Which one is better comprehensive car insurance or a third party car insurance?

comprehensive car insurance or a third party car insurance

It is very difficult for every car owner to choose an insurance policy that provides protection from all losses. There is a lot of risk to a car, especially when we talk about a new car. There are multiple insurance policies available in the market. But purchasing the best policy will depend on the capability and requirement of the owner. You can either choose a comprehensive car insurance policy or third-party car insurance policy. There is a range of differences between comprehensive and third-party insurance.

A comprehensive car insurance policy completely justifies its name by providing complete coverage from all types of losses. Whereas third-party car insurance will only cover the losses caused to the third party property. We can also say that if your car is damaged in an accident then a third party insurance policy will not bear your car repairing expenses. Additionally, if the provider examiner found you not guilty for the accident then they will only provide a certain percentage of the total sum insured. If you choose to buy car insurance online you will find that third party coverage is just a part of the complete insurance plan. And you cannot purchase it individually.

Benefits of comprehensive car insurance Vs Third-party car insurance 

Both insurance policies have different types of benefits. They do not relate to each other. If you think of covering natural damage with third party policy then this will not be possible. But a comprehensive car insurance policy will cover your third party losses along with the physical damages. So, if you are thinking of a car insurance renewal then make sure to choose for the comprehensive plan rather than a third party cover.

  • Benefits of a comprehensive car insurance plan:

    Nobody can’t imagine the financial losses caused by accidents. So, people purchase a comprehensive car insurance policy to be on the safer side. A comprehensive plan will protect your vehicle for the below list of incidents.

  • Natural or manmade damages:

    A comprehensive car insurance policy will cover the vandalism caused due to natural or manmade incidents. If your car gets damaged in a hailstorm, earthquake, flood, cyclone, terrorist attack, etc then the insurance provider will cover the damages.

  • Fire and explosions:

    Damage caused due to Fire incidents, falling objects, missiles, etc. will be covered in the policy.

  • Protection from Theft:

    If the car has been stolen then a comprehensive car insurance policy is always there to protect your car.

  • Doorstep pickup and repairing:

    In a comprehensive car insurance policy your car will be picked up from your home and again drip bank to home after repairing:

  • Cashless repairing service:

    You can repair your car at any network garage without paying a single penny.

  • Instant claim settlement:

    You can take instant claims in a comprehensive car insurance policy.

  • Third-party liability losses:

    Apart from this, a comprehensive car insurance policy will also cover your third-party liability damages. Like a person getting severely injured in an accident or getting permanently disabled then the comprehensive car insurance will pay off the medical expenses.

  • Benefits of a third party car insurance plan:

A third party car insurance policy will only protect you from legal liability. Like the damages caused to the property of any other person are covered. If a person died in an accident involving your vehicle then the insurance company will not provide any type of help. Moreover, not any type of physical damage caused to your vehicle will be covered in the policy.

Difference between Third Party Insurance and Comprehensive Insurance

  • A Third Party Car Insurance policy is the basic plan that provides protection from legal responsibilities. Whereas a comprehensive car insurance plan will cover all the possible damages caused to the car.
  • A comprehensive car insurance policy will cover your third party liability, but your third party car insurance policy will not provide comprehensive protection.
  • A Third Party Car Insurance policy has a low premium as compared to a comprehensive car insurance policy.
  • Generally, most people opt for a third party insurance plan in fear of traffic rules. Yes, it is mandatory to have a third party liability coverage as per the Motor Vehicles Act, 1988.
  • A Third Party Car Insurance policy only includes personal accidental cover for your protection. Whereas a comprehensive plan is entirely about your vehicle and your personal protection.
  • A Third Party Car Insurance policy will pay for the damages of another person’s car. But the comprehensive policy will cover your own car along with the other person’s vehicle.

Conclusion:

After knowing the difference between comprehensive and third-party insurance policy, we came to the conclusion that a comprehensive policy is best for your car. You can purchase car insurance online to get an attractive discount on the premium. Additionally, you can also get car insurance quotes from various companies on a single website.

We can also say purchasing a comprehensive car insurance policy tends to be a smarter choice. There is not just a single reason but a list of benefits is provided under a single plan. Otherwise, if you take a third party, then you have to purchase additional coverage for your own car because it will not cover that. Also purchasing multiple plans is totally a silly choice if you are already getting all the benefits in a solo plan.

Apart from this, if you have already purchased a third party car insurance policy for your car then you can switch it at the time of renewal. You will find a number of online car insurance to renew your insurance policy. Of course, you have to pay a higher premium for that. But you can completely believe that it will surely prove to be a comfort in the future.

