What You Should Know About Car Insurance

Devi Bhuvanesh 8 years ago

Even if you are a pro in driving and have full confidence in your driving skills, it doesn’t mean that you don’t require a car insurance. Everybody who owns a car should avail a car insurance which might be required during emergency cases.

Car insurance does not just protect you. If an accident occurs, the insurance covers you, your vehicle, and the people who may have been involved. There are different policies that you can purchase depending on what amount of coverage you want.

Key Benefits of Car Insurance –

Availing a car insurance definitely is of several advantages:

  • In the case of any damage to the insured vehicle, car insurance will help to cover the cost of the loss.
  • If the vehicle is met with any accident, theft, or damage caused due to fire explosion, strikes or act of natural calamities, the insurance bears all the cost.
  • It covers against financial liability caused by injury/death of a third party or damage to the property.
  • Car insurance also provides in case of any personal accident.

What does your car insurance cover?

According to the type of insurance you choose for your car, the coverage might vary. Majorly, car insurances cover three types:

  1. Third Party Liability coverage

If you have caused any damaged to another person/property, the third party car insurance covers any legal liability to a third party. This coverage is legally mandatory in India under Motor Vehicles Act.

  1. Collision Coverage

If your car is damaged due to an accident, the collision coverage protects the insured car financially. On the other hand, loss in any form of theft or vandalism is not included in collision coverage.

  1. Comprehensive Coverage

A comprehensive coverage includes both of the above, that is, damage to car, theft of a vehicle, third party legal liability and also covers personal accident. The policy coverage can be further extended by opting extra coverage such as engine protector, medical expenses, etc. It is one of the most popular, as it offers end-to-end coverage and thus less stressful for the policyholder.

What is not covered in Car Insurance?

There are certain things which are not covered under your car insurance:

  • If a policy is not in force
  • Gradual wear and tear of car and its parts
  • Damage to a car when the person driving the car doesn’t hold a valid driving license
  • Loss or damage to the vehicle caused due to drugs, alcohol, etc.
  • In case of any engine problem or oil leakage damages

Why is it necessary to compare car insurance policies?

There are different schemes of car insurances and you can choose one that suits your need. Each car insurance has its own pros and cons. When you compare the car insurance policies, you will be able to save a substantial amount of money that also give you better coverage options. You can approach an insurance agent and ask them to explain to make your work even simpler. Take the help of online source and know your car insurance plan properly before buying.

It’s time for you to make an informed decision. Get your documents ready and avail four wheeler insurance now!

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