Types of Vehicle Insurance & Their Claim Process

How To Claim Car Insurance For Own & Third-Party Damage Hassle-Free: Follow  These Simple Steps

When purchasing car insurance online or offline, it’s crucial to understand the concept of coverage. You travel by car to work, to complete chores and have fun with your family, or to spend time with friends. As a responsible automobile owner, you maintain the condition of your vehicle, drive safely, and follow all traffic laws. So, you want to be able to drive without worrying. Despite your efforts, your car may encounter unforeseen roadside situations, such as big or minor collisions, mechanical failures, tyre blowouts, natural or man-made calamities, and so on.

Car insurance is the solution to relieve your financial concerns in such circumstances. You can buy car insurance online. Protection for monetary losses resulting from unlucky incidents involving your vehicle is provided under all types of auto insurance, subject to your policy’s precise terms and conditions.

After any unfortunate incident, your primary concern should be getting well, not worrying about the financial fallout. Hence, it is recommended that you always have adequate car insurance and keep it up-to-date in order to handle any such occurrence with minimum anxiety. 

What are the five types of automobile insurance covers in India?

There are different types of insurance coverages, and they all offer protection in some way based on the plan. There are also a variety of add-ons that you can pick from to strengthen the protection provided by the policies in addition to the standard coverage under the policy. Read on to learn about what is covered in car insurance and the 5 types of auto insurance.

  1. Third-Party Liability Only Cover

You can receive the following advantages when you purchase this kind of automobile insurance:

  • Cost of replacing or repairing a damaged car owned by a third party
  • Hospitalisation and medical care for others’ expenses
  • Liabilities caused by third-party casualties

The Motor Vehicles Act 1988 states that having third-party auto insurance is compulsory if you wish to drive your vehicle on the road.* 

  1.  Own damage (OD) or collision damage cover

The expense of repairing your damaged car is covered if you choose collision damage auto insurance coverage. The age of the vehicle and the insured declared value are factors in calculating the cost of collision coverage. The IDV is based on the vehicle’s market value.*

The maximum amount reimbursed under the collision coverage policy is determined by the IDV less accumulated depreciation when a claim is made.

  1. Personal accident cover:

You use personal accident vehicle insurance coverage when you want to protect yourself, i.e. the owner-driver of the automobile, by choosing to be reimbursed for medical costs following an accident.*

  1.  Zero depreciation insurance cover:

In India, this coverage is typically offered as an add-on to auto insurance policies. Suppose you need to replace some parts because your car is damaged. The insurer can take the depreciated worth of the parts into account when settling claims. You can collect the full claim amount with a Zero Depreciation Cover by not considering any depreciation costs.*

  1.  Comprehensive Auto Insurance:

This type of insurance covers liability for third parties, damage to one’s own vehicle, coverage for personal accidents, and all non-collision damage like storm, flood, fire, and theft. A comprehensive auto insurance offers overall protection. You can further improve it by customising it to your needs by adding add-ons to your existing comprehensive plan. *

When you buy your insurance, you need to look at how to claim car insurance. The process is fairly simple. Ensure you read your policy thoroughly before purchasing it. This way, you are aware of everything it includes. Call your insurer immediately after an incident so that they can guide you. Since most insurers have cashless claims, avoid paying anywhere without your insurers’ approval.* 

*Standard T&C apply

Insurance is the subject matter of solicitation. For more details on benefits, exclusions, limitations, terms, and conditions, please read the sales brochure/policy wording carefully before concluding a sale.

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