Car Insurance policy

Buying a car is the ultimate dream for any person. The experience of buying a new car is awesome. Choosing a color, features, interior designs, dealer for buying a car, deciding the budget. Hanging the best deal from the dealer, all these things give a big essence of excitement for buying a car.

Ultimately, seeing a car parked in front of your house gives a feeling of pride and joy. On the other hand, when we put this much effort into buying a car, then why not protect it?  Buying a car insurance policy is a step in this way which will protect your vehicle against odd circumstances. Law also makes it necessary to have your car insured in India.

To safeguard the possession of your vehicle, it becomes the utmost priority to buy car insurance.

No matter it is a used car or a brand new, a car insurance policy is a must. Car insurance protects you from expenses that occur due to some mishappening. It is the way to say money as per future perspective, which otherwise will spend out of your pocket. We have some tips which will ease your way of buying or claiming insurance.

Some Facts about Car Insurance Policy

  1. A. to Motor Vehicle Act, 1988, having third party insurance is mandatory for each car owner in India.
  2. You have two options, buy third party insurance or a comprehensive one. Comprehensive insurance will cover the loss suffered by you as well. Third-party insurance will cover the loss suffered by the victim only. To make your comprehensive insurance stronger, choose the major add-ons offered for additional security of major parts.
  3. It is easy to buy car insurance. You can easily compare, study, analyze, and buy a car insurance policy. Online transactions are safe and transparent.
  4. The validity of car insurance is usually 1 year. It requires renewal before expiry or otherwise, there will be chances for rejection of your insurance or it will require re-inspection which will again cost you more.
  5. In the event of an accident, you must immediately inform your insurer about the accident. This will ease the process of the claim.

Do’s and Dont’s when filing a car insurance policy

Every process comes with some Do and Don’t list. Just like every appliance comes with a set of rules and how to use list. Here is a brief list of important Do’s and Dont’s you must follow while filing a car insurance policy-

Do’s

  • File FIR- a First Information report is necessary to file the claim. The first step after an accident is to call the police. This  FIR will be used by the insurer while claiming.
  • after calling the police, make the next call to the insurance provider. Try to inform the insurer as early as possible. Most of the insurance providers have a window of 24 hours to 48 hours. So inform them as early as possible.
  • after that go through your policy brochure, study, and find if your policy covers the type of damage that has occurred. Estimate the expense and also the amount that is claimable by the insurer. Call on their toll-free helplines or visit the FAQs available on their website. This will help you a lot.
  • a picture says more than words so, take a picture of the accident scene and the injuries occurred immediately. This will help you, your insurer, and the police to clear the scene more comprehensively.

Dont’s

  • running away from the accident scene will create difficulties in the claim process. Do not move any part of your vehicle or victim party’s vehicle from the crime scene.
  • resist yourself from an informal settlement. Doing this will make you miss out on the claim.
  •  Avoid drunken driving as it is a legal offense. Avoid getting involved in street racing or offensive driving in cities or busy roads. Do not use your personal car for commercial purposes.
  • Do not accept any cheque or Demand Draft from the insurance provider that says “Final Settlement” unless you are ready to do so and consult your lawyer to get a better idea of the legal process. If unsatisfied, you can request for more claims.

Following these Do’s and Dont’s will make your claim easier and quicker.

Also Read: Common Health Insurance Mistakes