Whether you’re in the market for new car insurance or just want to renew your existing policy, finding the right insurance company is crucial. To help you navigate the choices, we’ve compiled a list of top car insurance companies in India and the services they offer.
Comprehensive Car Insurance Investing in a comprehensive car insurance policy is a smart move, as it covers your vehicle against theft, natural disasters, and fire. A comprehensive policy also allows you to lower your insurance premium. There are two types of car insurance policies available in India: comprehensive insurance and third-party insurance. Although a comprehensive plan costs more, it provides more coverage and pays for damages caused to other people or their property.
Third-Party Motor Insurance
Third-party insurance is mandatory for all vehicle owners in India under the Motor Vehicles Act, 1988. It covers the legal liability of an insured vehicle for damages caused to a third party and the medical expenses and hospitalization costs incurred by a third party. Various factors determine the premium of a third-party vehicle insurance policy, including the cubic capacity of the vehicle and IRDAI insurance rates.
Pay As You Drive’ (PAYD) is a unique product that lets you pay the premium as per your car usage. This is ideal for people who drive daily or outside the city limits and offers discounts over normal premiums. Insurers use telematics technology to monitor and transmit accurate data about the kilometres you drive, rewarding safe driving and penalizing negligent driving.
Adding roadside assistance to your car insurance plan is a wise decision. It can help you tow your vehicle, retrieve your spare keys, jump-start a flat battery, and arrange fuel for your vehicle in case of breakdowns. The best part is that this service is usually free of cost. Adding roadside assistance to your car policy is an essential add-on, especially if you are a new driver.
Losses in General Insurance
During the pandemic, losses in general insurance grew by 26%, due to the heavy inflow of patients and stress on insurance firms and hospitals. However, the government is planning to infuse Rs 3,475 crore in three general insurance companies in the current financial year to improve their capital utilization.
In conclusion, choosing the right car insurance company is critical, and understanding the range of services they offer is essential. By considering the above options and weighing their benefits, you can make a well-informed decision and safeguard your vehicle against any potential risks.