Vehicle insurance or automobiles insurance

Vehicle insurance (also known as auto insurance, car

insurance, or motor insurance) is insurance purchased for cars, trucks, and other vehicles. Its primary use is to provide protection against losses incurred as a result of traffic accidents and against liability that could be incurred in an accident.

Vehicle insurance or automobiles insurance

What is covered??
Loss or Damage to your vehicle

What is not covered??

Normal wear and tear and

against Natural Calamities Fire, explosion, self-ignition or lightning, earthquake, flood, typhoon, hurricane, storm, tempest, inundation, cyclone, hailstorm, frost, landslide, rockslide.

general ageing of the vehicle. Depreciation or any consequential loss. Mechanical/ electrical breakdown.

Why one needs to insure his motor vehicle??

The reason is..

Car is probably one of the expensive things one owns. Insurance protects this asset and helps in coping with the expense of accidents, damage or theft. While driving, one is responsible for the safety of: His passengers His fellow drivers Other peoples property Pedestrians Himself Insurance helps cover the costs of potential damages or injuries in case of an unforeseen accident or theft. And above all, in India it is mandatory to have motor insurance before one can drive on the roads

There is danger at every corner when it comes to Indian roads. Your brand new vehicle, and it gets hit by someone who mistakes a highway for space, and his car for a space shuttle. Insurance can pay for your financial loss, at least.

Case Study
The death of a family member is probably the worst thing any one of us will have to endure. If the death was the result of a fatal accident, the shock and grief of a sudden, unexpected death will be very difficult to recover from.

How a fatal accident can happen? Can one make a fatal accident claim? How fatal accident claims work ?

-Dependents claims -Victims claim

Types of Automobile Insurance in India

Two Wheeler Insurance Car Insurance Commercial Vehicle Insurance

Automobile Insurance Companies

Vehicles and generally the repayment tenure stretches upto 7 years.

Usually all vehicles are insured for a fixed sum called the Insured's Declared Value which is calculated on the manufacturer's listed selling price of the vehicle after deducting the depreciation costs Most of the financial concerns, specially banks offer comprehensive motor insurance policies that keeps your vehicle secured against any sort of damages. The insurance policies offered by these banks and financial concerns covers Loss or Damage to your vehicle against, fire, explosion, self-ignition or lightning, flood, typhoon, hurricane, storm, tempest, inundation, cyclone, hailstorm, frost, landslide and rockslide. However in case normal wear and tear, Depreciation and any mechanical or electrical breakdown the automobile insurance company does not help. Most of the automobile insurance companies offer loans for both old and new

Advantages offered by automobile insurance companies in India

Digitally signed agreement after taking the policy Access to over 2700 garages for cashless claim across

the country Accidental cover for co passengers Low interest rates generally calculated on reducing balance method Little or no processing charges.

Auto Insurance Claim Procedure:

Auto insurance claims can be accidental, theft claims or third party claims.

Insured should write the number of the other vehicle in case of an accident or third party claim Names of witness should also be written down File an FIR with the nearest police station Insured should then contact the insurance company and get a claim number A surveyor is appointed who reports the approximate value of loss or damage Based on the report of the surveyor, insurance companies try to send the amount to the insured within one to three weeks An individual might have to pay the repair charges himself and later get it reimbursed

List of banks offering Automobile Insurance in India

Bank HDFC Bank ICICI Lombard Bajaj Allianze The New India Two/ four Wheeler Policy Autosecure Two Wheeler Package Policy Bajaj Allianze's Motor Policy Motor Coverage Car Insurance Policy Autosecure Motor Plan Bajaj Allianze's Motor Insurance Motor Policy Commercial Vehicle Policy Autosecure Motor Plans Bajaj Allianze's Motor Policy Motor Coverage

Factors Affecting Premium Amount

The premium rates are governed by tariff as decided by the Tariff Advisory Committee. Generally speaking, the premium payable for your vehicle depends on: Type of vehicle Age of vehicle City of registration Period of coverage (For less than 12 months) and Any applicable discounts/loadings, as per relevant General regulation of motor tariff.

Below is a table representing automobile insurance interest rates offered by various Indian banks.
Bank Interest Name type ICICI SBI HDFC Axis Bank 1 yr 2 yr 3 yr 4 yr 5 yr 6 yr NA 11.5% NA 10.010.5% NA 7 yr NA 11.5% NA 10.010.5% NA Floating 9.0-13% 9.0-13% 9.0-13% 9.0-13% 9.0-13% Floating Fixed Fixed 11.25% 10.5% 10.010.5% 11.25% 10.5% 10.010.5% 11.25% 10.5% 10.010.5% 11.25% 10.5% 10.010.5% 11.25% 10.5% 10.010.5%

Kotak Bank

Floating 10.5-11% 10.5-11% 10.5-11% 10.5-11% 10.5-11%