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Essential Parameters To Compare Car Insurance Online

Published On Aug 11, 2023, Updated On Aug 17, 2023

Essential Parameters To Compare Car Insurance Online

In India, owning a car is exciting, but it also entails responsibility for ensuring it is adequately insured. Car insurance is a must because you can never predict when unanticipated incidents or accidents will happen on congested Indian highways. We can now save time and effort by comparing insurance coverage online, thanks to the wonders of the internet. To make the process simpler and assist you in locating the best insurance plan for your vehicle, the following article will give you a thorough set of guidelines.

Why Should One Compare Car Insurance Online?

Comparing car insurance online offers numerous benefits and advantages for car owners. Here are some compelling reasons why comparing car insurance online is a wise decision:

Essential Parameters To Compare Car Insurance Online

  • Convenience: 

The internet has made it incredibly easy to compare different car insurance policies from the comfort of your home. No more visiting multiple insurance offices or making endless phone calls. With just a few clicks, you can access a wide range of insurance options.

  • Time-Saving: 

Online comparison saves you valuable time. Instead of spending hours physically visiting insurers or talking to agents, you can quickly gather all the information you need in minutes.

  • Comprehensive Information:

Insurance comparison websites provide comprehensive information about various policies. You can easily compare coverage, benefits, exclusions, and add-ons side by side, helping you make an informed decision.

  • Best Deals and Offers:

Online platforms often provide exclusive deals and offers that may not be available through traditional channels. Comparing online gives you access to special discounts and promotions, helping you secure the best possible coverage at a competitive price.

  • Transparent Pricing: 

Online comparison tools allow you to see the premium rates upfront. This transparency helps you understand how various factors impact your premium, allowing you to adjust coverage or add-ons according to your budget.

  • Customer Reviews:

Reading customer reviews and ratings of different insurance companies can provide valuable insights into their reputation and customer service. Real-life experiences from other policyholders can help you gauge the insurer's reliability and claim settlement process.

Things to Consider About When Purchasing Car Insurance Online

Before you purchase car insurance online, consider the following factors:

  • Understand Requirements:

Before purchasing car insurance, take some time to evaluate the primary risks associated with your location and driving habits. Consider factors like flood-prone areas, car theft rates in your neighbourhood, and accident frequency on your regular travel routes. This self-assessment will help you determine the appropriate level of coverage you may need.

  • Consider the Brand:

Just as you carefully choose the brand of your car, it's essential to consider the reputation and reliability of the insurance company you're considering. Research the insurer's track record, customer reviews, and services to ensure you are comfortable with the brand before entering into a partnership with them for your car insurance needs.

  • Range of the Cover:

While buying insurance to meet the legal requirements is possible, it is often better to opt for a comprehensive plan. Comprehensive car insurance not only fulfils legal obligations but also provides coverage for various situations, including damages to your vehicle. 

  • Know the Basic Plan:

The mandatory part of car insurance is Third-party Car Insurance Cover. This coverage ensures that the insurer assists you financially if your car causes injury or damages to a third-party person or property. While this is the minimum legal requirement, it may not cover damages to your vehicle.

  • Policy Terminology:

Insurance companies strive to make buying and renewing car insurance more accessible. However, it is vital to familiarise yourself with the policy's terms and conditions, especially the fine print. 

  • Cashless Facility:

A cashless facility allows you to settle claims without paying upfront for repairs. When you have a cashless claim settlement option, the insurer directly pays the garage for the covered expenses, and you only need to pay any applicable deductibles or co-pays. 

  • IDV and Premium Relation:

The Insured Declared Value (IDV) represents the current market value of your vehicle. When choosing car insurance, you can select an IDV within a given range. Remember that a higher IDV results in a higher premium, while a lower IDV reduces the premium cost. Understanding this relationship helps you decide the level of coverage and compensation that suits your budget and vehicle's value.

Comparison of Types of Car Insurance Policies in India

The following table compares the three main categories of car insurance in India:

Points of Comparison

Third-Party Insurance

Standalone Own Damage

Comprehensive Car Insurance

Third-Party Cover Offered

Not Offered



Own Damage Cover

No OD cover




No Add-ons

Optional Add-ons

Optional Add-ons


Less than Standalone Own Damage

Slightly higher than Third-Party Cover

Higher than Third Party and Standalone Own Damage

Personal Accident Cover




Zero Dep Cover

Not offered



Closing Thoughts

When purchasing car insurance online, consider your specific risk factors, evaluate the insurer's reputation, and opt for comprehensive coverage. Familiarise yourself with policy terms, especially the fine print, to make an informed decision. By making thoughtful choices and understanding the policy's details, you can secure the best car insurance that meets your needs and provides reliable coverage for any unforeseen events on the road.


  1. What factors affect car insurance premiums?

Car insurance premiums are influenced by your driving history, age, location, car model, and usage. A clean driving record and lower-risk area can lead to lower premiums.

  1. Can I customise my car insurance coverage?

Yes, many insurers offer add-on options that allow you to tailor your coverage to specific needs, such as roadside assistance, zero depreciation cover, and engine protection.

  1. What is a "deductible," and how does it work?

A deductible is the amount you agree to pay out-of-pocket before your insurance coverage kicks in. Higher deductibles usually result in lower premium costs.

  1. Can I transfer my car insurance to a new vehicle?

Yes, you can transfer your existing car insurance to a new vehicle by informing your insurer and updating the policy details accordingly.

  1. What should I do if I have an accident and need to make a claim?

In case of an accident, immediately inform your insurance company and file a claim. Provide all necessary details, documents, and photographs to expedite the claims process.


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.
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