- Get to know about the various covers offered by the car insurance companies in India
For a car owner, the insurance of the car is much necessary to have. It is also required to follow the provision made by law as well as to safeguard the interest of the vehicle and owner. For buyers, the insurance service providers offer various insurance plans, and hence it becomes crucial for one to choose the best plan. One can choose a plan keeping the need of a vehicle, type of driving and his personal needs. The universal rule here is the premium increases with the increase in coverage, and hence one needs to keep a right balance while going for any of the plans available in the market. One needs to check the features and also check if the plan can be customized to suit his needs.
The insurance coverage:
Primarily one can find plans with five types of insurance coverage which are discussed here:
- Coverage for Liabilities: This is the plan that covers the liability on your side. It means if the accident took place because of your fault. It covers vast aspects and hence one needs to know each of them in-depth.
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- It covers the replacement or repair of the property of the third party which may be damaged by you. It can be termed as third-party damage also.
- It covers medical expenses of a third party which may have to get hospitalized or go for a considerable treatment as a result of an accident caused by you.
- The owner can go for the minimum liability coverage, and the policy will also cover the same.
- If the higher coverage is considered here, one can have less burden on pocket as the majority of the claim amount can be covered by the insurance only.
- If the sum assured amount is chosen wisely, you may not have to pay a hefty amount from your pocket.
- In case of death or injury to the third party also the insurance policy will cover and hence you can save your back from massive payments. It is also necessary to meet the legal provisions.
- Coverage for collision: In case you have chosen for the collision coverage, it can help you save ample money if the car meets with an accident. In any case, if the repair cost goes up to the amount, which is more than the value of the car, the insurance company can pay the market value of the car. Hence one can have a good saving of money and a good car also. Usually, the collision coverage is chosen as per the age of the vehicle. In case the car is completely new, you must be sure that this coverage is offered in the insurance policy. In case your car has a lien on it, you must have opted for collision coverage as it can help you repay the amount if there is any problem with the car. However, here one must note that in the case of an old car it can be much lower also.
- Coverage for personal injuries: In an accident, there are high chances of personal injuries also. Hence one needs to cover the same in any plan of any service provider. In the case of medical treatment and hospitalization, this coverage can be of great help. It also covers the medical bills for the driver as well as passengers under the plan of personal injury protection. If this coverage is there, it does not matter whether the accident is due to the fault of your or someone else, the insurance company is to pay the medical bills for you. Hence it can be highly supportive for the owner, driver as well as the passengers.
- Coverage for uninsured motorist: In this plan, you can have protection from the accident by any other vehicle which may not have the insurance. In case such vehicle collides to your car, you will not require to pay much from your pocket. Even if the third party vehicle insurance is not enough to meet the expenses, this protection can help you to meet the expenses for your vehicle. If you add the rider, you can have more saving on your cost of an accident. The additional damage or medical bills are also borne by the insurance company if this coverage is there in the policy.
- Comprehensive coverage: This coverage is called as complete solution as it covers almost everything that one may need whether it is driver, passenger or owner, vehicle or third-party or any uninsured motorist, vehicle or driver, this coverage is enough for all. In case of damage due to weather, fire, flood, theft or any other such unforeseen event, also the insurance company offers coverage to the vehicle. One can have this coverage in his budget too, but for that, it is necessary to go for a little research.
Types of policies for car insurance:
There are three types of policies in the market which are third-party, comprehensive, and add-on. Each of these policies has different benefits, and one can choose any of them as per his needs.
Third-party coverage:
The benefits of third party coverage policy are the main attraction for the buyers to go for them. This coverage is affordable and covers injury as well as death. It also covers damage to property and supports to fulfil legal obligations. It is suitable for old vehicles. However, it does not protect own vehicle from any damage.
Comprehensive policy:
The comprehensive policy is known as the best as it covers almost all the damages and risks. It protects the vehicle as well as third party and driver as well as passengers and owner. It offers protection to the own car against various manmade as well as natural damages. In case one wants more coverage, he can opt for additional riders.
Add-on coverage:
In this policy, one can have some more benefits such as Road Side Assistance, Replacement of engine and NIL depreciation coverage for the vehicle.
One needs to be wise enough to find the right protection for his car, keeping in mind the above coverage.