Concerned About Your Car Health: Bang Here To Opt For A Car Insurance

Car Insurance policy

There are many people in this world for whom buying their favorite car is a dream. They possess a really special relationship with their car which truly seems to be a valuable asset of their life. And it’s obvious one would not afford to risk the life of their car whom they love wholeheartedly like their child. So, the car insurance policy would be the least of the things one can do to ensure the health of their car.

The importance of insurance cannot be disputed in the present social environment. Under the unpredictability of life, we cannot afford to lose one of the root causes of our happiness. Therefore, it is almost mandatory to get insured health care for our car. 

Now let’s understand: What is this car insurance? How will it secure our car’s health? And how can we get one of these insurances? and so on. 

What is “Car Insurance”?

A car insurance is vehicle insurance that provides comprehensive protection to the insured car in case of any damage due to natural or man-made calamities and accidents.

How does it secure our Car’s health?

  • A car insurance policy prevents the car owner from sustaining any momentary losses resulting from unpredictable incidents including accidents, or any other damages suffered on the insured car. 
  • It also provides the insured with ‘personal accident cover’ to stay protected from any car accident injuries. 
  • Moreover, In India, According to the Motor Vehicles Act, 1988, Car Insurance is compulsory for all cars operating on roads to have a valid third-party liability cover. 
  • Also, car insurance for old cars have availability for one year and should be renewed annually. And car insurance for newly purchased cars should have a compulsory third-party liability cover for three years. 
  • Furthermore, by car insurance, one can get paid for hospitalization expenses in case of an accident. However, it pays for the car damages due to collision, death or natural calamities.

Tips while choosing a car insurance policy

As it takes a bulk amount of one’s lifetime wealth to buy a car, a good insurance policy should be chosen to safeguard this property. Therefore, few tips have been mentioned here to get a good car insurance policy

(i.) Selection of the best form of cover :

There are two groups in which a car insurance policy is divided, namely, Third-party and Comprehensive. In this, the third-party cover compensates only for third party damages, whereas the Comprehensive cover compensates for the third party damages as well as protects the insured car.

(ii.) Discover Discounts for the best form of cover:

One should look for a good discount offered by car insurance companies.

(iii.)Compare for the best form of cover:

One should do a good comparison before buying any car insurance policy as it will give them the idea of the best one suiting their requirements. 

(iv.)Insured Declared Value(IDV) of the vehicles should be checked :

IDV refers to the maximum claim that the insurer will pay if the insured car got damaged or stolen. Therefore, one should check for the IDV of the vehicle to choose the best car insurance policy.

(v.)Check for a voluntary deductible option :

There should be a good relationship between the premium and the deductible so that we can get the best value of the car insurance plan.

(vi.) Registration with an Automobile Association :

If one wants to get a discount on car insurance then they should get themselves registered with a good automobile association. 

(vii.) The Claim Process should be thoroughly checked :

One should also see to the easiness of the claim process before buying car insurance so that it does not create any chaos at the time of its requirement.

(viii.)Renewal process should also be looked before :

The renewal of car insurance is also very important. One should look for the renewal process offered by the car insurance company so that it does not become hectic for them at the time of getting this facility. 

As we’ve gone through a great deal of information for understanding it’s a necessity and it’s methodologies, let’s choose one of this car insurance for us which best suits our expectations. 

On comparing various car insurance plans for four-wheelers cars on the basis of the Insured Declared Value or IDV of the vehicles, we’ve got the analyzed data which is mentioned below.

1.TATA AIG Car Insurance :

Tata AIG Motor Insurance plan is a car insurance plan that considers the conventional and non-conventional risks associated with automobiles.

It ensures that the policyholders are able to get immediate help in case of emergencies. 

2.HDFC ERGO Car Insurance :

HDFC ERGO General Insurance Company offers a complete range of general insurance products right from Health, Motor, Travel, and Home to Personal Accident in the retail space.

3.New India Car Insurance :

New India Assurance offers a wide range of motor insurance products that covers all the basic needs of the insured. This plan offers two types of coverage,i.e., Liability and package coverage. 

4.Oriental Car Insurance :

Oriental Insurance company provides a car insurance plan that ensures the ease of claim to the insured in difficult situations and also offers customized plans as per requirements of the insured including seamless online renewals, emergency services, and a lot more.

5.Bajaj Allianz Car Insurance :

Bajaj Allianz Car Insurance is a trusted company that offers one of the best car insurance plans. It enables them to renew their car insurance quickly and conveniently within instants.

