The most crucial points to keep in mind when buying car insurance online

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The digitization of insurance has greatly simplified the buying process. Browse the different products, compare prices and buy the product that suits you best – it’s as simple as that. For example, auto insurance is mandatory for purchase and renewal on time. When time is so crucial, making an online purchase without tedious paperwork makes a lot of sense, and the purchase can be done quickly. Take a look at the points below to make sure you choose your car insurance plan wisely.

What type of car insurance to choose?

It’s essential to assess your insurance coverage needs before you start shortlisting plans. Most font providers offer two types of car insurance policies – civil liability and motor multi-risk insurance. However, choosing one over the other is a decision that requires careful thought. A liability insurance policy covers loss and damage caused by the insured vehicle to the property or life of a third party and is compulsory in India. The protection envelope of a motor vehicle liability insurance contract is quite limited, as it does not cover the insured vehicle. Alternatively, a comprehensive car insurance policy comes with extensive coverage, insuring the policyholder against third party liability as well as damage to the insured vehicle due to accident, theft or damage. a natural calamity.

As per the Motor Insurance Act 1988 in India, a third party motor insurance policy is compulsory for all vehicles traveling on Indian roads. This implies that you should opt for a third party car insurance policy as your basic protection cover when buying a car. You can combine a third-party auto insurance policy with stand-alone personal damage coverage to extend its liability coverage.

Comparison is the key

When buying car insurance policies online, it is important to compare the benefits carefully. Premium amounts, IDV, claims handling procedures and claims settlement ratios of auto insurance plans listed. Most insurers like Bajaj Finance Limited allow customers to compare plans on their online portal to help them make an informed choice. The comparison provided by these portals makes it easy to select the right car insurance plan.

The right IDV guarantees the right coverage

Valid only for comprehensive auto insurance plans, an Insured Declared Value (IDV) refers to the maximum sum you can claim from your insurer in the event of an accident or theft. This sum insured is determined by the market price of your car and changes every year after estimated depreciation costs are factored into the calculation by the insurer. In other words, the coverage value of your policy will depend on your IDV. While a higher IDV increases premiums, a lower IDV can leave you with insufficient coverage if your car is damaged or stolen. With Bajaj Finance Limited, you can calculate your IDV by simply filling in your car details. Once the IDV is set, you can get the best-suited plans, compare premiums, and choose the plan that’s right for you.

Choose the right supplementary cover

You can extend the coverage of your auto insurance policy by opting for additional guarantees. Each of these add-ons can be purchased separately and will be added to the base premium amount. Zero amortization coverage is the most conservative and recommended option, as it provides the insured with protection against depreciation cost assessments in the event of a claim. Bajaj Allianz car insurance gives you plenty of options to choose the best supplemental coverage for your car and its requirements.

Given our road conditions, traffic and the resulting unpredictability, 24/7 roadside assistance coverage can be very useful. This additional coverage ensures that assistance is only a phone call away in the event of an emergency. Apart from these two main drivers, opting for an engine protection add-on that covers the costs of engine damage and repairs would be a smart choice. The car insurance plans listed on the Bajaj Finance Limited portal offer several other additional covers such as key replacement, consumables covers, transportation benefits, etc.

Look for no claim bonus plans

When choosing an auto insurance policy online, go for one that includes No Claims Bonus (NCB) benefits. Plans that extend this benefit offer the policyholder a discount on the renewal premium for each claim-free year. Thus, NCB helps you reduce your insurance renewal premium by almost 20% to 50% in the long term. Moreover, since NCB is transferable to new car insurance plans in the future, policyholders enjoy the benefits of this feature for a long time. It should be noted, however, that the AON is not transferable when you buy/sell a used vehicle and transfer the insurance.

Carefully review the terms and conditions

It is essential to assess and evaluate the terms and conditions of an auto insurance policy before purchasing it. Reviewing a car insurance plan’s inclusions and exclusions will help you learn more about its coverage and help you with a claim. The value of an insurance plan can be assessed by carefully reading the fine print on the document. When buying a car insurance policy online, this is one of the most crucial things to remember.

Buying a car insurance policy online can be a hassle-free process if you opt for those listed on the Bajaj Finance Limited portal. Since these plans come with a simple online application process requiring minimal documentation, good coverage, attractive top-up covers, and a streamlined claims settlement method, opting for them would be a great choice.

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