All about comprehensive car insurance policy
In India, car insurance is broadly divided into two categories – Third-party liability car insurance and Comprehensive car insurance. With third-party insurance, you get protection against the damages or injuries you may cause to the third-party’s vehicle in a road accident that involves your car. According to the Motor Vehicles Act, 1988, all car owners in India must compulsorily have at least third-party car insurance cover.
But, imagine a situation where your car gets damaged or you get injured. Unfortunately, with only a third-party car insurance, you won’t get any compensation from the insurance company; you would have to pay the repairs and treatment cost from your pocket. This is where a comprehensive car insurance policy can be helpful.
What is a comprehensive car insurance policy?
As the name suggests, a comprehensive car insurance policy offers wider coverage. It covers both third-party liability and damages to your car. Apart from damages and injuries, a comprehensive car insurance policy also offers protection against:
• Natural disasters like cyclone, earthquake, landslide
• Vandalism
• Fire
• Falling objects
• Theft
The maximum coverage you get from comprehensive insurance is equal to the sum assured of the policy minus the deductibles. A significant benefit of comprehensive car insurance is that you can buy add-ons or riders with it, which is not possible with third-party liability car insurance.
What are add-ons in comprehensive car insurance?
The add-ons or riders in comprehensive car insurance are additional coverage options that you can purchase by paying extra premium. The add-ons help you increase the scope of your policy and get coverage against specific risks that are covered in your regular policy. Some of the popular add-ons that you can buy with your car insurance are:
• Daily car allowance
• Roadside assistance
• Loss of personal belonging
• Tyre protection cover
• Return to invoice cover
• Engine protection cover
• Depreciation cover
What are the exclusions in comprehensive car insurance?
Although comprehensive car insurance provides wider coverage than third-party liability car insurance, it has certain exclusions. Exclusions are basically situations where the insurance company is not obliged to compensate for the loss.
Typically, insurance company do not cover loss or damage to the vehicle or accessories arising out of following situations:
• Normal wear and tear of the vehicle components or general ageing of the car
• Depreciation or any other consequential losses
• Mechanical or electrical breakdown
• Vehicle used for purposes other than its specified usage. For example, if you use your car for street racing, any damages your vehicle suffers would not be compensated.
• Damage to the vehicle and injuries to the person due to drunk driving or driving under the influence of intoxicating substances.
• Damage to the car if the driver is guilty of driving without a valid licence.
When you purchase car insurance online make sure that you carefully read the terms and conditions and know about the exclusions. This will help you avoid filing a wrong claim in the future and avoid unnecessary dispute.
Get complete protection with comprehensive car insurance
A comprehensive car insurance policy helps you get complete protection against accidental and other risks. With the added benefit of add-ons, you can get a feature-packed car insurance policy. Moreover, with many top insurance companies in India like Kotak General Insurance over online services, buying and renewing comprehensive car insurance is easy.
If you buy Kotak Car Secure, you get a wide range of benefits like access to 3000+ network garages, up to 50% NCB, 24-hour assistance, and much more. You can call our toll-free number 1800 266 4545 for assistance regarding the insurance plans.
Disclaimer: The content provided is for education and informational purpose only, none of the information contained in our blog amounts to any form of opinion or advice. Please go through policy related documents carefully or consult an expert before making any insurance-related decisions.