Car insurance protects you from financial losses due to accidents, theft, or damage to your vehicle. It covers repair costs, medical expenses, and liability claims, ensuring that you and your car are financially protected in various situations.
Bumper to Bumper / Zero Depreciation Insurance : In this type of motor insurance, the full claim amount is paid to the customer, with only the file charges being deducted. This means that the insurer covers the entire cost of repairs or replacements without considering the depreciation of parts. It provides maximum coverage and ensures that the policyholder does not incur out-of-pocket expenses for depreciation.
Third-Party Liability: Third-party insurance covers damages caused by your vehicle to another person or their property. It does not cover any damage to your own vehicle. This is the most basic and cheapest form of motor insurance and is mandatory for all vehicles. It ensures that any legal liabilities arising from injuries or property damage to third parties are covered.
Collision Coverage: Pays for repairs to your vehicle in case of a collision with another vehicle or object.
Comprehensive Coverage: Comprehensive insurance covers a wide range of damages to your vehicle, but the claim amount is shared between the insurer and the customer. Typically, the insurer pays 60% of the claim amount, and the customer bears the remaining 40%. For example, if the claim amount is ₹1,00,000, the insurance company will pay ₹60,000, and the customer will pay ₹40,000. This type of insurance offers extensive coverage but requires the policyholder to contribute to the claim settlement.
Personal Accident (PA) Cover: PA Cover provides coverage for the owner-driver of the vehicle. If the owner-driver dies in an accident while driving the vehicle, the insurance policy pays ₹15 lakh to the family of the insured. This cover offers financial protection to the policyholder’s family in the event of a fatal accident..
Uninsured/Underinsured Motorist Coverage: Protects you if you’re involved in an accident with a driver who has insufficient or no insurance.
Utmost Good Faith: The principle of utmost good faith is fundamental in insurance. It is the duty of both the insured and the insurance agent to disclose all relevant information regarding the vehicle and the insurance policy. Transparency and honesty are crucial to ensure that the insurance contract is fair and valid.
