It is vital that you choose an insurance policy that serves your insurance needs and is within your budget. Here are 9 tips that you need to keep in mind when renewing your car insurance:
Choosing a suitable car insurance plan: It is essential that you note down your requirements from a car insurance and compare the insurance policies existing in the market based on your insurance requirements. This would make it easier for you to choose the best insurance policy that would suit your insurance needs and also be within your budget.
Knowing about No Claim Bonus: No Claim Bonus is a discount offered by the insurer to the insured for every claim-free year. No Claim Bonus starts from 20% and increase up to a maximum of 50%. You can accumulate NCBs for 5 years consecutively. In case you do raise a claim, you will lose your accumulated NCBs. Most of the insurers today in India offer NCB discount, it would be in your best interest to renew your insurance policy with an insurer that offers NCBs.
Knowing the market value of your car: It is vital that you know the market value of your car at any point in time, especially when you are about to renew your car insurance policy. Your insured amount and your insurance premium depends on the current market value of your car. This way you can protect yourself from being cheated by any insurance company at the time of policy renewal and choose the one that gives you the best policy in the right price along with additional discounts.
Renewing your car insurance policy on time: Most of the people get a car insurance at the time of buying a car from their dealership, but when it comes to renewal of the insurance most of them forget. It is vital that you renew your car insurance on time everytime to avoid a break in insurance and to continue enjoying the benefits of a car insurance. If there is a break in your insurance, before you can renew it, you will have to compulsorily get your vehicle re-inspected and only on the insurer’s approval will you get a car insurance.
Choosing the necessary riders: Every insurance provider in the country offers additional covers called riders that you can add to your comprehensive policy to extend your insurance coverage and eliminate some of the exclusions that come with your car insurance policy. Zero Depreciation Cover, No Claim Bonus Protect, Return to Invoice Cover, Engine Protect Cover, etc.
Deduction of voluntary excess: A voluntary excess or voluntary deductible is a part of the insured amount that you volunteer to pay at the time of the claim settlement. You can fix the amount or percentage of the insured claim amount that you are willing to pay. A higher voluntary deductible means a lower insurance premium.
Network garage: A number of Insurers have tie-up with authorised garages where you can get your car fixed post a mishap without the added responsibility of paying for the same. The insurer will settle your car’s repair expenses with the network garage. It would be in your best interest to compare the network garage facility provided by various insurers before policy renewal.
Claims settlement: Claim settlement process is always a concern for anyone. It is always best to choose a firm that has a hassle-free and quick claim settlement process. You can get an idea about the firm’s claim settlement process via its claim settlement ratio that shows the percentage of claims settled annually.
Online policy purchase or renewal: If you are planning to renew your car insurance, it is always a best option to visit a third-party insurance website or the insurer’s official website to renew your car insurance before it expires. When you renew your policy online, you can avail the discounts that come with it due to the zero-documentation.