First-time Car Insurance Buyer’s Guide | RenewBuy

First-time Car Insurance Buyer’s Guide

Your months of research ends and you are about to buy a new car. Congratulations! The occasion that you receive your first car is something worth celebrating. The next thing you need is a car insurance policy. You spent hours searching for that perfect car. And it would help if you protected it at any cost. Besides, vehicle insurance is a legal requirement in India.

Given below are some practical tips if you are here for the first time:

1. Do not ever ignore your homework

You are buying car insurance for the first time. And you should have all the details required to take an informed decision. Do your own due diligence. Make sure that you are fully aware of all the details before making that final commitment. What is the inclusion and exclusions, additional benefits, add-ons available; know as much as you can about a policy. The Internet abounds in websites designed to help consumers in this regard, make good use of them.

2. Fill up your documents properly

Make sure that the information you include in your application form is reliable and detailed. Upload necessary required documents as asked. You will need to upload the proof of your address and driver’s license for the purpose. Remember, it is in this address that your insurer sends the policy-related documents.

3. Give accurate information about your car

The premium of your car insurance policy depends on its engine capacity. Keep your car’s registration number and information on engine capacity in hand while filling up your motor insurance application form.

4. Review the claim settlement ratio with the company of your choice

There are three terms you should familiarize yourself with when exploring your options in car insurance; claim settlement ratio, claim repudiation ratio and the claim pending ratio. Explore your popular search engine with these keywords and read all the details as much as you can.

5. Know your options

You can avail two types of motor insurance in India; third-party liability policy and comprehensive coverage.

As per the Motor Vehicles Act 1988, the law mandates the third-party liability insurance.  As the name suggests, it protects you from any legal trouble and protects the third-party person or property.

The comprehensive coverage expands your protective shield. It compensates for third-party liabilities and pays for the damages you cause on your own. Theft, natural disasters, self-ignition and human-made calamities are the other things your comprehensive vehicle insurance policy covers. You may also buy add-ons to customize a policy as per your requirements.

6. Buy vehicle insurance online

You can buy car insurance both offline and online. However, online shopping is highly recommended. Almost all reputed companies prefer online purchases. They even offer huge discounts for their customers on the worldwide web.

 

Finally, choose a bundle package. Combine the protection available for all the cars in your family into a single one. Insurance agencies often offer discounts to those who go for bundle packages. Opting for voluntary deductible too will lower your premium. This way, you agree to bear some of the cost of repairing your car. It would help if you also stay safe from the insurance protection car dealers offer.

There exists no question as to whether you should take motor insurance. The only difficulty is to determine how much you need.

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