Why Should You Get Your Motor Vehicle Insured

In Mumbai alone the vehicular population has increased by 55% in the last seven years, now sporting 23.3 lakh registered vehicles.  The consequential congestion on the road, coupled with cows, stray dogs, disastrous rains, cyclists, pedestrians, absence of traffic rules, is bound to turn a sane human being to an insane driver, like

The Impatient Speeder

Dont be uninsured

The Honking Abuser

 honking abuser

The Overcautious Snail

overcautious snail

The I Hate Rules Jerk

i hate rules jerk

As a result, India at present has the highest number of road accidents in the world. At such a rate, do you think you can get by with no or low insurance covers? Yes, but heavy fines  or a stint in jail with the former and ridiculously low claims with the latter.  So instead of trying to “save money” on your insurance premiums, it is wise to go  with a plan which covers at the following.

What to look for while choosing a good motor Insurance Policy

It is Mandatory to get at least a third party cover for all motor vehicle insurance  in India. But that can protect you only to a certain level- when a damage is caused to another person’s party because of you. Then what about covering your own vehicle? Well, with a little more thought and price, you can get a comprehensive cover which will include your vehicle, a personal accident cover and a third party liability cover.

Understanding the terms

Comprehensive policy:  It is a complete package policy wherein own vehicle damages will be covered up to the Insured Declared value. And any third party property damage or third party injury/death can be covered.

 Third Party Liability- This cover protects you from any liability arising of third party bodily injury or death and third party property damage (TPPD).  This is a mandatory requirement under the motor vehicles act 1988. The limit for TPPD is 750k.  Also the Third Party Liability cover is unlimited and is determined by the court.

So it is a no brainer, that to get a sufficient and secure claim, it is wiser to go with the Comprehensive policy covering both.

Learn how to determine the premium you should pay for your vehicle.

Happy Driving :)

Source from:  http://www.turtlemint.com/blog/why-lower-auto-insurance-premiums-may-not-be-good-for-you/

The Advantages of Car Insurance

Choosing auto insurance is taking more benefit and it is a good idea for you. You can take a lot of advantages to have auto insurance. let me see what decision for you after looking the advantages of auto insurance. Financed Cars First of the advantages of auto insurance, You have a new car that you must paid off. But if there is something happens to the car, what will you do to repair it while the car hasn’t been paid off. The car insurance is the best way for you. Who It Covers Second of the advantages of auto insurance, Full coverage insurance will cover all drivers who are legally allowed to drive while in your car. If you loan your car to a relative, or even if it’s taken without your permission, the insurance is still on the car. Liability policies usually cover any driver who has permission, but may require you exclude some drivers. Examples of this could be if you have a younger sibling living at home, you may be required to exclude that person from the policy. So if your teenage brother takes your car one night and something happens, it may not be covered with liability only insurance policies. Car Rental Services Third of the advantages of auto insurance, Many insurance companies will provide a complementary rental or loaner car if your car is expected to take more than 24 hours to repair providing you have full coverage insurance. This can be a great benefit. You don’t have to pay out of pocket for transportation to work and other errands while you wait on your car to be repaired. With liability insurance this may be offered at an additional fee, but is rarely, if ever, included with your liability plan. Benefits Up Front Fourth of the advantages of auto insurance, With some insurance plans, full coverage policies will pay you up front for the repairs that need to be done. Often they will send payment directly to the repair shop so you don’t have to worry about whether or not you will have the money to pay them. With liability insurance any repairs that are covered are usually reimbursed. This means you have to pay up front most of the time out of your pocket and wait for the insurance company to cut you a check. Insurance Investment The last of the advantages of auto insurance, Car insurance can be a good investment vehicle. If you think to save money while protecting your assets, insurance can be a very appropriate choice. Is not it nice to have all the means that can include multiple goals at once? Source from: http://besttechcars.com/the-advantages-of-car-insurance.h

Car Insurance Claim Rejected? Here are 7 Reasons Why

Buying a car is a major long-term decision. Apart from home, a car is one of the most expensive investments that a person makes. We are very careful about our car and the way we drive. However, there would be times when damages to the car happen. This can be caused by your negligence or through someone else’s fault. Accident, collision, theft, or damage due to natural calamities are some factors due to which your car may suffer from damages.

