Complete Guide For Comprehensive Car Insurance
Published On Jan 05, 2021 2:00 PM By InsuranceDekho
Car insurance in India is a mandatory requirement by law. Third-party liability insurance is the minimum level of car insurance necessary to use the cars on the roads. It is recommended to have a comprehensive car insurance policy as it offers wide-ranging protection to the car and its owner.
A comprehensive plan in car insurance is a comprehensive plan which offers coverage for own-damage in addition to third party damages and losses. Securing your car with comprehensive car insurance is a great way to protect your car from damages resulting from mishaps on the road. The plan’s coverage can be extended by choosing add-ons such as engine protector, medical expenses, zero depreciation cover, accessories cover, etc.
Benefits Of Buying Comprehensive Car Insurance
A comprehensive car insurance policy is a defensive shield that your car requires against losses involving a mishap. Comprehensive car insurance coverages are popular with car owners as these plans include a surplus of coverages. It protects your car from any untoward incidents apart from collision. It covers for losses sustained during an accident. Various other benefits that the comprehensive insurance covers include:
- It is the maximum protection level you can offer your car.
- It covers lawsuits, such as legal fees brought on account of an accident.
- If you are at fault in case of a mishap, you can claim for losses sustained in such cases with comprehensive car insurance.
- It offers peace of mind and monetary protection.
- Unlike third-party insurance, it covers damages caused to your own car during a mishap.
- It provides monetary aid in case your car is irrecoverable.
What Does Comprehensive Insurance Include?
To stay away from any final minute shocks, it is better to have a complete grab on the inclusions and exclusions mentioned in your car insurance policy. For that, you must go through it very carefully. Usually, you would not need to be anxious about the following, as they will be covered under comprehensive car insurance:
- Damage caused by harsh weather or natural calamities.
- Damage to the third party
- Damage to your car caused by falling things.
- Destruction or damage of your car caused by an act of public disturbance such as riots.
Things That Are Not Covered Under Comprehensive Insurance
In case your car goes through damage because of a collision, then a car insurance claim cannot be made except if you have comprehensive car insurance. In the same manner, there are a few things that have been excluded from comprehensive car insurance:
- Wear and tear of the car
- Damage caused to the car by a person driving without a valid license.
- Mechanical or electrical breakdown
- Damage caused because of drunken driving.
- Damage caused because of driving under the influence of drugs.
- Loss/damage to the car caused by nuclear risk, warfare, or revolt.
- Damage to tubes and tyres. But, if the car is spoiled simultaneously, the liability of the company will be restricted to 50% of the replacement cost.
Who Should Opt for Comprehensive Insurance?
The following are the types of car owners who should opt for comprehensive car insurance:
- Owners of New Cars: Purchasing a car is an important investment. However, driving a car comes with all types of risks. Having comprehensive insurance coverage will provide holistic protection for the new car and give the insurance holder financial stability.
- People Who Travel Long Distances: Whether your commute to work is a long one or you like to go for road trips often, the more you drive the higher your chances of mishaps. Having a comprehensive car insurance plan significantly mitigates the damage costs in case of a mishap.
- People Who Live in High-Risk Areas: If the area in which you live has a higher probability of mishaps, whether that be theft or road accidents it is wiser to invest in a comprehensive car insurance plan.
- People Who Live in Metropolitan Cities: These major urban centres are by nature densely populated and also have a high density of cars. This automatically makes the place a high-risk area for mishaps.
- Luxury Car Owners: For people who have luxury cars a mishap can cause a severe dent in their bank accounts. Thus having car insurance with more coverage such as a comprehensive insurance plan makes sense financially.
- New Drivers: If you are a new driver or simply a clumsy one the comprehensive insurance plan will help you cover the cost of any damages that happen due to a mishap.
- Paranoid Owner Drivers: If you are someone who is overly worried about any damage to your car purchase a comprehensive insurance plan. The insurance cover will take care of both own-damage costs and third party liabilities under a single premium. Moreover, it will give your car all-around protection in times of crisis and give you peace of mind.
With several top insurers offering car insurance policies, purchasing and renewing a comprehensive policy is a simple and stress-free process. Compare comprehensive plans from well-known insurers and select one that best suits your requirements.
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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.