The need of Car Insurance


14 Jun 2023

Read about The Need of Car Insurance for your four wheeler

What is car insurance?

Car insurance is a contract between the owner of the car and an insurance company that serves to safeguard your vehicle from several unforeseen risks. It is a security shield against a number of financial damages that may incur because of theft, accident, natural disaster, and any subsequent liabilities. You may also purchase car insurance online, get a quote, renew existing insurance etc.

Why do you need car insurance?

Owning a car in today’s world has become a necessity rather than being a notable form of social status. And with the need to own a car comes the responsibility to take care of it; hence comes the notion of car insurance. The following points will explain the need for car insurance:

Mandatory by the Law:

According to the Motor Vehicle (Amendment) Act, 2019, every car owner must have at least a third-party liability cover for his car before he can drive it on the road. A basic third-party liability insurance protects the driver/owner from any liabilities arising from an accident where a third party or third-party property incurs damage. Though this cover is the minimum mandated by the government, it is always a good idea to have comprehensive car insurance to safeguard your vehicle in case of its damage due to an accident.

Property damage:

If your vehicle gets damaged in an accident, with comprehensive insurance policy in place, the insurance company will pay for the expenses incurred to fix the car. Also, under comprehensive insurance plan, if the vehicle suffers damage in a non-collision related incident where the damage is caused by natural or man-made calamities like a storm or theft, you can still claim reimbursement for the expenses.

Peace of mind:

The condition of Indian roads is a story full of streets filled with potholes, and we know about it. The accident-prone roads, to people breaking traffic rules on your way to work, there are various ways how your car could end up damaged, without your fault. The best way to minimise the risk of paying for damages is to get your vehicle insured with a comprehensive car insurance policy; so, you don’t have to worry about any unforeseen event.  

Protection of self and Others:

The right car insurance policy shields you, your family members, your passengers, and other drivers in case of an uncertain event. If an accident occurs, you must have security in the form of the right insurance policy, which includes damage cover, personal accident cover, third-party liability cover, etc. Get a car insurance quote online or speak with an agent today to learn how you can help protect yourself and your family.

Save time and money:

It may cost you some additional money now, but invest now for your own protection, so you can help avoid costly expenses in the future. A good car insurance policy may help you with vehicle towing, repairs, replacements etc. As a result, saving a lot of hassle and time and eventually money. 

The above needs for car insurance should encourage you to secure the future of your vehicle and yourself by buying car insurance. Choose your car insurance policy  with Kotak General Insurance and select from number of optional covers and add-ons to suit your needs and drive home safe.

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Team Kotak GIC

The content of this blog has been created and carefully reviewed by the esteemed team at Kotak General Insurance, with the sole purpose of providing valuable guidance and sharing insights on the importance of general insurance. Our objective is to assist users in making informed decisions when purchasing or renewing insurance policies for their cars, bikes, and health. Our expertly curated information aims to empower our readers with the knowledge they need to protect their valuable assets and financial interests.