Car Insurance: Essential Tips for Policyholders
New Delhi, 29th January 2024: In today’s time, getting insurance for your car has become crucial. Most car owners lack awareness about insurance and often end up incurring losses due to this. Here are some key points to consider when getting car insurance.
When getting car insurance, it’s essential to understand your requirements first. In India, there are primarily two types of car insurance: third-party and comprehensive insurance. In third-party insurance, the company compensates for the losses of the other party involved. Simply put, if your vehicle collides with another and causes damage, the insurance company will cover the losses. It’s worth mentioning that this is mandatory under the 1988 Motor Vehicles Act. In comprehensive insurance, the insurance company pays for losses due to natural disasters.
If you’ve already purchased insurance but don’t know how to claim it correctly, it’s of no use. Many car owners overlook the terms and conditions, leading to complications. Therefore, before purchasing insurance, it’s crucial to thoroughly read the terms and conditions.
Insurance companies provide a no-claim bonus on premium payments. Sometimes, companies may add extra charges, and not adhering to them can complicate the claimed insurance. Hence, it’s essential to pay special attention to the no-claim bonus.
