Motor, vehicle, or motor insurance is a crucial financial safeguard for vehicle owners in India. Mandated by law for every vehicle on public roads, it protects against potential losses from accidents, theft, fire, natural disasters, and unforeseen events, benefiting the insured vehicle and third parties involved in collisions. *

Types Of Motor Insurance Policies

In India, two primary types of insurance for vehicles exist:

Third-Party Liability Insurance:

  • Covers policyholder’s legal obligations in accidents.
  • Protects against property damage, unfortunate passing away, or bodily harm to third parties.
  • Does not cover damage to the insured vehicle.

Comprehensive Insurance:

  • Broad coverage, including third-party liabilities.
  • Shields against theft, vandalism, fire, accidents, and more.
  • Includes personal accident insurance for the owner-driver.

Coverage And Exclusions

Coverage Included In Motor Insurance:

  1. Accidental Damage: Protection against harm resulting from mishaps, crashes, or overturning. *
  2. Theft: Compensation for stolen parts or the entire vehicle. *
  3. Fire Damage: Defense against destruction caused by explosions, fire, or spontaneous combustion. *
  4. Natural Disasters: Coverage for losses due to storms, hurricanes, earthquakes, floods, and other calamities. *
  5. Man-Made Calamities: Protection against damage from strikes, riots, terrorism, and other malicious acts. *
  6. Third-Party Liability: Protection against injury, demise, or property damage to uninsured parties in collisions. *
  7. Personal Accident Coverage: Benefits for the owner-driver in case of accidental incapacitation or demise. Claims are subject to terms and conditions set forth under the motor insurance policy.*

Items Not Covered By Motor Insurance:

  1. General Wear And Tear: Damages from the vehicle’s everyday wear and tear.
  2. Mechanical Or Electrical Breakdown: Excludes necessary repairs or replacements due to breakdowns.
  3. Driving Without A Valid License: Losses or collisions occur when driving without a valid license.
  4. Intoxication: Damages incurred while operating a vehicle under the influence of drugs or alcohol.
  5. Use In Unauthorized Areas: Damages or accidents are not covered if the vehicle is used in unauthorised
  6. Use Outside Designated Geographic Area: Reduced likelihood of claim acceptance if the vehicle is damaged or lost outside the designated area.

Purchasing A Motor Insurance Policy In India

Acquiring a motor insurance policy in India involves several straightforward steps:

  • Determine Your Needs: Assess whether your vehicle requires comprehensive or third-party liability insurance based on age, value, and cost.
  • Research And Compare: Explore policies from different insurance companies, comparing features, coverage, costs, and user reviews to make an informed decision.
  • Visit Insurance Company Websites: Obtain premium quotes by visiting the websites of shortlisted insurance companies and using their online motor insurance calculator.
  • Consider Add-Ons: If desired, explore optional add-ons such as engine protection, roadside assistance, and zero depreciation for additional coverage. Claims are subject to terms and conditions set forth under the motor insurance policy. *
  • Verify IDV: Check your car’s insured declared value (IDV) to establish the maximum coverage amount in case of a total loss.
  • Payment: After selecting the desired policy, proceed with payment through your preferred method, whether digital wallet, credit/debit card, or net banking.

In pursuing a comprehensive understanding of motor insurance in India, it’s essential to know how to find the VIN number on your vehicle. The VIN number, or Vehicle Identification Number, is a unique identifier for your car and is crucial for accessing important information about your vehicle’s history and insurance details. *

*Standard T&C Apply

Insurance is the subject matter of solicitation. For more details on benefits, exclusions, limitations, terms, and conditions, please read the sales brochure/policy wording carefully before concluding a sale.