The Motor Vehicles Act makes it mandatory for every car owner to insure their vehicle. The reason this is made compulsory is to provide you with financial help during unforeseen situations like accidental damages, theft or any third party liability. If the car is insured, then the losses borne by you can be compensated by the insurance company.
Since the Act makes it a legal requirement to insure your car, there is no way you can drive your car in public space without insurance. However, there are instances when you take up inappropriate car insurance and land up paying unnecessary high premiums.
There are 10 useful tips given below that can help you obtain cheap car insurance.
Provide correct and honest information: Providing correct information to your insurer on the proposal form can help you save upto 20-30 percent on your premium. Correct information from your end will help the insurer suggest you the correct plan and hence prevent you from unnecessary expenditures as well as ensure that your genuine claims will be paid.
The make and model of your car: The make and model of your car often determines the amount of discount that you are eligible to get. If your car model is one that is less prone to accidents as per the insurer's book, it is quite possible that you may get a higher percentage of discounts.
Commute of your vehicle: Your regular traverse and the area where your car is registered play an important role in deciding the coverage and premium. If the area is congested with traffic, claims for dents and external damages are more while cars which mostly commute through highways carry huge claim amounts as they are more prone to major accidents.
No Claim Bonus (NCB): Safe driving can help you save a lot of money. In case you do not commit any accident during the term of the current car insurance and no claims have been made from your end, you become entitled to get a discount on the premium of the renewed policy. This percentage increases with every no-claim term.
Deliberate deductibles: This is possible if you want to opt out claims for minor accidents and damages and take up coverage for only major issues. The insurer offers a voluntary deductible discount in such cases which can lower the premium to a great extent.
Safety features: Slight discounts, like 2-5%, are offered on your car insurance premium if you install anti-theft and other safety features, of brands approved by the insurer, into your car. Information about these features needs to be provided in the proposal form to avail these discounts.
Member of Automobile Association: A small percentage of discounts are provided on your car insurance premium if you are a member of a designated automobile association.
Concession on your vehicle: If your car was in the garage or not being used for a period of more than two months, you can get a concession on the premium during renewal of the policy.
Buying policies online: When you buy a car insurance online, some carriers offer more discounts than if you buy it from a broker. This is because the insurance company spends less in processing and distribution costs.
Comparing before purchase: Comparing different car insurance policies from various insurers through online aggregators, like www.policybachat.com, is a good way of reducing the premium to be paid. By comparing, you get a clear picture about which policy offers the maximum coverage as per your requirements, so that you do not land up paying unnecessary premium.
However, the above give parameters keep on changing and hence if you have any queries or need guidance on how to pick the best policy, contact Policy Bachat at 1800 123 4006 / 1800 123 4003. Our executives are present 365 days to help you.