By | 09/12/2016

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Auto Insurance is fast grabbing eyeballs in India, as more people are purchasing vehicles. It is also known by names like Car Insurance, Motor Insurance, and Vehicle Insurance as well. Insurance used to protect your vehicle against any scratch/damage is known as the Auto Insurance.

Requirement Of Auto Insurance:

Auto Insurance is ideal one to protect your vehicle against any kind of damages. After purchasing the vehicle like the car, land-cruiser, effective steps must be taken to protect vehicle against any kind of damage.

How Premium Is Calculated in Auto Insurance:

Premium is calculated in Auto Insurance through various ways:

  • Nature of the vehicle
  • City one resides
  • Nature of Accessories added to vehicle
  • Profession/Occupation
  • Individual/Corporate
  • Latest Showroom Price
  • Modifications done on vehicle
  • Place of registration
  • Model of vehicle, age, capacity, fuel type
  • Experience relating to claim

Features of a Good Auto Insurance:

Some of the interesting features of auto insurance are as follows:

  • You can have the best auto insurance quote from website and book policy online
  • Good customer service across the clock
  • Dedicated personal relationship manager to process claims in a logical manner
  • Service/repairs done without any restrictions
  • Free vehicle inspection at customer’s place
  • Due to demonetization, one can also avail cashless facility

Advantages Of Auto Insurance:

Auto Insurance is grabbing eyeballs in India and people are purchasing more cars. Advantages of auto insurance are given below as follows:

Personal Cover: Fantastic auto insurance protects your vehicle against any scratches and damages like fire, rain, landslides, and natural calamities. Furthermore, a good personal cover is the major component of auto insurance.

24/7 Customer Service:   Many car insurance firms have spot customer service, telephonic, email/chat services even on holidays.

Collision Damages:  Auto Insurance does cover the collision damages, for car and other four wheelers. Collision with buildings, vehicles like truck, lorry, and bus comes under this category. Towing facility, when vehicle suffers from damage will be taken care of by Auto Insurance firms.

Medical Expenses:  Most of the Auto insurance would cover the medical expense. A family member, or any relative of the policyholder, is injured; the insurance company will take care of the expenses.

New Car Replacement Coverage:   Auto Insurance plays a major role in replacement of damaged car with the new car. Many situations, your car will not be recovered from fire, or a serious accident. At this juncture, auto insurance company offers a brand new car of the same model.

Extra Benefits: Auto Insurance is not just the insurance, it comes with extra benefits.       Add-on coverage is the service offered by auto insurance company. Services like accidental hospitalization, zero depreciation, unauthorized garage repairs, SMS updates, cashless payments, bonus protection, uninsured motorist coverage as well is offered by Auto Insurance companies.

Disadvantages Of Auto Insurance:

Various disadvantages of the Auto Insurance are:

  • When there is a normal wear/tear on vehicle
  • Electrical/Mechanical Breakdown
  • Driving under the influence of liquor and drugs
  • Claims regarding the minor driving the vehicle will not be accepted
  • Driving vehicles
  • out of order does not qualify for auto insurance claims
  • Insane person driving the vehicle
  • Using vehicle for reasons, other than what it is intended (Using your car as a private taxi)
  • Not having a valid license and driving vehicle

Variety Of Auto Insurance In India

Various kinds of Auto Insurance are:

Car Insurance:  Vital for purchasing the cars and hold a lion’s share in the auto insurance market. Leading car manufacturing firms are associating themselves with all insurance companies in India in offering auto insurance. Damage done by landslides, floods, cyclones, hurricanes, theft is taken care of by auto insurance companies.

Two Wheeler Insurance:  Another type of auto insurance is the two wheeler insurance, where in protection is provided against natural and man- made calamities. Mandatory personal cover of approx 1 lakh is offered to the policyholder.

Heavy Goods Vehicle (HGV) Insurance:

HGV insurance is the major insurance covering heavy goods vehicle, huge trucks, light trucks, lorry, multi-utility vehicles, agro-vehicles, and others.  Accident cover also includes the driver and the passengers. Furthermore, auto insurance also protects against the legal problems relating to death/injury to the third party.

Hence, Auto insurance is offered by many companies in India. So please be rational in choosing the correct auto insurance service provider.

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