that, if you want a comprehensive plan, you can ask your insurer to upgrade the insurance policy at this moment.

Last thing but not the least, if you do not want to pay the high amount of premium the previous owner was paying for his car, you can opt for cheap car insurance. Or, while transferring the insurance policy in your name, you can ask your insurer to calculate the premium to be paid on the present value of the car in order to make the existing car insurance a cheaper one.

When Can a Car Insurance Claim is Rejected

Car Insurance Claim

When your car suffers through an accident and you face material damages, it is a tough time to deal with. During such situation, car insurance policy is the only hope. But, what if your car insurance claim gets rejected? This can be really hard time to handle but, the policyholder should not lose his/her patience and try to look at the details of the decision made by the insurance company. Sometimes rejection of an insurance claim can be a confusion or doubt.




This nowhere indicates the dishonesty of the insurance firm or end of all your hopes to get the recovery money as per your insurance claims.

To confirm the receiving of car insurance benefits, you need to look for reasons behind the denial of the entitlement for coverage. Major ones are mentioned below:

Having no coverage for what particular damage your car has gone through is a reason behind claim rejection. If your car is covered only under liability insurance and you have filed for collision coverage, then the claim will be automatically rejected.

Filing for uninsured motorist claim under your plan and other party turns out to be insured.

If you don’t qualify to the terms & conditions of insurance policy, the company holds right to reject the claim.

Lapse of your policy because of nonpayment even after declaration of grace period.

If the amount of damage cover exceeds your policy limits, then the insurance firm is not liable to pay for excess expense.

Damages occurred to the car under the influence of alcohol are not covered in the insurance policy.

If you own a second hand car and have not transferred insurance on your name, your claim would be rejected.

In any case, if you provide wrong information, your claim would be rejected.

If the car driver found unlicensed during accident, the insurance company is not liable to pay the insurance amount.

The cars bought for personal purpose and being used for commercial purpose have their insurance claims rejected.

Accident intimation delay can also be one of the major reasons behind rejection of insurance application.

If your policy doesn’t lack any aforementioned point, then you have a reason to dispute the decision of insurance company and file the coverage claim again.

You Can Get Car Insurance Online Easily!

Car Insurance

Car insurance is a plan that a vehicle owner purchases to alleviate the costs that one has to incur in case of unexpected accidents. The owner chooses a motor insurance policy and pays annual premiums while the insurer covers the vehicle damage costs due to unforeseen incidents. The premium to be remitted depends upon the age and gender of the insured. The insurance policy needs to be renewed from time to time to avoid lapse of the policy. Now-a-days, buying and renewal of car insurance could be done online.

There are several insurance service providers online which makes renewal of lapsed policy very easy-going. With minimal steps involved, one can get a car insurance policy refurbished online.

Quotes are available free of cost in the internet from various insurance companies. Depending upon the age of the car, the Insured Declared Value (IDV) and the annual premium quote can be obtained online. IDV is nothing but the current market value of the vehicle. Based on the IDV, after deducting the depreciation, the insurance premiums are calculated.

Many insurance service providers offer great deals online. Some insurers do provide additional benefit of accidental cover for co-passengers. Online insurance covers damage occurred to the car and its accessories. One major value addition with online insurers is that no paperwork is required and that the policy document is generated instantly. The mode of premium payment can be made using debit cards, credit cards and net banking facility.

There are model wise discounts available by different companies. For online renewal of policy, all we need to know is the vehicle registration details as per the RC book and the details of the policy to be renewed. Sometimes, there are circumstances that we may exceed the renewal date and that the policy would have expired. In such cases also online renewals is possible.

Beware of Car Dealers Promising Free Car Insurance

It is quite easy to be enticed by car dealers offering free car insurance. A few car dealers go to the extent of offering free insurance for the first three years or so.

In order to ensure that there is no conflict going ahead, just ask your car dealer these simple questions and this would help you take a more informed buying decision.


It is quite easy to be enticed by car dealers offering free car insurance. A few car dealers go to the extent of offering free insurance for the first three years or so.

In order to ensure that there is no conflict going ahead, just ask your car dealer these simple questions and this would help you take a more informed buying decision.

1)  Since motor insurance contracts are available for a single year term, how will the dealer manage to offer a three year contract?
As multi year car insurance contract is not available on the market, it is likely that the car dealer will promise to take care of your insurance renewal when it expires. However, you and the car dealer need to be on the same page with regard to this clause and it is best that the dealer gives you a written commitment on the same.

2)  What would be coverage offered under the insurance policy that the car dealer is offering?
The car dealer would be offering you just a plain vanilla car cover which is unlikely to provide you with many coverage benefits which are otherwise gen
erally available when you pay and buy insurance policy along with the car.

It is best to avoid getting into such a complicated arrangement and rather ask the dealer to offer you a straight forward cash discount. You can easily buy car insurance online in India. What’s more, you also get the facility to thoroughly compare car insurance coverage offered by various players of car insurance India through insurance comparison websites.