These are the top 5 car insurance companies providing the best car insurance plans for all of us.

As cars are considered to be a part of our family, we need to take care of it as well. So car insurance is one of the best ways to safeguard it from all unforeseen problems. Car insurance truly caters to the health of our car and provides privileges to the car owner in case of any discrepancy.

How To Get The Cheapest Car Insurance Policy?

Cheapest Car Insurance Policy

A car insurance policy will protect you against the expenses of damage and injuries caused in a car accident. The worst traffic and road conditions are also the main reason to take a car insurance online policy. It becomes very challenging when you have to pay the complete repairing bill from your pocket. Purchasing car insurance will not only save your money but also protect you from legal formalities. Everyone wants to get complete protection and excellent service by paying low premiums. The car insurance company decides the premium according to the model, variants, and usage of the car. We have provided some tips for you to reduce your premium.

Follow these ways, To get the best car insurance policy

Increase deductibles: 

A deductible is the amount of money that customers have to pay irrespective of the total billing amount. You have to choose this amount at the time of purchasing or renewing the car insurance policy. The higher deductible you opt the lower will be the premium. The risk of the insurance company getting decreased hence the amount of premium will be reduced. You can save a good amount of money but choose high deductibles. But make sure that you can afford the deductible amount easily. Else, if you will not be able to pay the deductibles then it will cause problems at the time of claiming.

Collect No claim bonus:

If the customer does not make any claim in a single year then the insurance company will reward you with no claim bonus. If you don’t make a claim for more than one year then it will further be increased. You can reduce your premium at the time of renewal by claiming this no claim bonus. Try to avoid accidents and make frequent claims to accumulate more no claim bonus.

Transfer No claim bonus:

No claim bonus is linked with the policyholder and the vehicle has no role in it. If you have purchased a new car and have no claim bonus in your previous car policy then you can transfer it. The premium amount of the new car will be reduced by transferring no claim bonus. To transfer your no claim bonus, you have to inform the insurance company. Further, the company will provide a no claim bonus certificate that will be valid for 3 years.

Compare and buy:

It is the most important part that everyone should check before purchasing car insurance online. You can compare online quotes of all the car insurance companies available in the market. This will help you to choose the cheapest and the best car insurance policy.

Install tracking and anti-theft devices:

Installing an anti-theft device in your car will secure it from getting stolen. Similarly, the tracking device will track the location of your car if someone stole it. It would reduce the risk of the insurance company resulting in automatically reducing the premium cost. Customers can approve their anti-theft device from ARAI for more reliability.

Renew the policy on time:

Renewing a car insurance policy has multiple benefits. If your policy gets lapses then you have to purchase a new insurance plan for your car. In this case, the insurance company will inspect your car and the chances of an increase in premium are higher. Moreover, once the policy gets lapses, the entire no claim bonus will get void. Renewing a car insurance policy before the due date will also protect you from additional fines.

Only choose the required coverage options:

You will get numerous benefits while purchasing an online car insurance policy. The premium price will increase with every benefit you opt for. So, It is not necessary that you have to choose all the benefits. 

Take membership of automobile association:

If you are certified by any registered driving school or having a membership of the automobile association, then you can ask for an additional discount in premium. You can avail of a flat 5% discount on the premium price.

Choose a single plan for multiple vehicles:

If you have more than one car then you can cover both the cars under the same policy. You can save a huge amount of money by opting for a single plan for multiple cars.

Important benefits of car insurance policies

Insurance policies are provided to reduce financial risk, whether it is health insurance, car insurance, or any other insurance. If you opt for a car insurance policy then the insurance company will look after your repairing expenses. But if you don’t take it then you have to pay the expenses along with heavy penalties. Driving a car without insurance is a crime and you will also get imprisoned for this crime.

There are benefits that you can avail from car insurance:

  • If any person dies in an accident that has the involvement of your car then you should have to face many legal formalities. You might have to pay a huge amount of fine to get out of this. A third party liability coverage along with a comprehensive plan will save you from these formalities.
  • A Car insurance policy will pay the medical expenses of the co-rider In case of serious injuries.
  • A car insurance company will pay the loss If you have damaged any social property in the accident.
  • You can take cashless service in all the network garages.
  • You will get complete protection against theft on purchasing car insurance policy.
  • An insurance policy will also cover the damage caused due to natural calamities such as floods, earthquakes, landslides, cyclones, hail, etc.
  • You will also get complete protection against several manmade calamities such as terrorism, riots, and explosion.
  • Customers can choose to add on covers along with a basic plan. Customers can also choose to auto-recharge the sum insured amount if their basic sum insured gets exhausted.

