Car insurance is a type of motor policy which provides protection against theft, third-party damages, man-made and natural calamities. You can get financial and legal protection against the damages caused by your car. A comprehensive car insurance policy also provides protection against damages caused to your own car. The Motor Vehicles Act of 1988 makes it mandatory for every car owner to insure his car with a third-party insurance policy.
No matter how careful you are while you are driving, mishaps may still take place and you may end up paying hefty repair bills. Worried? Don’t be, as you can buy a car insurance policy to ensure protection for your car against damages. Car insurance which is also known as motor insurance, vehicle insurance, or auto insurance is thus very important for all car owners. With a car insurance plan, you will get coverage if a third-party is damaged due to the insured car. Depending on the scope of coverage, there are 3 types of car insurance policies – Third-Party Car Insurance, Standalone Own-Damage (OD) Car Insurance, and Comprehensive Car Insurance. To continue to avail the benefits of these policies, the car insurance renewal should be processed on time by policyholders. A third-party car insurance is mandatory as per the Motor Vehicles Act of 1988 and provides protection if there is any damage to the third-party property. However, a Standalone Own-damage car insurance provides financial assistance if there is any damage to the insured car. Comprehensive Car Insurance on the other hand provides protection for both standalone own-damages and third-party damages. Thus, with comprehensive car insurance, if there is any damage due to riots, fire, or natural disasters, then this type of car insurance plan provides the relevant coverage. You can also include a number of add-ons to this plan to enhance the coverage even more. With InsuranceDekho, you can buy any of these three types of car insurance plans from your preferable car insurance company.
A comprehensive car insurance policy is the most extensive insurance cover under which an insurance company is liable to pay for financial liabilities incurred towards a third-party as well as for the own-damages sustained by the insured’s car. In addition to road accidents, the policy is applicable in the event of natural calamities, man-made disasters, self-ignition or lightning, explosion, fire, theft, etc
Third-party car insurance policy is a mandatory requirement for driving a car in India. It is the most basic insurance plan and is thus also called Liability Only Car Insurance Policy. Under this cover, the insurance company is liable to pay for the bodily injuries, permanent disability, temporary disability as well as death of the third party caused by an accident involving the insured’s car. This plan also provides coverage for property damage incurred by the third party up to Rs. 7.5 Lakh.
In September 2019, the Insurance Regulatory and Development Authority of India (IRDAI) introduced the Standalone Own-Damage car insurance policy. Under this plan, the insured gets insurance coverage only for the own-damages sustained by his/her four-wheeler in a road accident, natural/man-made calamity, fire, explosion, theft or any other mishap. A standalone own-damage car insurance policy aims at offering the insured the flexibility in terms of the insurance provider they want to choose.
Buying a car insurance policy may become a challenging task if you fail to do proper research. At Insurance, we understand how important it is for you to buy the right car insurance plan. So, to help you out, we have enlisted some of the tips in which you can buy the best car insurance policy online: