Tips for First-Time Four Wheeler Insurance Buyers

If you are new to buying a car, then it is likely that buying a four wheeler insurance would be the last thing on your mind, if there at all. However, ignorance is the same as innocence, meaning not being aware of it does not mean you don’t have to buy it. In fact, the Indian Motors Act mandates every vehicle owner to get insurance for their vehicle.

Apart from being mandatory, buying four wheeler insurance is also a smart thing to do. If your car is insured, any accidental damage to it will be covered by the insurance provider. The insurance company will pay for the damages and also cover the cost of repair. However, you will get these services if you buy a four wheeler insurance and pay an annual premium. The basic idea of vehicle insurance is that you pay the insurance provider to secure financial aid in accidental damage situations. Hence, you need to exactly what to buy. Here are a few tips for first time four wheeler insurance buyers. 

Do your research

As a first-time buyer of four wheeler insurance, you need to know every option available to you. This means you should know every deal available to you and also know what type of insurance policy you need. The first thing to do would be to find a reliable source online for viewing and comparing different policies. The comparison between policies should be on the basis of coverage, claim settlement ratio, premium cost, and other additional benefits. The best way to find a great policy is to use the online car insurance calculator. All you have to do is enter the details of your requirement, the calculator can help you find the closest thing possible.

·       Understand your policy

While getting an insurance policy has become easier today, the document of the policy is still a legal contract containing technical terms that you may not understand as a first timer. Hence, to avoid any confusion in the future, read and understand your policy thoroughly. Here are some things you should look for:

o   Details of who is insured

o   Details of the coverage like inclusions, limitations, and exclusions.

o   The commencement and ending of coverage.

o   The denomination of coverage provided.

o   The amount of premium you need to pay

o   Details and instructions on filing a claim or reporting a loss.

You can approach an insurance expert to understand the different types of 4 wheeler insurance online, along with the accompanying terms, conditions, and benefits.

·       Credit score

Insurers check your credit score as a preliminary part of the process. Based on their evaluation, they offer you a tailor-made insurance policy. If your credit score is good, most insurers will offer you a policy at lower premiums and higher coverage. Here are some factors that determine whether your credit score is good or bad:

o   Your payment history, delinquencies, and late payments.

o   The length of your credit history.

o   Number and types of credit like credit cards and loans.