How to purchase and renew car insurance online

by Kanika Shelatkar Insurance Consultant

Car insurance is an absolute necessity in India. With rising repair costs, having a car insurance policy is the best way to protect yourself from any losses or damage in case of thefts or accidents. In India, as a car owner, you are legally bound to invest in at least a third party liability insurance cover. This insurance document must be kept in the vehicle while it is being driven on Indian roads otherwise the owner will have to pay a fine.

Insurance is a sector that has completely transformed with rapid advancements in technology. It is now possible to purchase and renew car insurance online with extreme ease. But before you go online to buy any car insurance policy, here is a streamlined process that will help you get the right insurance policy for your needs.

Here is the process to purchase car insurance online:

1.      Decide the type of coverage:

The first thing to decide while purchasing car insurance is the coverage. Broadly, there are two types of coverage available:

·         Third party liability insurance

·         Comprehensive insurance

Third party liability insurance covers the risk of claims for damage to a third person or to a third person’s vehicle by the owner-driver. Each insurer limits the property damage under this type of coverage to up to Rs. 7.5 lakhs.

Comprehensive insurance covers third party liability insurance along with other risks and damages such as:

·         Theft of car

·         Loss or damage due to natural disasters such as floods, cyclones, earthquakes, hurricanes etc.

·         Loss or damage due to civil war, riots, terrorist attacks etc.

The comprehensive policy covers more risks and is more expensive.

Along with the type of policy, you need to decide the add ons to get. Add ons are additional items of coverage that provide additional protection such as:

·         Zero depreciation

·         Full invoice value

·         Roadside assistance

·         Key replacement

·         Substitute car

·         No claim bonus protection

·         Windshield protection

·         Consumables protection

·         Personal accident protection for passengers

·         Loss of baggage

Depending on the add ons chosen, the premium amount will go up. Before you purchase a car insurance policy, it is best to find out which add ons you require.

 

2.      Research the insurer:

You must research the insurer before you buy the car insurance policy. One of the things to check is the claim settlement ratio. You need an insurer that settles a majority of the claims made. This data is made public by the IRDAI.

 

Another ratio to check is the solvency ratio. As per IRDA regulations, an insurance company has to maintain liquid resources to pay claims. The minimum claim settlement ratio is 2:1 with 2 being the liquid investments.

It is best to select an insurer who meets these two criteria.

3.      Compare quotes:

The next step to purchasing car insurance online is to compare quotes between different insurers. These quotes can be compared online on insurance aggregator websites.

4.      Read policy documents:

It is very important to read the policy documents to know the inclusions and exclusions. Once you know what each policy offers and the quote from the insurance company, you can decide the final policy to purchase.

5.      Purchase the policy online:

After taking all these steps, you will have the four wheeler insurance you want to purchase. You can purchase this policy either through an insurance aggregator or on the insurer’s website direct.

Here is the process to renew car insurance online:

1.      Visit the insurer’s website

2.      Enter your policy number

3.      The insurer may ask for other details such as:

a.       Mobile number

b.      Registered email address

c.       Name

d.      Identification details

4.      Once these details are entered and submitted, you will get to see your policy details including the Insured Declared Value and add ons if any.

5.      Change your plan or any detail if required.

6.      Check and confirm the policy amount

7.      Choose the frequency of payment i.e annually, half yearly, quarterly or monthly

8.      Make the payment.

Most insurers allow a range of different payment options such as internet banking, credit cards, debit cards, UPI and other wallet based apps. You can make the payment accordingly based on the frequency you chose.

Purchasing and renewing four wheeler insurance online is extremely convenient. Since the entire process is completely online, it doesn’t take much time to finally purchase the policy. Even though it takes research to find the right car insurance online, buying it online is not only cheaper, it is far more convenient.

Sponsor Ads

• Ad Space Available - Rent it Now!

Created on Jun 25th 2019 02:59. Viewed 471 times.

Comments