Most people believe that the car insurance companies would reimburse the cost of the damage repairs. While this may be true for many instances, there are also many cases where your car insurance claim can be rejected. Here are 7 reasons when your car insurance claim. can be denied.

7 Reasons Why Your Car Insurance Claim is Rejected

1. No Insurable Interest

When the insurable interest is not established i.e. the policy holder name differs with the name of owner as per vehicle RC Book, the car insurance claim can be rejected.

2. Non-holding of Driving License / Invalid Driving License

The claim can be rejected if the driver does not have a valid motor driving license issued by RTO to drive the appropriate class of vehicle as per the Motor Vehicle Act. Also, a driver need to take check the expiry of the validity period of the license. The Regional Transport Office (RTO) issues motor driving license for 20 years validity period up to age of 50 years and 5 years validity period after age of 50 years. For any commercial vehicle the driving license validity is for 3 years.

3. Mechanical/Electrical Breakdown Damages

If your vehicle is stuck due to any mechanical/electrical breakdown, (i.e. damages occurred without any external impact), the claim will be rejected.

4. Repairs of Vehicle Started/Completed without Intimating Insurer

If the vehicle has met with any accident, the customer needs to intimate the insurer about accident. Once the damaged vehicle inspection survey is done, repairs can be started based on the assessment carried out by surveyor. If repairs of vehicle are started/completed out without intimating insurer, then the claim will be rejected.

5. Commercial Vehicle

If the driver of a commercial vehicle does not hold a valid fitness certificate and road permit, or the fitness certificate and road permit, issued by RTO, are not valid as on date of the accident, then the claim will be rejected as per the Motor Vehicle Act. Normally validity of Fitness Certificate is for 1 year and road permit is for 5 years.

Rejection can also happen when there is overloading of goods than the permitted carrying capacity of vehicle or if the number of persons travelling are above seating capacity of the vehicle. If the vehicle is carrying a load over and above the mentioned carrying capacity as per RC Book, then claim will be rejected. Similarly if number of people travelling are more than the seating capacity mentioned in RC Book, the claim can be denied.

6. Misrepresentation of Facts

During the process of claim, if there is any misrepresentation of the fact regarding the accident and any moral hazard or there is any fraudulent document submission by the insured, the claim can be denied.

7. Drunk Driving

 If driver is under consumption/influence of any intoxicating liquor or drugs, and meets with any accident, then claim will be rejected.

Knowing these factors for car insurance claim rejection can help you avoid the hassle and confusions that arise due to such rejections.

How to Compare Car Insurance Rates Effectively?

“It’s not just a car it’s your Carnama”, one of the beautiful milestone that you have achieved in life today. Will you not save your milestone from unnecessary damages, threats or accidental mishaps? Well we’re sure you would like to save it. The remedy for all your concern would be buying a suitable car insurance coverage for your vehicle.

Today, markets are flooded with car insurance policies lower or high rates, features filled or benefits oriented but “one-size-fits-all” are not the solution for cars. Every individual, every car, every condition is different therefore a car insurance policy has to be designed depending on individual needs, income source and car safety elements. It is advisable to have a suitable car insurance comparison on elements like rates, benefits and features, safety aspects, discounts and promotions activities, flexible payment modes and claim procedure before reaching for any consensus for car insurance purchase.

If you're not sure how to compare car insurance rates, we've got handful of tips that may just save you some bucks on insurance purchase.

Multi-quotes

Today car insurance market is incredibly competitive and vast, insurance providers often go that extra mile to get your business. So, if you carefully compare quotes from different insurance provider you could make the competition work to your advantage. Therefore, your first step should be getting atleast three to four quotes from reputable car insurance providers. Once you've done that, look at each of them carefully to make sure you're comparing apples to apples. This will help you determine which one will give you the best coverage for your buck.

