Complete Guide to Select the Best Car Insurance Plan

Before zeroing down an insurance policy for their car(s), most people miss the crucial step of researching, and they jumping to the premium directly. On the basis of the premium, they finalize their selection of a car insurance policy.

Here is a step by step guide for you; it will be helpful for you in order to make an informed and wise choice. Consider the points mentioned below in order to select the best insurance policy for your car.

1. Compare the key feature provided by the insurance coverage

Draw a comparison of your shortlisted motor insurance policies to analyze if they all are providing the same kind of insurance cover. Your insurance plan should include all the key inclusions in terms of a car (such as own damage cover) and provide you with coverage against a personal accident as well as for the injuries succumbed by a thirdparty.

2. Review Add-on Riders as the Part of the Car Insurance Policy

It is always recommended to pay adequate attention to all the add-on riders so that you can pick out the ones that you want as the additional benefits. For your convenience, we have listed below a few crucial motor Insurance riders.

  1. Engine Cover – It provides an extra layer of protection by safeguarding you against additional expense incurred due to car engine damage.
  2. Third-Party Liability Coverage – Third-party Liability coverage ensures the protection of the car owner against any financial liability that could be because of any bodily injury, death, and damage repair cost of a third-party motor.
  3. Roadside Assistance Cover – In case you are stranded because of the engine failure or any accident or if your car’s tire is punctured, you are provided with the option of availing roadside assistance. It will enable you to call your insurer and make a request to send a car mechanic at your location.
  4. Zero Depreciation Cover – When you make a selection to add zero depreciation cover to your car insurance policy, the depreciation on substituted car parts is waived off by your insurance company. It signifies that you are eligible for getting a higher amount of claim.
  5.  Personal Accidental Cover – Personal accidental coverage ensures the financial protection to the vehicle owner against unexpected and unfortunate events that might induce physical trauma, or cause the accidental death, or the person might end up being a totally disabled permanently because of a road accident.

3. Consider Reviews of the Car Insurers

Make sure you ask your extended family members and friends regarding their experiences with any specific motor insurance company. The feedback coming directly from your near and dear ones may provide you better insights about how its customer support and claim procedure work. It will help you to make an informed choice.

4. Compare Insurance Premium Online

The Internet is flooded with so-called great deals. Don’t fall for them; they could be nothing but a trap. You can come across a decent deal online when you take some time out of your hectic schedule and search across the Internet.

While comparing car insurance plans online, keep the following points in your mind:

  1. Compare various insurance plans offered by the different insurance providers.
  2. Ensure that the comparison site computes the premium on the fixed IDV (Insured Declared Value).
  3. Compare the insurance premium on at least 3 online insurance comparison sites.

5. Negotiation is the Key

When it comes to buying motor insurance, negotiate with your existing insurance provider.You never knowyou might end up getting an additional advantage if you have been a responsible driver and have not made way too many claims or filed too many accidents.

6. Safeguard Your NCB

If you are a responsible driver, and you haven’t filed any claim, then you get the advantage of No Claim Bonus (NCB). If you don’t register any insurance claim for a year, then your car insurer rewards you with No Claim Bonus. This is the discount that is subtracted from your insurance premium during policy renewal. As an option, you can go for NCB.

7. Checkout the CSR

Before you finalize a car insurer, last but not the least, consider the insurer’s previous record of claim settlement. Claim Settlement Ratio is the time taken by an insurer to settle down the claimsfromits clients. Proceed only when it is good. Don’t even think of buying car insurance policy if the CSR is not good. You can easily find the Claim Settlement Ratio of various insurers on the website of IRDA of India.