Different Types Of Car Insurance Plans In India

All forms of automobile insurance, whether purchased online or in person, provide coverage for monetary losses brought on by tragic incidents affecting your vehicle, subject to the particular terms and conditions of your policy.

Insurance coverage is the name given to the many types of protection offered. You have a range of add-on options to pick from in addition to the policy's basic coverage if you want to increase the insurance's level of protection.

Different Types Of Car Insurance Policies

Let's first discuss the five forms of auto insurance available in India:

1.   Third-Party Liability

The advantages listed below come with this kind of auto insurance:

• The price to fix or replace a car that was damaged by a third party
• The price of hospitalisation and outside medical assistance
• The liabilities brought on by a third party's passing

The Motor Vehicles Act mandates third-party auto insurance coverage before allowing you to drive on public roads. The sum assured must be adequate for the road conditions and sufficiently large to cover all of your out-of-pocket costs.

2. Own Damage (OD) or Collision Damage (CD) Cover

The price of fixing your damaged car is covered when you pick collision damage auto insurance. The age of the vehicle and the insured declared value are factors that are taken into account when determining the collision coverage premium. The IDV depends on the present market value of the vehicle.

The IDV less accumulated depreciation establishes the maximum amount payable under the policy in the event that a claim for collision coverage insurance is lodged. You need to get collision insurance if you financed your car.

If your insurance policy includes collision coverage, the insurance provider will pay for your vehicle's repairs following an accident. In some cases, the cost of repairs will be higher than the car is now worth on the market. The insurance provider will in such circumstances pay the car's current market value.

3. Personal Accident Insurance

When you want to protect yourself, that is, the owner-driver of the car, you choose personal accident auto insurance coverage, which pays for your medical expenses after an accident.

You can add extra protection on top of the necessary liability insurance.

4. Car Insurance With Zero Depreciation

This kind of protection is often provided as an add-on to an automobile insurance policy in India. Assume that you need to fix the parts since your car was damaged. The insurance will factor in the parts' depreciated value when settling claims. You will be given the full amount of your claim with a Zero Depreciation Car Insurance Coverage because cost depreciation will not be taken into consideration.

5. Comprehensive Car Insurance

Because it covers third-party liability, harm to one's own vehicle, personal accident coverage, and all non-collision damage like storm, flood, fire, and theft, this type of auto insurance offers the most protection. A variety of add-ons can be used to enhance comprehensive auto insurance coverage.

All risks involving your vehicle, driver, passengers, third-party vehicle, third-party driver, third-party passengers, and third-party property are covered by a comprehensive car insurance policy.

Several concerns that are not covered by the auto collision will be covered by the comprehensive coverage. Depending on your financial situation, you may want to purchase a comprehensive insurance policy.

Conclusion

To minimise risk and maximise benefits, automobile owners need to be well-versed in the various options for auto insurance coverage. Therefore, the insurance plan should be selected depending on the make and model of the automobile, how often it is used, where it is located, and other factors. By comparing and examining numerous car insurance coverage options, you may select the best one.

Also Read: 

How Long Does It Take To Get Returns After Raising A Car Insurance Claim?

Easy Steps For Claiming Car Insurance In Case Your Car Is Lost