Motor insurance is an insurance policy that covers the policyholder in case of financial loss – resulting in an accident or other damage – sustained by the insurance vehicle. A comprehensive motor insurance policy includes damages as well as compensation for own losses as well as damage to the third party and third party property.
Vehicle Insurance is also called motor insurance which is mandatory to keep if you own a vehicle. The motor vehicle Act 1988 mandates that each vehicle on Indian roads should have a valid insurance policy in order to run smoothly.
In case if your vehicle does not valid insurance policy and you caught without it you would face legal action in some cases or penalties as a fine.
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Importance of Motor Insurance in India
You have to buy motor insurance whenever you purchase any vehicle either 2 wheeler,4 wheeler for personal or professional purpose. you will be fined heavily by traffic police if you don’t have motor insurance along with you while driving.
A motor insurance plan is much needed for your vehicle as in case of any minor or major accident the expense can be covered. you might be knowing that vehicles on the road are increasing in number day by day so are the number of accidents.
It plays a major role when you met an accident and you are responsible for the damage of a third party vehicle. In this case, having motor insurance can save a lot of money.
The insurance also covers if your vehicle damage or loss due to fire, road accident, theft.
Feature and Benefit of Vehicle Insurance
The are several features and benefits provided by the insurance companies to the customer to keep them and third party secure
Lets see some key benefit of motor insurance
- Fast and secure service while purchasing any policy online.
- Online renewal has also become very smooth.
- It also offers cashless and almost paperless while claiming, hence claiming became easier than ever.
- Like network hospitals, motor insurance issuing companies also have network garages where you can easily repair your bikes or cars whenever required.
- It provides great coverage against theft, loss, fire damage due to accidents.
- Consistency in providing customer support at every stage.
Types of Vehicle Insurance Plan
Choosing a motor insurance plan can be tedious tasks when there are many insurance companies with many plans. Let’s check out here types of motor insurance with their feature and benefits.
| Third-Party Insurance | Comprehensive Insurance Plan |
|---|---|
| It offers only coverage against the losses or damages done by your vehicle to the third party. | This Insurance will cover all the damages done to both your vehicle and third party vehicle as well. |
| This insurance plan will cover only the liabilities of the third party. | you can enjoy both the benefits in a single plan |
Products Offered by Motor Insurance
It provides security to two types of vehicles:–Two wheeler Insurance & Car Insurance
1-Two Wheeler Insurance
This insurance plan offers assistance from a motorcycle or scooter theft, damage. This policy covers two-wheeler which is owned and used privately.
Two types of cover
a-Comprehensive Cover
This insurance plan will all the damages done to your vehicle and the third party vehicle.
b-Third Party Cover
This insurance will only cover the damages done to third party vehicle by your vehicle.Personal accident cover is also available.
2-Car Insurance
Car Insurance is a contract between Insured and insurer that protects you from spending huge damage and repair costs for your car if the car Mets an accident.
It is compulsory to carry motor insurance with you while driving on road as it will help insurance companies to evaluate damage, theft or loss and hence total expenses.
Types of Cover
The below mentioned basic coverage you will get with car insurance policy as government has made mandatory to have car insurance.
a-Base Insurance cover
This type of cover provides basic protection to your car like theft, damage, or any loss due to an accident.it also covers personal accident which makes it complete coverage plan.
b-Third Party liability cover
This cover is used when you have damaged a third-party vehicle or person in an accident.you can claim the injuries or damage done to them in order to help them with loss.
