When you purchase a new car, getting it insured is the first thing you must be doing. Although paying for it might seem a little difficult for many. However, buying car insurance is mandatory in India as per the Motor Vehicles Act, 1988. It is also wise to purchase it because it comes handy when your vehicle meets with an accident or becomes victim of theft. You can always lower the cost of the premiums. Given below are a few steps for the same:
Comparing various policies online before purchasing has to be the first step towards saving on car insurance. You can easily compare premiums as well as benefits of each policy and choose the one that suits your needs.
- Review your policy features
Always make sure to re-evaluate the features and not just rely on the advertisements. See if your policy contains any riders or add-ons that you might not require in future. If you cut in impractical add-ons like rust protection, sealant cover, etc. you can save on your premium cost.
- Aim for high No Claim Bonus points
By aiming for high No Claim Bonus (NCB) points, you can easily save on your car insurance. The insurance companies will reward you with a bonus for a claim-free year. To get significant concessions on your premiums, you will need to continue your no claim streak.
- Keep your deductibles high
To cut down on your motor insurance premiums, increase your policy deductibles. You will have to pay a lesser premium if your deductible is more. Do not go for a deductible that is unaffordable because you will need to pay this amount while making a claim.
You can also opt for relevant add-ons and get maximum coverage.
- 24×7 Roadside Assistance- This cover is a basic one and provided by any insurance provider. You must have this insurance cover in your policy because this will help you if you are stuck somewhere and your vehicle is damaged.
- Zero Depreciation- One of the main reasons for hefty deductions from the amount you’ve claimed is because you might not have this add-on. The insurance companies will not disburse 100% of the expenses to repair the damages caused to tires, glass, plastic components, etc. because these are prone to regular wear and tear. The expenses are depreciated by a certain percentage that depends on the age of the damaged vehicle. This cover basically ensures that no depreciation is applied while calculating the claimed amount for such items. This cover is applicable for cars up to 5 years.
- Engine Protector- In case there is any damage from water ingression, leakage of oil etc. then the engine is covered if you have opted for the engine protector cover. If your vehicle is used in low lying areas that are prone to floods, then you must have this cover. These damages won’t be covered under the manufacturer’s warranty.
- Key & Lock Replacement Cover- If you tend to misplace your keys, then this cover is a must-have for you! A fixed amount incurred as the cost of replacing lost vehicle keys will be paid with the help of Key & Lock Replacement Cover. You may also receive compensation for replacement of locks of your vehicle.
- Accident Shield-This cover is essential as it lets you insure the passengers in your car. This cover is necessary to have especially if you go out with your family and friends very often. Any bodily injury or death of the insured person is paid under this cover.
- Consumables expense cover- If there is any replacement of consumables such as brake fluid, oil, coolant, etc. due to accident, expenses are incurred and aren’t covered under a regular car insurance policy. When you opt for Consumables expense cover, costs like these are included.
You could also save a little on car insurance by merely calculating premium online with the help of a car insurance premium calculator.