Why is car insurance needed?
Your car needs more than just fuel and maintenance. A car insurance policy is a crucial factor which ensures the flawless upkeep of your precious vehicle. Reliance General car insurance plans are carefully designed to offer enhanced protection at affordable rates. Our key benefits include: —
Vast Cashless Network of more than 3800 garages
Instant Renewal without paperwork
24×7 Roadside Assistance*
Comprehensive Vehicle Insurance Cover
A Range of Add-on covers for enhanced protection
Comprehensive Damage Cover
You may already be aware that Third Party Liability Car Insurance is mandatory by law. Therefore, if you own a car, you are mandated by law to take up a Third Party Liability Cover. However, taking up a car insurance policy that doesn’t compensate your own damages seems pointless, doesn’t it? A comprehensive damage cover was developed to offer a broad coverage against all possible damages arising from a variety of risks.
Our comprehensive car insurance policy offers protection against damages caused to your car by way of risks such as collisions, theft, fire and so on. Additionally, a comprehensive car insurance policy also covers third-party liabilities and offers extensive protection for your car.
When it comes to car insurance, additional coverage is always better. You can enhance your vehicle insurance coverage protection further with our wide-range of add-on covers such as Nil Depreciation, Consumables, Engine Cover & Key Protect Cover.
How to choose the one that’s best for you?
Now that you understand the nuances of both types of Car Insurance Policies you must be contemplating about which one to choose. Here are some valuable recommendations to help you with your decision: —
The Third Party Liability Car Insurance policy is generally chosen by individuals who want to buy car insurance as it is mandatory by law.
If you seek overall protection from the damages caused due to unforeseen accidents, opting for a comprehensive car insurance policy is the best option.
Additionally, you can pick add-on covers as per the risks which are more relevant to you.
Interested in Third-party liability insurance? Click here to know more!
Car Insurance Things to Know
Information is the key to make the right decisions. To ensure that you make an informed purchase, we have explained the essential car insurance concepts right here: —
What is IDV?
The IDV (Insured Declared Value) is the current market value of the car which is calculated after deducting the depreciation amount. It is a crucial component of the car insurance policy as it determines the amount of compensation. In case of theft or total destruction of the car, the IDV is offered as «Sum Insured».
What is No Claim Bonus?
When you don’t file a claim during your policy period, you will be eligible for a discount on your next premiums which is referred to as a No-Claim Bonus. This discount will keep increasing progressively for each claim-free year until the car insurance premium is reduced up to 50%.
What are the different kinds of add-on covers available?
We offer a wide range of add-on covers to ensure superior protection from a variety of risks. You can opt for add-on covers such as Nil-dep cover (Zero Depreciation), NCB retention cover (avail the NCB despite registering a claim), 24×7 Roadside Assistance, Personal Accident cover (covers personal damages), electrical/electronic accessories cover and many more. Refer to our add-on cover section, for more details.
How will a Zero Depreciation Cover Help you?
You may already know that the monetary value of your car reduces overtime. This eventuality is a result of asset depreciation. Nevertheless, with Reliance General Car Insurance policy, you can combat the losses of depreciation by taking up a zero depreciation add-on cover along with your car insurance. With a zero depreciation cover, you can be assured that the entire claim amount will be paid to you without deducting the depreciation sum.
How is a car insurance premium calculated?
Your car insurance premium is calculated based on several factors such as: —
1. Car Manufacturer and Model
E.g. Honda City
2. Cubic capacity (cc)
E.g. 1497 cc
3. Age of the Car
E.g. 3 Years
4. Insured Declared Value (IDV)
This is the current market value of your car which is calculated after deducting depreciation.
5. No Claim Bonus (NCB)
NCB is a discount that you get on your premium amount when you have made any claims during your previous policy period. This discount will keep increasing progressively for each claim-free year until the car insurance premium is reduced up to 50%.
The appropriate taxes that are eligible to be levied on your premium amount
(9% CGST and 9% SGST in India)
The premium amount to be paid is calculated as: Premium Estimate = IDV*Age of Car – NCB + Tax. Other factors like add-on covers, discounts, purpose of the vehicle and safety features such as airbags and anti-theft devices will also be taken into consideration while calculating your car insurance premium.
Not sure if you need car insurance? Numbers Don’t Lie!
The poor road conditions and a blatant disregard for traffic regulations make Indian roads one of the most dangerous in the world.
car insurance — road accident statisticsThese fatalities are only expected to rise in the future.
We don’t mean to scare you by these grim statistics. The statistics reflect the kind of dangers that the roads entail. Hence, It’s better to be safe than sorry!
How to Save on Car Insurance Policy Premium
Know Your Car’s IDV
The value of your car depreciates overtime, hence it is important to know your IDV. A lower IDV attracts a lower premium.
Claim Your No Claim Bonus
The No Claim Bonus is your rightful reward for being a responsible driver. Earn discounts of up to 50% on your premium year-on-year.
Install Security Devices
The safer your car, the lower will be the premium. Installing anti-theft devices can fetch you up to 2.5% discount on your car insurance premium.
Become AAI Member
Become a member of the Automobile Association of India and you can secure a concession on personal-damage premium.
Increase the Voluntary Deductible
A Voluntary deductible is the amount you agree to pay out of your pocket. The higher your voluntary deductible, the lesser will be your premium.