The joy of riding one’s own car is unparalleled. And, we all have a tendency to protect and cherish our personal treasures, so why keep our car out of the list?
Read on the article to learn more about what is car insurance and how having one can keep you out of trouble.
What is Auto Insurance?
Auto/Motor insurance is defined as an insurance policy purchased to protect our vehicles against any financial losses or damages. As per the Motor Vehicles Act, 1988, every car or two wheeler that runs on roads needs to have a valid car insurance.
There are basically two types of car insurance:
- a) Third party insurance policy: Mandatory by law, it covers damages caused by the insured to a third party individual or property.
- b) Comprehensive motor insurance policy: It covers any accidents or damages caused to your own car, along with damages caused to a third party individual or property.
While the former is mandatory, it is also advisable to buy the latter to provide better cover to your car.
Why You Need Car Insurance
A car insurance policy is both a feasible and beneficial option for you as it protects you from many unprecedented expenditures and damages. Also, it is a mandatory requirement as per the Motor Vehicles Act, 1988.
- It provides you a shield against natural calamities
Unpredictable weather is the tale of the entire globe. The weather imitates life and one day the sun is shining on you and the next day it is raining everywhere! Take the Mumbai and Bhopal monsoons for instance, all it takes is a couple of rainy days to mess the entire city, and tends to damage a lot of vehicles as well.
In a time like this, you will benefit from a comprehensive cover as your car will then be shielded against floods and storms, and even other natural calamities such as earthquakes, avalanches, landslides and the likes.
- Protection against man-made disasters
Apart from natural calamities, a comprehensive cover also provides protection against man-made disasters acts committed by man such as burglary, theft, any malicious or terrorist activities. In such a case, you will have your motor insurance paying for the financial losses caused to your vehicle in any such unfortunate event.
- Third party insurance
Comprehensive car insurance by default covers the damage or accidents caused by you to a third party individual or property. It also reduces your liability and will not only pay for the recurring expenses and the victim’s treatment, but will also help you escape a legal peril.
- The car insurance compensates for the family in case the owner tragically passes away in a road accident.
- Medical bills are also covered by the car insurance policy in case one meets an accident resulting in serious injuries that require hospitalisation. The motor insurances pays for entire medical expenditure of the victim.
- Excellent add-ons and additional covers
There are excellent optional add-ons and covers under car insurance as well viz; Depreciation Waiver cover, Personal Accident cover, loss of baggage cover etc which can be added to the base policy for extra protection
What Happens If You Don’t Buy Car Insurance?
- Pay losses caused to third party individual or property
If in an accident you unintentionally harm a third person or his property, you are liable to pay for the same. This refers to third party liability. Your car insurance, in this case, will pay for the same and spare you the loss incurred. In the absence of a valid insurance cover, you directly become liable to pay and if the victim dies, your liability would be very high.
- Pay for own damage
In the event of an accident caused by your own vehicle, even your vehicle would experience some damage and would be required to undergo some maintenance and repair. Without the insurance, the expenditure would be fully borne by you, regardless of how high or low it is.
- Faces legal peril
One may risk getting entangled in legal complications if their car is found without a valid insurance cover. It might result in a penalty, challan or even imprisonment.
Easy Way To Buy Car Insurance Online
Online plans are relatively cheaper than offline plans as you save on the agent’s commission if you buy desired insurance policy yourself. To make things easier, log onto Coverfox.com and choose from a wide range of car insurance online plans suiting your requirements. It also offers great discounts with top-notch insurers and you can receive the policy within a few minutes of your transaction.
Also, Coverfox has a fantastic set of customer-centric advisors, and post-sales service managers to help you with after sale queries. Supporting them is the claims team, who make buying claims as easy as a pie.
First things first, driving without car insurance is illegal, and also not advisable because why would you not do something which safeguards your own life and vehicle? Online or offline, it is an absolute must to buy car insurance.