What types of claim facilities does car insurance provide?

Car Insurance Policy

There is a variety of damage for which you can take claim in car insurance. The time taken to claim the settlement depends on the type of damage. If the car is completely damaged then it will take more time to repair it but if there is some minor damage then it will take a few hours only. Here are some important claim types of car insurance:

Roadside assistance claim: This claim will help you to to your vehicle in case it gets damaged in an accident. This is an optional claim that you can avail of. In some cases, the insurance provider pays the complete cost of towing and you don’t have to pay anything for it.

Glass damage claim: This claim will only provide expenses of the glass if your car gets damaged. You have to provide the images and other related information to the insurance provider and they will provide you complete reimbursement of the repairing cost. Further, in this case, they will also provide you the OEM and take the extra cost for it.

Total loss claim: This claim has the lengthiest process among all as it relates to the major monetary loss. Claiming for total loss can take more than one month to settle. Under this claim, the vehicle is in the totaled condition so the owner has to provide all the related images of the damage and the information to the Insurance provider for successful claim settlement.

Physical damage claim: This claim will cover the physical damage in the car and it takes 2-3 weeks to complete the claiming process. If in case the car is drivable then you can drive it, otherwise borrow or rent a car as per your requirement until it gets repaired.

What alternatives can you take if it is taking too much time for claim settlement?

In most of the cases, it will take up to one week when there are some major issues with the vehicle. But there is always an exception so in certain cases it will take a month to get your vehicle repaired or make a claim. If your car is in drivable condition then it will be a cherry on the cake but if it gets completely damaged then you have to search for an alternative option to driving to your office. The backup plan you can take are:

Take a rental car: this is the best suitable substitute you can choose, as it will cost money but will not hamper your time and family. Also, rental cars are safe and cost-effective to use.

Borrow a car from a friend: Maybe it will not cost you money but it is also not possible to keep a car from your friend. Apart from all, it is also not necessary that they will allow you to keep their vehicle for so long. So, this might be risky as you have to take care of the car so well, that even one extra scratch on the car will create a problem for you.

Which type of damage is not covered in the car insurance policy?

A car insurance policy will take care of all the major damage caused to your car but there are some exceptions that will not be covered under a car insurance policy:

  • Wear and tear in the engine due to oil leakage will not be covered.
  • If any damage will happen between the expiry and the next renewal date of the policy then it will not be covered.
  • Loss or damage caused due to nuclear perils or war will not be covered under the insurance policy.
  • The electrical and mechanical breakdown is not covered.
  • Any damage or accident that is dome intentional to harm the other person will not be covered.
  • Tire damage is not covered under the policy
  • Accidental damage that is caused due to Drunk and drive will not be considered under the policy.

Procedure to make a claim after the car accident:

You have to claim for the losses to take reimbursement of the damage caused to your vehicle from the insurance company. After that they will arrange an investigation session to find the genuinity of the accident, whether the accident is caused intentionally or it was real. If they found you true, then they will pay for the damage. By the following steps you can make a claim:

  • First of all, call the insurance company to inform them about the damage.
  • Report a complaint in the nearby police station.
  • Make a record of the details about another car’s driver such as contact number, car number, name and valid id proof. Also, look for the eye witness available at the time of an accident like shopkeepers having their shop near the accident location.
  • Now file a claim online or manually to your insurance company. Ask them to provide an inspector to evaluate the losses and further action will be taken by the insurance company.

At the time of filing the claim form, the insurance company will ask you for some documents. If you are unable to provide those documents, they will reject your claim. Here are the documents that you have to submit at the time of policy claim:

  • Documents of your insurance policy
  • Xerox of FIR that you have filed in the police station
  • Properly filled claim form with your signature mentioned on it.
  • Registration certificate (RC) of your vehicle
  • Xerox of driving license (DL)
  • A detailed estimation of the repairing cost
  • Images of the damaged caused
  • In case of any injuries caused to a passenger, Medical reports are required

If you provide all these documents, then it will take a week to get a successful claim. The time taken to complete the settlement process will completely depend on the authorities. Whether they are doing the process smoothly or not. Further, they will also set up an investigation for this to check the genuinity of the case. If they find anything suspicious then they also have the right to reject your claim.

