Importance of Comprehensive Coverage in Car Insurance

Many cherish the freedom to drive their cars safely. However, with this freedom comes the responsibility of protecting ourselves, others on the road, and our valuable asset, the car itself. Choosing the right car insurance plan is key to ensuring complete protection on the road.

This article will provide an in-depth understanding of comprehensive car insurance so you can decide to secure your car. We will cover what comprehensive insurance includes, its key features and benefits, how to buy it online, and more.

What is Comprehensive Car Insurance?

Comprehensive car insurance, or ‘comp insurance’, is the most extensive cover you can opt for your four-wheeler. It combines its damage insurance and mandatory third-party liability insurance under one policy. This all-round protection covers your car’s damages and any legal liabilities arising from an accident – ensuring you and your car are fully secured.

While third-party liability insurance is mandated by law, own damage cover and additional features are optional. Comprehensive insurance includes them to give you complete peace of mind on the roads.

Key Features of Comprehensive Car Insurance

Comprehensive policies come packed with benefits to make your drives safer and claims hassle-free. Here are some noteworthy features:

• Cashless Garage Access: Avail cashless services with quick claim settlements at over 4000 partnered garages pan-India
• Flexible Add-Ons: Enhance protection with add-ons like zero depreciation cover, engine protector, key & lock replacement, etc., as per your needs
• Increased PA Cover: Get personal accident coverage up to ₹15 lakhs for owner-driver to cover disability or death
• No Claim Bonus: Accumulate up to 50% discount on your damage premium by having claim-free years
• Emergency Assistance: Get 24×7 roadside breakdown assistance, towing service, taxi benefits etc. round the clock

Benefits of Choosing Comprehensive Car Insurance

Opting for a comprehensive motor plan offers several advantages:

1. Wider Scope of Protection

A comprehensive policy safeguards your car from various risks—natural disasters, man-made accidents, commercial thefts, and personal damage. This gives you the confidence to take on diverse Indian terrain. 

2. Hassle-free Claims

At cashless garages, you can avoid paying out of your pocket. Also, the claims process is quicker and more efficient, ensuring the least disruption after accidents.

3. Cost-effective Premiums

Higher IDV, no claim bonus and add-ons like voluntary deductibles help lower premiums. Also, comprehensive policies are cheaper than buying own damage and third-party liability.

4. Enhanced Roadside Assistance

Breakdown support services like fuel delivery lost vital retrieval, etc., add to your safety net while travelling with family.

How To Buy Comprehensive Car Insurance Policy Online?

Thanks to insurance aggregators and technological upgrades by insurance providers, purchasing motor insurance online is quick and convenient. Follow these steps for a smooth purchase journey:

Step 1: Use an online car insurance premium calculator

Most insurer websites and third-party aggregators have an instant premium calculator. Enter your car registration number, RTO location, etc., and it displays quotes from multiple insurers. Compare quotes and coverage details side-by-side to shortlist options.

Step 2: Choose the ideal comprehensive insurance policy

Select the apt car insurance policy based on the quotes and your budget. Verify policy features like IDV value, add-ons, etc., match your expectations. Then, proceed to purchase.

Step 3: Fill out an online application form 

The selected insurer’s website will have a proposal form for purchasing car insurance. Fill in details like personal info, nomination, previous policy, etc. correctly. List add-on covers, voluntary deductibles, etc., to customize your plan.

Step 4: Pay premiums online 

You can pay your car insurance premiums online via net banking, cards, mobile wallets, etc. The entire premium is debited instantly upon policy issuance. Maintain records of the premium paid.

Step 5: Receive policy copy digitally

Once the premium payment is reconciled, you will receive a copy of the comprehensive car insurance policy via email and SMS. Hard copies may take 5-7 working days. But digital copies suffice for immediate proof of insurance.

Purchasing online takes just 15-20 minutes if documents are handy. It’s the easiest way to buy comprehensive insurance instantly.

Key Elements of Comprehensive Car Insurance

Now that you know the basics of comprehensive insurance, let’s understand the key elements that make up this policy:

1. Third-Party Liability Insurance

This mandatory cover protects you from legal and financial liabilities arising out of damaging another person’s property, such as a vehicle or property, or causing death/disability.

As per the Indian Motor Tariff, a minimum third-party liability cover of ₹1 lakh for small cars and ₹6 lakhs for luxury cars is provided. However, experts suggest opting for higher cover.

2. Own Damage Car Insurance 

It covers expenses incurred to repair or replace parts damaged due to:

– Accidents

– Theft attempts

– Natural disasters like floods, storms, earthquakes, etc 

– Man-made causes like fire, explosion, etc

– Transit damage

You get reimbursement based on policy terms like IDV, deductibles, etc. Add-ons can enhance this aspect of coverage, too.

3. Personal Accident Cover for Owner-Driver

Comp policies provide separate personal accident protection up to ₹15 lakh for disability, death, and other accidents suffered by the owner or registered driver due to crashes while driving the insured car.

What is the ‘IDV’ of a Car with Comprehensive Cover?

IDV or insured declared value is the maximum sum insured fixed for your car under your damage insurance. IDV is based on the manufacturer’s listed selling price of the car (minus depreciation) at the time of insurance purchase. Higher IDV gives you higher compensation on total loss or theft claims.

IDV, along with policy tenure, decides its damage premium payable. However, you can voluntarily opt for increased IDV to lower premiums via ‘extra depreciation reimbursement’ at renewal.

Conclusion

Comprehensive insurance gives your beloved car extra protection at a reasonable price. Consider what you need, compare prices online, and pick the best options and extra features for your car. This will ensure your car is safe and you’re not spending too much on insurance. Choosing comprehensive insurance means you can drive without worrying too much.