Why Is Modified Car Insurance Premium Is Expensive

Updated On: 2023-04-02

Author : Team Policybachat

Modified car insurance Enhancing car performance & look by “souping-up” your car by modifications. There are certain reasons why modified car insurance premium is high

  1. High cost involved in repairs & replacing the modified vehicle spare parts in case of damage to the vehicle.
  2. Unsafe driver behavior pattern behind the wheels.

A Modified car insurance policy might be hard to find, get your car with a proper inspection to claim your right in the case of accidents, compare car insurance policy online on PolicyBachat.com. There are some cases where your car insurance premium is high, they are:

  • Residence where your car is placed
  • To what extent modifications were done to your vehicle
  • The insurer you opt for claim settlement

To avail optimum claim, leave the information regarding modifications to the insurer and request to take a vehicle inspection. Make sure to procure receipts for any repairs, also remember to use only reputed insurance works for repairs and modifications.

Modifications that increase your premium:

Auxiliary lighting

Chrome bumper

Front & rear spoilers

Alloy wheels

New internal custom parts and equipment

Enhancing engine

The Indian government has strict rules for car modifications, a modified car needs to undergo a “vehicle test” and should be approved by government-certified agencies. Indian car modification industry has upsurged to 120 crores in FY-2016-17. Car insurance premium varies from the modifications affect you made to your vehicle.

Choose the best car insurance coverage

Most of the insurers cater to “equipment insurance coverage” inclusive of comprehensive insurance policy, to ensure the optimum claim for equipment installed. Also, check whether your car qualifies for collector car insurance.

Minimize your car insurance premium

Spare your car usage: insurers lower their premium for low usage vehicles, restrict your vehicle only for weekends, special trips and use other vehicles for regular use.

Security: Security measures to protect a vehicle from your end like a special garage to park vehicles and anti-theft equipment to reduce the risk of theft.

Exclusions

Racing: If you are racing on a track and bang with an accident, in this case, you are not allowed to claim for damages. As the clause was sentenced by law, racing is not in the ordinary course of driving.

Ensure to know your inclusions and exclusions of a modified insurance policy and find the best car insurance policy on PolicyBachat.com, these are the factors need to consider while modifying your car. We compare the distinct car insurance policies online and quote you the best car insurance plan.

How to Buy Car Insurance Online

Buying car insurance online is a concern, what you see is what you get. One of the best benefits of buying car insurance online is that you can validate your own premiums with different car insurance companies.

You can explore your insurance guides what they provide and Review Our Portal to look at how we assist our customer's needs through car insurance policy covers. Policybachat leads you to choose the best car insurance policy needs.

  • Comprehensive coverage: This Comprehensive coverage includes cover against damages to your own car or damages to a third party person/ property. And if this is not enough it can be customized with your choice of add-on covers, giving you coverage as per your requirement in a cost-effective way. while you secure your car with comprehensive car insurance covers online in a matter of minutes.
  • Third-party Liability Cover: This coverage only protects you against liabilities arising from damage, injury, or loss to a third party person or property. As established in the Motor Vehicles Act 1987, this is a mandatory cover approved by the government and it is a punishable offense to not have a valid third-party liabilities cover.
  • Stand Alone Own Damage cover: If your car already has third-party coverage? Well, then the stand-alone own damage cover is the perfect missing cover that helps you against financial losses arising to the car owner due to damage to the car.
  • Coverage for Popular Car Brands: Bought a newly brand car? Then this cover offers 1-year coverage against damage to your own car along with a 3 year cover against damages to a third party person/ property.
  • No Claim Bonus(NCB): No Claim Bonus can be gathered together as a discount on the higher premium amount over years. NCB discount ranges from 20% to 50% on the own damage premium. No Claim Bonus (NCB) can be claimed even if someone changes its vehicle, as it is transferable to the new vehicle bought by the policyholder.

Tips to make your car insurance premium cheaper

There is a push-up for the insurance rate. Now is not the time for a cheaper insurance price, but for 100% protection, you must invest more bucks.

Buying a comprehensive cover might be economical but the complete security of your car is not guaranteed. We suggest going for better coverage car insurance plans to ensure the security of your dream motor and we give some tips to bring down your   insurance policy premiums. Premium depends on many factors such as insured declared value, add-ons opted and etc

Buy necessary: It is always recommended to cross-check your auto insurance coverage plans. Remove all the excess coverage from your car insurance policy to reduce your car insurance premiums.

Use NCB: If you are a safe driver, you might have benefitted from the No Claim Bonus. To reduce your auto insurance premiums use this NCB in your current insurance policy. Ask your car insurance company for NCB inclusion within your insurance plan.

Sufficient Information: You are always advised to fill the documents with sufficient information. Your insurance company calculates your insurance premium based on this information. So, make sure to give accurate and complete information about your car and your driving history. Incorrect information will always land you in trouble.

Memberships: Do you know you are a member of any automobile associations like AAI or any other affiliates that will gain you discounts on your insurance premiums? Before signing up for a policy ask your motor insurance company registered office about the discounts entitled with membership cards.

Add-ons: To improve your coverage options add additional coverage plans for your insurance policy. These additionally bought coverages will shield your dream motor completely from unforeseen situations.

Employ these premium reduction tips while shopping for an insurance policy and pay little for more coverage. Loss or damage to the car due to wear and tear is not covered under your car insurance policy.

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