How can I Select the Most Suitable Four-Wheeler Insurance Policy?

Posted:

23 March,2023

Updated:

30 May,2024

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Purchasing comprehensive car insurance in India is an intelligent move. It ensures that you abide by the law and gives you a financial safeguard for car repair costs.
 

Over the years, the process of buying car insurance has become more user-friendly and can now be done in less than three minutes through the insurer's website or app. However, there are certain elements to consider when buying car insurance in India.
 

When buying car insurance, consider these factors:

Here is a comprehensive checklist to help you make the best choice.

Know Your Requirements

If you are not an expert in risk assessment, it is still possible to identify basic risks. Think about whether the area you live in is prone to flooding, if there have been any recent cases of car theft in the area and if the route that you usually take is safe.
 

By taking a few minutes to reflect on these questions, an individual will be able to figure out the best car insurance cover for their needs.
 

Add-on Covers

When selecting add-on covers for the Comprehensive Plan, be cautious enough. Each insurer will have different prices for these additional covers, so don't get carried away and buy too many.
 

Coverage Range

Purchasing insurance just to meet the legal requirement is not the best option. It is better to buy a comprehensive plan that not only meets the legal requirement but also provides protection against a variety of risks.

Furthermore, you can get even more coverage by adding additional options to your policy.
 

Policy Terminology

Insurers today are striving to make insurance less intimidating by providing helpful resources such as user-friendly websites, apps and customer service representatives.
 

Although this makes it easier to purchase and renew car insurance online, it is still essential to read through the policy details carefully before signing or submitting a claim. Remember, an insurance policy is a legal contract and the terms of that agreement are extremely important.
 

Cashless Claim

Cashless Claim Settlement is a term used in insurance, meaning that an individual doesn’t need to pay money upfront when settling claims.
 

This process is made possible because the insurer has a tie-up with garages that enable Cashless Claim Settlement. So, if the insurer has a large network of garages, they can offer the cashless facility conveniently.
 

IDV

The Insured Declared Value of a vehicle is similar to the current market value of the car. For instance, if a car was bought one year ago for seven lakhs, after two years its IDV would be five lakhs due to normal wear and tear. It is not the same as the resale value. Digital insurance companies give an individual the option to pick the IDV of the car to be insured from a certain range.
 

If one decides to pick a lower IDV, they will pay a lower premium compared to the premium they would pay if they chose a higher IDV. This means that the higher the value of the asset, the higher the premium will be to insure it.
 

Online Quotation

Comparing car insurance policies before buying is essential for a successful online policy purchase. However, it is important to make sure you are comparing the correct policies and coverage.

If an individual is looking at three insurance companies, ensure that they have the same coverage plan in each case, such as a Comprehensive Plan and Zero Depreciation Add-on. Additionally, it is advisable to read online reviews and research the service quality of each insurer.
 

Claim Settlement

The Claim Settlement Ratio of insurance companies published by the Insurance Regulatory and Development Authority of India can be useful in evaluating the insurer's ability to settle claims; however, it should not be the only factor taken into consideration.
 

It is important to consider other sources such as online reviews, testimonials, and peer feedback in order to get a complete picture of the company and its services. Additionally, fraudulent claims and inadequate documentation can affect the number of claims settled, thus skewing the ratio.
 

Online Insurance

Although you may prefer the traditional way of buying insurance, purchasing it online has more advantages such as affordability, convenience, and services. Online insurance will not have to deal agents and their commissions.
 

Anti-Theft Device

Installing an ARAI-certified anti-theft device, such as an alarm, lock or tracker, can be beneficial in two ways. Firstly, it can lower the risk of car theft and secondly it can reduce the insurance premium.

Reduced theft risk means a reduced insurance premium, so be sure to invest in an ARAI-certified device for the best protection.
 

Policy Portability

When it comes to car insurance, portability is a concept which allows an individual to switch between providers if they are unhappy with the services of the current insurer or if they find a better plan elsewhere.
 

Therefore, when making a policy, bear in mind that you are not tied into the plan for life and you have the option to change it when it comes to renewing.
 

Get Insurance Online

Purchasing insurance online has more advantages than the conventional offline method. The pricing, convenience and services of online insurance companies are superior, as they have less overhead in terms of infrastructure, physical office space and personnel, which reduces their operational costs significantly. This is why they can offer policies at an affordable rate without compromising on coverage.
 

Hassle Free Claims

The point of buying a policy is to have peace of mind that, in the event of an incident, one can raise a claim with minimal effort. Therefore, it is not enough to just have low-priced policies; insurers should also be known for hassle-free claims. Shriram General Insurance offers quick claim services; for example, they can pick up their car, repair and deliver it back to them within a short span.
 

Shriram General Insurance Thoughts

Before choosing a car insurance plan in India, take the time to thoroughly understand all the details and do not let yourself be swayed by marketing tricks. Research the different options available and make an informed decision. If you have any questions, contact customer service for assistance.
 

Key Highlights

  • When selecting add-on covers for the Comprehensive Plan, be cautious. Each insurer will have different prices for these add-ons, so don't get carried away and buy too many covers.
 
  • Online insurance will not have to deal with agents and their commissions. These savings are passed on to the customer, meaning they can get more coverage for the same amount of money.
 
  • Installing an ARAI-certified anti-theft device, such as an alarm, lock or tracker, can be beneficial in two ways. Firstly, it can lower the risk of car theft and secondly it can reduce the insurance premium.
 
  • If one decides to pick a lower IDV, they will pay a lower premium compared to the premium they would pay if they chose a higher IDV.
 

FAQs

1. What kind of insurance is best for a car?

It is recommended to always have a comprehensive car insurance policy, as it not only covers damage to another person's vehicle, like a Third-Party insurance policy, but also provides protection for any damage to your car and any injuries to the driver.
 

2. Which is the affordable 4-wheeler insurance in India?

Shriram General Insurance is dedicated to providing swift, ethical, and equitable claim settlements. We are devoted to responding swiftly to our customers’ needs and quickly deal with their claims. Our squad of qualified personnel recognises that any loss can be a source of stress.
 

3. What insurance do I need for car?

Third-party insurance is the minimum legal requirement for car insurance and covers any damage to a third party's vehicle and/or property, as well as the cost of any injury suffered by the third-party or their passengers, but does not extend to damage to your own vehicle.

Save up-to the 85% off on your car Insurance

Save up-to 85% off on your Car Insurance

Save up-to the 85% off on your car Insurance

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