Top Car Insurance Companies That Provide Accidental Cover 

Top Car Insurance Companies That Provide Accidental Cover

There are multiple car insurance companies existing in India that deal with car insurance. Car insurance is not just financial protection against damage but it also becomes a necessity for every car owner. Apart from financial help, it also protects the car driver from legal formalities. At times when huge damage is caused to the other person’s property then only a car Insurance will help you to get relief from legal complaints. Is it important for a car insurance company to maintain its claim settlement ratio to create an existence in the market? Customers can either purchase car insurance online or consult an agent or insurance broker.

Before proceeding to purchase a plan, we must look for the claim settlement ratio of various insurance companies. If the company has a good settlement ratio then they must have more satisfied customers. Here is the list of companies that have a good settlement ratio in car insurance:

Bajaj Allianz Life Insurance:

Bajaj Allianz Life Insurance company provided Premium policies with comprehensive coverage to all unfortunate accidents. This insurance company provides a variety of plans for the benefits of customers. You can include your family members along with you for extra protection. Customers can avail up to 25 lakhs of the sum insured for the protection of their family. Bajaj insurance company provides a 93.95% claim settlement ratio.

IFFCO Tokio General Insurance:

IFFCO Tokio deals with the best comprehensive protection to its customers. It has a claim settlement ratio of 92.88% and has a good customer base. It covers all the financial risks of accidents, disability, deaths, and injuries. Customers can avail attractive discounts on car insurance renewal with IFFCO Tokio. You can also claim additional benefits on permanent partial disability as per the degree of disability.

Religare Insurance:

Religare insurance company provides a personal accident cover of 10 lakhs to 50 lakhs. This amount is sufficient to cure any disability caused in a serious accident. The Religare insurance policy will cover the children for more than 3 months. Along with car insurance, it also deals with other insurance products such as health, general, bike, and travel insurance. Customers can purchase an online car insurance policy from Religare to get attractive discounts and lower their premiums.

Max Bupa Insurance Company Limited:

Max Bupa is a well-established company dealing with a wide range of personal accident covers. This company primarily deals with health insurance and later comes with other insurance products to gather more customers. Customers can get the sum insured of up to 25 lakhs By purchasing car insurance online.

In case of the demise of the policyholder, the company will provide child education benefit either of INR 50,000 or 5% of the sum insured. In addition, the family will also get Rs 5000 as the funeral expenses. Along with serious accidental injuries, it also covers minor injuries, permanent and temporary disabilities.

HDFC ERGO General Insurance Company:

Customers can check online car insurance quotes of HDFC ERGO Insurance Company to get attractive discounts on premiums. This company provides the best financial protection for vehicle damage as well as for accidental injuries. This insurance will cover the risk of accidental deaths, all types of disability, bone injury, burn, and ambulance cost. You can take this policy for yourself and your family members to protect them from unexpected accidents. Injuries caused due to alcoholism, sport driving, mental disabilities, and high-speed driving exclude in this insurance policy.

How to check quotes of car insurance online?

Customers can buy car insurance online to get desirable discounts on premiums. There are so many online websites that provide car insurance quotes of all the insurance companies in a single platform. Customers can also compare among all the insurance companies on the same website and purchase car insurance online. Along with low premiums, you can also opt for other optional services at the time of buying the insurance plan.

Benefits of renewing car insurance online:

  • You can avail up to a 60% discount on premium rates.
  • All the insurance companies provide default third-party coverage on purchasing or renewing a policy online.
  • You don’t need to consult a broker or agent while buying the policy. An Online advisor is always there to help you in clearing your doubts regarding the benefits, discounts, and quotes.
  • Customers can continue to avail their no-claim benefit if they renew their policy on time.
  • This will also protect you from the hassle of traveling and going to the insurance company. You can renew your policy online from any websites sitting at your home.
  • Renewing an insurance policy online is also time-saving. It will not take more than 20 minutes to renew a policy online. You have to check the quotes, compare them, fill the renewal form, and pay the premium to renew your policy.
  • Online car insurance renewal will also protect you from a lot of paperwork. The policy documents will be emailed to you and you don’t have to carry them every time to renew the policy.

Apart from this, there are many other factors that affect the premium rates. We all know that the premium rate is decided according to the model number, variants, and usage time of the car. So, if you have an old car then it needs high maintenance so the premium rates are also high for old models. Moreover, the same condition applies to expensive cars. Expensive cars have imported parts hence need a high cost to import the parts. So, the premium rates will be increased automatically for all expensive cars.