Car Insurance

Car insurance is not a choice, it’s a necessity. In fact, it’s the safest way to protect yourself and your car from financial emergencies. Choosing the best car insurance as per your needs is not rocket science. However, you need to have a good knowledge of your insurance requirements. And as a customer, it is important for you to be informed about your car insurance policy and understand all the benefits that come under it.

In this blog post, we will make you understand the types of car insurance coverage in India as this will help you select the best coverage for your car –

1. Loss or damage to your car – This covers loss or damage caused to the vehicle due to these following natural and man-made calamities –

    
   • Riot and strike
   • Fire and explosion
   • Malicious acts
   • Terrorism
   • Earthquake
   • Landslide
   • Theft/housebreaking or burglary
   • Storm and flood
   • Accidental and external damage
     • Exclusions
       • Depreciation or any consequential loss
       • Damage caused by an individual driving a car without valid license
       • Damage caused by an individual driving the vehicle due to the intake of drugs or alcohols
       • Mechanical or electrical breakdown
       • Normal wear and tear



2. Third-party liability cover – Third-party cover is compulsory for the vehicle under the Motor Vehicles Act, 1988. The insured person is first party, insurance company is second party, and the individual the policyholder has injured is the third party. This policy does not provide any benefit to the policyholder. Although, it covers policyholder’s legal liability for the loss or damage caused to the third-party property or death/disability of third party.

    
   • Inclusions:
     • It offers legal protection for injury or death claims from third party
     • It includes legal costs and expenses
     • It provides legal protection for damage caused to third party property
   • Exclusions:
     • Damage caused to your personal property
     • Costs and expenses without any prior consent


3. Personal accident cover – This covers the policyholder against accidental death or disability caused due to an accident. The insurance company pays a compensation of up to 15 Lakh for bodily injuries or death sustained by the driver or owner of the vehicle.

Several insurance companies offer car insurance plans in India for car owners. The above-mentioned coverage is provided by Royal Sundaram; it offers you a comprehensive coverage covering all the possible unfortunate events.

• In the case of a severe accident or damage to your vehicle, arrange for medical attention to anyone injured at the spot. Take down details of other vehicles involved in the accident.
• If it is not be possible for you to move your car, ensure your vehicle is protected from further damage at the spot. Don’t start the engine and avoid driving your vehicle if the vehicle is not in drivable condition.
• In the case of death, injury, theft, burglary, third-party property damage, house break or damage due to malicious acts like strike, riot, and terrorist activity, inform the nearby police station immediately.
• Call the insurance company as soon as possible to intimate a claim. We will guide you about the claims process and the requirements to process a claim.
• Please do not dismantle or start repairs before the vehicle is inspected by Royal Sundaram.
• We require the following documents to process your accident claim
  1. Duly completed claim form signed by the insured
  2. Driving License of the driver at the time of accident – Photocopy along with original for verification and return. For some cases, self attested photocopy is also accepted.
  3. Registration Certificate of the vehicle – Photocopy along with original for verification and return. For some cases, self attested photocopy is also accepted.
  4. Other documents may be requested depending on the requirements of the claim
• For a theft claim, inform the insurance company immediately, even if the police have not been informed yet and we will explain the entire process to you. However, it is important to file a First Information Report with the police as soon as possible.

Being in a car accident is painful, regardless of the extent of damage. Seeing a scratch or dent on your beloved car will break your heart. Well, car insurance is here to help.

If you have an accident, you must ensure to inform the insurance company immediately. Your insurer will explain the claim process in detail and the requirements. They will also help in identifying a garage where your vehicle will be repaired on priority and added value services may be availed.

Here’s a brief step by step procedure on making an own damage claim under your motor insurance policy:

1. • Inform the insurance company immediately upon occurrence of an accident or loss.
     • You will need to keep your policy handy
     • Describe how the incident happened, when and who was driving
     • Contact information may be sought from you
   • If there is third party involvement (death, injury or property damage), inform the police and obtain an FIR.
   • You need to submit some documents:
     • Duly filled claim form signed by the insured
     • Copy of Registration Certificate
     • Copy of Driving License (of driver at the time of accident)
     • Other documents may be requested based on the claim
   • Your vehicle will be inspected by the insurance company. Make sure you do not disassemble the vehicle or start repairs before inspection.
   • Once the repairs are complete, you will need to either pay your share of the claim (for cashless claims) or pay the full amount and submit the bills for reimbursement (for non-cashless claims).
    

   Before making a claim however, make a quick calculation on the potential No Claim Bonus you may lose on renewal. Sometimes, it may be more economical to not claim for very minor damages and protect your No Claim Bonus for your car insurance.