It is vital to know the concept of coverage when getting automotive insurance. As a responsible car owner, you keep your car in excellent functioning shape, obey all traffic regulations, and drive courteously. You drive to work, go on chores and pleasure outings with your family, or spend time with friends.
So you want to drive your automobile with as little stress as possible. Unexpected incidents on the road, such as big or minor accidents, breakdowns, tire bursts, natural/man-made disasters, and so on, may occur regardless of your preparedness.
In such situations, buying motor insurance online in India is the most cost-effective option. Under all forms of automobile insurance, protection is offered for financial losses resulting from any unfortunate events involving your car, according to the terms and conditions of your policy.
When your automobile is involved in an accident, you should focus on getting over the shock rather than thinking about the financial implications. You should always have the best car insurance in India in force to get through any crisis with minimal stress.
In India, what are the five different types of car insurance?
Insurance coverage refers to the many forms of protection offered. In addition to the base coverage, you may pick from a number of add-ons to enhance the policy’s protection. Let’s have a look at the five various forms motor insurance online in India:
- Liability to Third Parties
The following are some advantages of this type of car insurance:
Costs of repairing or replacing third-party cars that have been damaged
Costs of hospitalisation and outside treatment
Liabilities arising from the deaths of others
Under the Motor Vehicles Act, third-party automobile insurance is necessary to drive on public roads. The sum assured should be adequate for the driving circumstances and large enough to protect you from out-of-pocket expenditures.
- Own Damage (OD) or Collision Insurance
When you pick collision damage auto insurance coverage, the cost of repairs to your damaged vehicle is covered. Collision coverage premiums are computed by factoring in the vehicle’s age and insured stated value. The market value of the car calculates the IDV.
The IDV, less accumulated depreciation, determines the maximum amount payable under the policy when a claim is submitted under collision coverage insurance. You would get collision coverage if you purchased your automobile with the best car insurance in India.
- Personal Accident Protection
Personal accident auto insurance coverage is employed when you wish to protect yourself, i.e., the car owner-driver, by choosing to pay medical costs following an accident.
- Depreciation-free insurance
This coverage is often provided as an add-on to an automobile insurance policy in India. Assume that your car has been damaged and that parts will need to be replaced. The insurer will consider the depreciated value of the parts when settling a claim. You will get the full claim amount without accounting for any cost depreciation if you have a Zero Depreciation Cover.
- Comprehensive Car Insurance:
This type of policy offers the most protection because it includes third-party liability, vehicle damage, personal accident coverage, and any non-collision damage such as storms, floods, fire, and theft. A multitude of add-ons may be added to a comprehensive vehicle insurance policy.
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