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Why Is It Important To Get A Car Insurance Coverage?

Published On Sep 14, 2022 10:00 AM By InsuranceDekho

Why Is It Important To Get A Car Insurance Coverage?

Insurance is important because it can help protect you from financial losses if something wrong happens to your car. If you have a car insurance policy, it will provide financial protection for you and the passengers in the event of an accident. 

Your policy may also include coverage for property damage, personal injury, and other types of accidents. Car insurance is mandatory in most states, so it is important to have coverage if you own a car. 

Importance of Having a Car Insurance Coverage

There are several reasons why everyone must have a car insurance plan. If you are involved in an accident, having coverage will help pay for damages to your car and/or injuries that you may suffer. In addition, if you have a car then, it is mandatory to have liability insurance to protect yourself financially if someone is injured in a crash while using your vehicle. 

If you do not have car insurance and are involved in an accident, you may be held liable financially. In India, car accidents are common. According to the National Crime Records Bureau (NCRB), in 2015, there were 1.14 million road accidents in India, resulting in 31,000 fatalities and over crore injuries. 

Moreover, NCRB reports that the number of registered vehicles has also increased from 68 lakh in 1981 to over 1.3 crores in 2015.  This increase in car ownership has led to an increase in car accidents and consequently an increase in the number of people who have to seek medical help after a car accident. 

In fact, according to a study by Aon Hewitt2, around 66% of all medical expenses incurred after an accident are due to injuries sustained as a result of the collision.  So it is not surprising that getting car insurance coverage is important for people living in India.

In a country like India, car insurance is a must for all drivers. While the requirement varies by state, most require at least liability insurance. In addition, many states also require comprehensive collision coverage. 

That means that if you're in an accident and are at fault, your insurance policy may not cover all of your losses. If you're not covered by your insurance, you could be on the hook for a large sum of money if something bad happens to you while driving in India. Make sure you have the right car insurance policy in place before hitting the indian roads

Why is Car Insurance a Must?

Car insurance is a necessity for most people. Not only do you need it if you are in an accident, but car insurance also protects you financially if something happens to your vehicle. Here are some of the benefits of getting car insurance: 

  • If you have car insurance, the police will not impound your vehicle if they find that it has been stolen. 
  • If you are involved in an accident, having car insurance will help cover the cost of damages to your vehicle and/or injuries that you may suffer. 
  • Your rates will be lower if you have comprehensive and collision coverage because these policies tend to cost more than standard policies. 
  • You may be able to get discounts on your rates if you have a good driving record and are willing to pay a premium for a safer driving experience.

Conclusion

Everyone should have car insurance to protect themselves and their vehicle in the event of an accident. The cost of car insurance can vary based on your state of residency, driving history, type of vehicle, and other factors. Car insurance can also help cover costs if you're sued for damages in a car accident. You may also be able to get benefits if your car is stolen or damaged due to a fire.

Also Read: 

Learn About IDV in Car Insurance Policy

Affordable Car Insurance Plans

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.
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