Limit of liability coverage

Liability insurance often pays for the car repair and medical bills of another driver if you're involved in an accident and found to be at fault. Although the law expects to have a minimum insurance requirements but this coverage might not be sufficient in the event of a worst-case scenario. All insurance quotes don’t come with matching limits of coverage. Therefore, it’s necessary to compare these quotes to determine the limit of liability coverage for each of the chosen options. At times, it can happen that the cheapest car insurance quote might have the lowest limit of liability insurance, which in reality may not be high enough to cover accident-related damages. So, just consider these options while having car insurance comparison.

Deductibles

Collision or comprehensive insurance pays for damages to your vehicle. Most policies will pay to repair or replace a vehicle up to its actual cash value. But, generally difference between policies is the deductible, or the amount of money you need to pay out of pocket in the event of a claim before the insurance policy kicks in and pays for damages. A policy with a higher deductible will often have lower premium rates, but if you make a claim, you will have to pay more out of pocket compared to keeping lower deductible. While having car insurance comparison make sure that the policies you are looking at have the same deductible in order to make an accurate comparison.

Get motorist insured

Insured motorist’s coverage helps you get the cover if you’re involved in an accident with someone without insurance. Else you could end up covering the damages you've suffered causing a big hole in your pockets. Although, it doesn't come standard with all insurance policies, but it's worth consideration.

Discount Eligibility

If you're a safe driver, or if your car has safety measure, lesser miles covered, No claims, particular credit/debit card holder, or festive offers you will be able to get some form of car insurance discounts. Make sure to find out about any discounts you may be able to receive, and bank upon when having a suitable car insurance comparison. It’s only when you step down into the water you’ll understand the depth of it. Car insurance sector is also vast. By mere admiring the policy from above and assuming its good is not enough. You need to step down in water of quotes comparison and then carefully choose your options. It's easy to arrive at the assumption that the cheapest policy is the best policy, but that's not always the case. Sometimes the low cost insurance also offers the lowest limits of coverage. Low rate is not always “THE BEST” insurance quote for car insurance. 

Top 5 Car Insurance in India!

What is Car Insurance?

Insurance is a protection against the financial loss arising on the happening of an unexpected event. A person can avail this protection by paying a premium to an insurance company. The primary purpose of Car Insurance is to provide financial protection to the policy holder against losses incurred due to any physical damages to their vehicle. Car Insurance is a type of Motor Insurance/ Auto Insurance or Vehicle Insurance. But sometimes, they all can be used interchangeably.

The losses and damages to your car covered under the Car Insurance may include:

1. Loss or Damage to your vehicle against Natural Calamities

Example: Fire, explosion, self-ignition or lightning, earthquake, flood, typhoon, hurricane, storm, tempest, inundation, cyclone, hailstorm, frost, landslide, rockslide.

2. Loss or Damage to your vehicle against Man-made Calamities

Example: Burglary, theft, riot, strike, malicious act, accident by external means, terrorist activity, any damage in transit by road, rail, inland waterway, lift, elevator or air.

3. Personal Accident Cover

Coverage for the individual driver of the vehicle while travelling, mounting or dismounting from the car.

4. Third Party Legal Liability

Protection against legal liability due to accidental damages resulting in the permanent injury or death of a person, and damage caused to the surrounding property. A Third Party Liability cover is legally mandatory in India under the Motor Vehicles Act.

As per the Motor Vehicles Act, 1988 it is mandatory for every owner of a vehicle plying on public roads, to take an insurance policy, to cover the amount, which the owner becomes legally liable to pay as damages to third parties as a result of accidental death, bodily injury or damage to property. A Certificate of vehicle Insurance must be carried in the vehicle as a proof of such insurance.

Following are the 5 popular Vehicles Insurance plans available in India:

1. National Insurance Company:

2. ICICI Lombard Car Insurance:

3. Bajajallianz Insurance Company

4. United India Insurance Company Ltd.

5. New India Assurance:

Source from: https://blog.bankbazaar.com/top-5-car-insurance-in-india/