While vehicle insurance is generally considered a necessary evil by all owners, here’s how taking the online route can make matters simple for you, and beneficial too.
Buying a car remains one of the greatest cherished decisions of most people’s life, just as the thought of purchasing its insurance puts dread in the same minds that look forward to driving their own cars. If only you would look at the scenario from the other side of the coin—you take your shiny new car out for a spin where a learner loses control of his and bashes into your prized possession. At that point in time, nothing would put your mind at peace as much as a well-chosen four-wheeler insurance coverage.
Why to buy vehicle insurance online in our digital times?
Buying vehicle insurance online is not only of the many channels today, but the channel of choice of our times. You want proof? Here it is:
# You can browse all the offerings on the various sites in the comfort of your home at your convenience without having to step out in the sun or rain or talk to 15 different agents or waste time standing in queues.
# Trying out all the permutations and combinations are as easy as ABC and you also have the freedom to compare across the board, when purchasing vehicle insurance online.
# Be it the original purchase of a vehicle insurance online or related renewals, all processes can be handled seamlessly online.
# More importantly, most times, it works out cheaper to purchase insurance online as you save on the commission due to the broker in the offline process.
# Online insurance providers save in terms of processing costs, etc. and they pass on this benefit to the client—that is You.
# Do not forget the special discounts and offers that online vehicle insurance providers dish out in order to stay competitive, and how much sweeter can the deal get.
Now that you are sold on the idea of buying car insurance online, the next question to queue up in your mind would be what are the factors to consider for buying insurance online? Well, proceed to find out.
Parameters for buying Car Insurance Online
Insuring your car is mandatory as per the Indian Motors Act, 1988 (you must have third-party insurance), so if you buy a car then you have to get it insured before you get it on the road. Instead of fretting over the decision, here are the important parameters to bear in mind when you need to buy car insurance online:
- Make a budget and then stick to it. Shop online and select a vehicle insurance policy that sits in your decided budget, not spilling over it. Treat car insurance as a necessity because that is what it is.
- Ask for a check list of the online insurance provider’s network of garages. That way you have a fairly good idea of the number of places your car is covered under cashless service as and when required. Obviously, insurance firms with a heftier network are better choices. And ones with some garages closer to your home are very helpful too.
- Remember how much research you put in before you even decided to buy that dream car? Put in a fraction of that amount of time in checking the antecedents of the online car insurance provider; check their track record and market standing online, ask your friends, neighbours or colleagues and you will gain the much-needed information of how reliable the firm is. You don’t want to be saddled with an insurance provider who is (in)famous for refusing to settle claims.
- Read the policy document thoroughly, and includes the tiny fine print and clauses, before even thinking of signing it. Be sure of what you are being offered and whether you completely understand and agree to the conditions. In case of any doubt, get them all cleared at this very juncture. There will be no other chance.
Parameters of Calculating Premium
Once you are clear on how to go about buying car insurance online, keep this checklist handy to know how to calculate the premium amount.
- Your four-wheeler insurance premium is chiefly calculated based on your car’s age (registration/manufacturing date), model, city of registration (Tier 1 city or not) and engine capacity (CC). If you have purchased a previously owned car, its current condition will also be of due importance. If you are lucky to have purchased a super car, be sure your car’s premium will also be higher than an average car’s premium.
- While third-party liability is mandatory in India, there is another type— the comprehensive insurance. Opting for the latter is smarter as it covers third party liability, personal accident and liability, and theft. The extra premium charged pays for the damages of your own car in accidents.
- Add-on policies always come at an additional cost and opt for them only when necessary.
- Never miss on collecting your no-claim bonus whenever applicable.
Remember that most online vehicle insurance providers have common slabs for similar policies; do not forget to compare policies before purchasing the one that suits you best. A car is a joy that you drive; use the insurance policy to protect it.