Tips for Buying Car Insurance Online in India

Author : banarjee sherie | Published On : 13 Oct 2021

In India, buying car insurance is mandatory as per the law. However, if you need to get a cover, why not buy a plan that is worth the money. With so many car insurance providers in the market, it can be difficult to choose car insurance online.

Here are some tips to help you out.

  • Comprehensive Cover

Most car insurance policies provide a minimum of third-party insurance, which means only the other person's damages can be compensated and not yours in case of an accident. However, buying a car in India is an important investment. So, you would want this investment to be secure and hence the requirement for comprehensive insurance. It provides the cover for both the third-party and own car's damages.

  • Premium Payments

Premium payment is an important parameter for most car owners. People usually go for lower premiums. But this should not always be the case. It is important to check what benefits are provided within the premium cost and how justified your requirements are. If the benefits meet all your requirements, it is perfectly okay to go for an insurance plan with a higher premium.

  • Insured Declared Value

The Insured Declared Value or IDV is the cost that the insurance service provider will pay you if your car is destroyed in an accident and there is no chance of any repairs. It is important not to confuse the IDV with the car's resale value, as it is just the maximum value of the car that your insurance company will pay.

The IDV differs from company to company, so you should always compare and verify which IDV is closest to the market price. Since the IDV of your car comes into play only when it's destroyed beyond repair, so you would want the IDV to be closest to the market price.

  • No Claim Bonus

Your insurance company offers No Claim Bonus or NCB as a reward for not making any claims in a year. This reward can be accumulated over the years or availed as a discount on your premium payment. Just like everything else, the NCB also varies from company to company. So, it is important to compare and check the same before buying car insurance.

  • Claim Settlement

Everyone wants a smooth settlement cycle, especially while making a car insurance claim, as you have paid it from your pocket. But not every company can provide you with the same. So, you should check the reviews and feedback properly to understand how long it takes to get your money back.

  • Cashless Garage Network

Most insurance companies have a network of cashless garages. So, it is better to check the list and verify which ones are near your location. You should also know how comprehensive the list is in terms of coverage within your city or state.

In Conclusion

You can consider several other points; however, the ones mentioned above are the most common and can surely help make the right choice.