3 things to be sure of before buying third party car insurance

What do you think an insurance policy is? According to us, it is a fortification that protects your vehicle against the threats posed by the Indian streets. Thus, your insurance policy is the last layer of protection that you purchase before driving your car. Hence, it needs to be the best one in the market. However, when we talk about the best insurance policy, it doesn’t have to be the most expensive one, does it? After all, the best car insurance policy can be the most cost-effective one; as long as it fulfills your needs. Thus, today in this article, we will be discussing the most cost-effective insurance policy i.e. third party cover for your car, and the 3 things that you need to be sure of before purchasing it.

The 3 things that any vehicle owner should be sure of before opting for a third party cover are here as follows:

• Coverage that it provides: This is the first thing that you need to know before opting for a third party car insurance policy; after all, protection is more important than money. Thus, you want to ensure that you aren’t settling for anything less in order to save a few rupees; and then facing a major financial setback in the form of expensive car repairs. Therefore, scrutinize your insurance needs and verify certain aspects pertaining to your vehicle before opting for a third party cover. For e.g. if you have a new high-end car, then the repair costs of each and every part will burn a hole in your pocket; thus, at such times it’s better to opt for slightly expensive but way more lucrative comprehensive insurance. However, on the other hand, if you have an old budget car, then it better to opt for a third party cover. After all, a third-party cover will take care of all the damages incurred by the third party in an accident caused by you.

• Premium: The amount of premium that you are willing to shell out, is the second factor that you must understand before opting for a third party car insurance in India. The reason being; IRDAI (Insurance Regulatory and Development Authority of India) is the organization that decides the premium; thus, all the insurance companies have to settle on the same amount of money. Therefore, you don’t have to worry about comparing the premium amount amongst various companies; the only thing that you need to check is the commission and other fees that they charge. Further, you don’t even need to look out for add-ons, because you can’t buy any. 

• Multiple options: It is a myth that you don’t have any options when you purchase a third party car insurance policy- in fact, you have a number of them. For e.g., if you have an old car and are renewing your third party cover, then you have the option to either opt for a long-term policy or for a short-term one. Further, you can even decide on the amount of personal accident cover that you want to be eligible for i.e. either 2 lakh or 15 lakh rupees. However, remember that the new vehicle owners do not possess this same choice. After all, the government of India has made it compulsory for all new car owners to purchase a long-term third party cover with a personal accident cover of 15 lakh rupees.