Auto insurance is as essential as buying a car. Without third-party insurance you cannot ply your vehicle on the road. But third-party plan does not suffice the whole purpose as when driving even you can meet with an accident putting your life and vehicle at risk. Hence, a comprehensive auto plan would be just perfect for you vehicle wherein with third-party coverage the potential risk of damage to your vehicle would also be covered.
Now you can purchase online vehicle insurance by gathering all the necessary information and make a smart choice. Getting auto plan is now just a matter of seconds. However, before buying vehicle plan get yourself educated about the following facts to ensure you get the best auto insurance deal.
What does comprehensive vehicle insurance insure?
Third-party liability: Third party liability consists of body-injury and physical damage to property/vehicle of third-party. It would extend coverage to you in case of death claim, body injury, property damage, and legal cost.
Damage to your vehicle and repair cost: A comprehensive insurance would pay for the repair cost of the damages to your vehicle in case of an accident.
Personal accidental cover: If your policy has personal accidental cover, it would pay for the medical expenses if you get injured in an accident.
Protection against natural and human perils: It provides coverage against vandalism, theft, flood, fire and other non-accidental factors.
Collision coverage: If your policy has collision coverage rider, it will provide for the damage upto the book value of your vehicle. Book value is the current cost of your vehicle less the depreciation.
Two essential insurance terminologies to know
Deductibles: Deductibles are certain amount of money that needs to be paid from your end for the repair cost of your vehicle if damage occurs. It reduces your insurance premium. Some insurance companies have compulsory deductibles and some have voluntary deductible clause.
For example, if your policy demands your to pay Rs 1500 as deductible and if the repair cost amounts to Rs 5000, then Rs 1500 you would pay from your own pocket and rest Rs 3500 is borne by the insurance company.
Insured Declared Value (IDV): IDV is the current market value determined by your insurance provider at the time of providing insurance. The current value is assessed and the compensation is paid accordingly in case of loss of vehicle or theft.
Now that you are aware of the basics of auto insurance, you can buy online vehicle insurance buy demanding insurance quote and paying premium online.