How can we choose a best car insurance?
First let’s know what is insurance. All things we own have a value. If you have insurance for some of the things you own, you can get the cost amounts through the insurance if there is any accident or damage to it. For example, if you drop your mobile phone and break it, you can claim the amount and buy it. In terms of insurance, there are two categories as Own damage and Third party damage. Own damage means that if you accidently crash your car somewhere and damage it, it will be covered under Own damage. If someone else crashes on you and causes an accident, it will be included in third party damage.
Now how can we choose a best car insurance? Here are some tips to choose the best car insurance. Most of the time everyone chooses Premium. What I mean is please don’t choose premium. Most of the time you make this mistake. Because agency or sales person cheat you by showing low premium.
IDV is something to consider if you are looking for car insurance. IDV stands for Insured Declared Value. If you go to an insurance agent, he will give you IDV 6 lakhs instead of 7 lakhs so that you pay less premium. Since IDV is less, if your car is stolen, you will get only 6 lakhs instead of 7 lakhs.
Is there complete coverage? should be taken care of. That is what we call 0DP Insurance. That is Zero Depreciation Car Insurance Policy (0DP). If you have a normal insurance policy, you will not get the total amount for your accident car. You get only 60% from Insurance. That is, if you have 0DP insurance, you will get the full amount.
Cashless service network policy. Through this the insurance companies will have a tie-up with the garage or service centre. This way you don’t have to spend your money, the insurance company will pay the total amount for the repair.
Claim Settlement Ratio. That means it is better to look at the company that pays the claim properly and get insurance. Because they will reject for small reasons. Due to this you may not be able to claim the money.
No Claim Bonus. If any company gives you maximum No Claim Bonus, it is better to choose it. Insurance renewal is more important than all this. Keep these 5 things in mind before insuring.