Car Insurance Buying Tips that Help You Avoid Being Fooled!
Published On Dec 19, 2020, Updated On Mar 20, 2021
For all car-owners, opting for a transparent and hassle-free insurance plan is a top priority since car insurance is a legal mandate in our country. More essentially, ensuring your own vehicle is important to be on the safer side, both legally and financially.
In this article, we have listed the key points that one should remember like proper research, checking third-party insurance etc. while buying car insurance.
Car Insurance Buying Tips that Help You Avoid Being Fooled
Do Your Research – There is no alternative to engaging in self-research while buying car insurance to understand what best suits your needs. Comparing several plans based on the cost of the premium, the coverage, claim settlement ratio, and benefits is a perfect approach.
Mandatory Third-party Insurance – While purchasing a vehicle for the first time, third-party insurance will be offered to you by the auto-dealer, and if not, then one has to buy it from an insurance company. A third-party plan covers the insured against third-party liabilities such as third-party bodily injuries, death and property damage (up to Rs. 7.5 lakh).
Thoroughly Understand The Policy – The policy should be read and understood carefully regarding the coverage, inclusions, and exclusions.
Periodic Evaluation – As per experts, your insurance plan should be reviewed and evaluated once in a while or annually to assess the coverage potential.
Types of Car Insurance - There are mainly three types of insurance policies, namely, third-party car insurance, comprehensive car insurance, and standalone own damage insurance. Third-party insurance is the most basic and compulsory insurance for every vehicle on road that covers only loss incurred by a third party in case of accident. It does not cover damage to the car. Comprehensive car insurance offers complete coverage in case of accidents, and damage to the owner and the third-party. Standalone own damage is a policy that covers damages done to your own car.
Policy Terms - Often customers only refer to the insurance benefits and forget to understand the terms and conditions. So, one should read about all inclusions and exclusions before making an effective decision.
Claim Procedure - While buying car insurance, one should always know in detail about the claim procedure, which should be efficient and hassle-free.
In our country, there is an increasing practice of fraudulent activities where insurance agents have to cultivate a culture where people feel reluctant to buy insurance, be it for car or health because they tend to fool customers. So, these tips will be useful to buy the most suitable car insurance plan for your vehicle.
Disclaimer: This article is issued in the general public interest and meant for general information purposes only. Readers are advised not to rely on the contents of the article as conclusive in nature and should research further or consult an expert in this regard.