How much estimated time it will take to settle a car insurance claim?

Car Insurance Claim

If your car gets damaged and you want to claim the insurance then it can be a terrifying task. It will take a long time and also hamper your work. If you drive your car to go everywhere, then you have to delay your plans until you get your car back from the repair centre. These days having a working car is a necessity for all of us not just for work but also for maintaining status in society. So, it is important to repair your car as soon as possible. If you are already a car insurance holder then it is high time to think about your car insurance claim. If you are thinking that the time taken by your insurance provider to claim the settlement is too long then you can go for a change and get the best available in the market.

Process of approving a claim settlement:

In the insurance claim process, it will take a long time because the claiming process is not in the hand of any single person. It involves certain criteria and procedures that a team has to follow and it makes the process more time-consuming. It needs lots of investigation and approval of a senior person to approve the claim. If a single person is not willing to approve the claim then it will hamper the whole process and your claim settlement gets delayed. After all of this, if the authorities find anything suspicious or misleading about your claim then also, they can reject the claim at the last point.

Want to choose for the Right time to make a claim: If you are worrying whether you can make the claim or not for a minor accident. Then just think about the repairing expenses, whether you can afford it or not. If someone gets injured in that accident or too much damage caused to the vehicle then you can surely take a claim. However, if there is only minor damage or scratches caused to the car then you can pay and repair it by own. As frequent claims will affect your goodwill and some companies will also increase the premium rates on frequent claiming.

Here we are providing some pointers that will surely help you to make a successful claim:

Collect your evidence: On the first go if you meet with an accident anytime and you know that it is not your mistake then make sure to take multiple pictures of the accident location, the damage caused to your car, the condition of the other driver, check whether anyone is injured or not. Pictures play a vital role in applying for claim as without pictures insurance providers are also unable to process your claim further.

Check for the time limit: Different insurance companies have different deadlines to report the claim after the accident happens. If you will not report that within the time period that you will not be able to make the claim.

File a FIR in the nearby Police station: If it is not your mistake then file a report in the nearby police station. If you don’t take this step and the other driver is responsible for the accident then he will try hard to put the blame on you and you can do nothing at that time.    

Don’t be over-smart and admit your guilt: Whether the accident is caused by your mistake or not, don’t ever try to admit your guilt. At the time of the accident if you are covered with insurance then your insurance company is your lawyer. Let the insurance company and the police take the charge and decide who is guilty. Admitting mistakes at that sort of time will put you in major problems.

Factors that delay the claim settlement process: 

Everything takes time, but for every work there is a predefined time especially when it comes to any monetary losses. Same goes with the insurance claim settlement process, if your insurance provider is taking more time than usual, then there is surely something doubtful about it. This is not a perfect world that everything here will go effortlessly. Below are some major factors that can be a barrier to your claim settlement process

Lack of communication: At the time if the claim settlement insurance company will make an investigation or call you to confirm the exactness of the incident. If you are unable to take the call on the first go or delay in replying then the whole procedure will be postponed. They have other clients and other settlements to do, so it will not be possible for them to call you again and again. It will be helpful if you try to take the call on the first go and provide the complete, relevant and correct information for smooth processing of the claim.

Wrong information was given to the insurance provider: At the time of purchasing the car insurance policy, you have to provide the correct information to the company. If you have provided the wrong information then at the time of claiming if they will find anything mismatch then they will not approve your claim.

Misinterpretations about coverage: If you are thinking that the insurance provider is providing the OEM coverage and you apply for that. But after applying for the claim you get to know that OEM coverage is not included in your policy then your claiming process will be delayed.

Dissatisfied with the provided repairing service: If the repairing service is done in a rush as you want your car back urgently. The paint job done on your car is not looking good or the car is still creating a problem while driving, then the best you can do is to report the problem immediately to the service provider. By this you can get it correct whenever your car is free to repair or the insurance provider will provide a discount for this.

Shortage of cash: At the time of claiming you have to pay the deductibles from your pocket. So, if you have a shortage of cash and don’t have money to pay a deductible then hold off the process of repairing until you don’t have enough cash to pay off the deductibles.

Apart from these there are many problems that you can face while claiming the process. If anything serious problems arise then contact your insurance agent and talk with them about it. They can’t help you directly but surely will provide you some suggestions to solve your problem. The insurance agent can call to claim representative or manager of the repair centre on your behalf, that will also guide you with alternative solutions to get rid of the problem as soon as possible.