As the world witnesses the magic of technology, buying products online have become a way of life. People no longer prefer to wait in ques or contact a sales guy to fetch the products they want to buy. And with this, it’s not just the e-commerce industry that has adapted to the process of doing business online, but also the insurance industry that has started selling insurance policies online.

As insurance products were traditionally sold by insurance agents, today they are available only at a click of a mouse, thus saving you from the hassles of buying an insurance policy offline.  Today, insurance companies have gone ahead to sell car insurance policies online in a big way.

Your car is one of your most priced possessions that you have acquired after a lot of hard work. Hence, protecting it from any kind of damage is of utmost importance. But considering the uncertain nature of life, you never know when and how you or your car can meet with an accident while you are driving. So to protect yourself from any unforeseen event, having a car insurance policy is place is the best decision as you don’t have to pay for the damages from your pocket.

In India, having a car insurance policy is mandatory and proves to be a blessing in disguise as it helps you safeguard your vehicle from any kind of damage of theft.

Car insurance is of two types:

Third Party Car Insurance

What is third party car insurance?

  • Third party car insurance provides cover against any legal liability caused to a third party due to the fault of the owner.
  • In simple words, it covers damages or injury caused to other people in an accident in addition to the damages caused to any property.
  • This type of cover insures the owner in case of any legal liability arising due to the death or any injury caused to a third party or due to the damage to any property caused by the vehicle insured.
  • A third party liability cover is a legal mandate in India under the Motor Vehicles Act, 1988.

Exclusions of third party insurance

  • A third party cover does not cover the damages caused to the vehicle and it also doesn’t cover the cost of the belongings in the vehicle.
  • It also doesn’t provide cover for the car or for the belongings that are stolen or destroyed.

What is Comprehensive car insurance?

  • As the name suggests, a comprehensive car insurance provides overall protection against any damages caused due to natural calamities, theft, fire, accident or any other factors.
  • This type of coverage is most popular as it provides end-to-end coverage, thereby giving less or no stress at all to the policyholder.
  • A comprehensive car insurance policy provides cover for any damages caused to the third party as well as the car insured.
  • A third party car insurance provides cover for the damage caused to any vehicle/property or a person by the driver of the vehicle.
  • A comprehensive car insurance policy covers the damages or injury caused due to the following factors/ instances:
    Theft
    Vandalism
    Glass damage

Fire damage

  • With a comprehensive car insurance policy, you can also opt for add-ons like medical expenses, accessories cover, engine protector and others.

Exclusions of a comprehensive car insurance policy:

Electrical or mechanical breakdown of the car

Damages caused by a person driving without a valid license.

Damages caused by person while drunk driving

Depreciation

Consumables

Consequential damage

With a comprehensive car insurance policy, you can also opt for add-ons like medical expenses, accessories cover, engine protector and others.

The premium amount for a car insurance policy is determined on the basis of following factors:

Insured declared value (IDV)

Type of the vehicle (Make, Model, Fuel Type and Engine CC)

Manufacturing year of the vehicle

Your age

Marital status

Vehicle use

Your location and your age

Now here are a few benefits of buying a car insurance policy online:

Convenient and quick:
Thanks to technological advancement, buying a car insurance policy became easy and quick, thus saving you from the hassles of constantly following your agent to look for a suitable policy. It also saves you from the daunting paperwork task, thereby utilizing less of your time and money. You can also review the policy online and also procure a detailed information about the policy as many insurance brokers list articles and blogs related to the same.

Gives you a sense of security:

When you buy a policy online, it means that you just have to pick a policy and complete all the paperwork which means that all your information is secured and you would not miss out on providing the company with any vital information. This ensures that your claim will have no chances of rejection and all your information is safeguarded. But providing the same information to your insurance agent means giving all your personal information in the form of a physical document which means that there are chances of it being stolen or any kind of damage.

Quote comparison is easy:

Buying a car insurance policy offline doesn’t give you an option to look for the plethora of car insurance policies available in India. But, buying a car insurance policy online lets you compare car insurance policies by various insurance companies and opt for the one as per your budget and requirements.  

Policy is issued instantly:

Buying car insurance policy online means that the policy is issued instantly and unlike offline, you don’t have to wait to receive the policy. Online issuance of a car insurance policy provides you an instant digitally signed copy so you don’t need to visit the agent and call the insurance company constantly.

Premium reminders:

One of the benefits of buying an insurance policy online is that you timely receive renewal policy reminders. It helps you to avoid missing out on the renewal date or forgo the NCB received. Furthermore, this saves you from the hassles of constantly following up with your insurance agent.

Easy payment option:

While buying a policy online, the payment option is swift. You get the option of paying directly using your credit or debit card.

Since buying a car insurance policy online sounds so beneficial, we hope that you buy one soon. Also, renewing your policy online is as easy as buying a new one.