Vehicle Insurance
What is Vehicle Insurance?
Motor insurance or vehicle insurance is a type of insurance cover specifically designed for four wheelers, cars, two wheelers, commercial vehicles, scooters, bike, tractors, trucks etc.
Vehicle insurance, also known as motor insurance, is a type of insurance policy designed to provide coverage for a variety of vehicles, including four-wheelers, commercial vehicles like trucks and buses, as well as two-wheelers. This insurance offers protection against a range of risks, including third-party liabilities and damages incurred by the insured vehicle due to accidents, fire, natural disasters, and thefts. It is essential for vehicle owners to secure adequate insurance coverage to safeguard themselves and their assets against potential financial losses resulting from unforeseen events.
Types of Motor/Vehicle Insurance in India
Car Insurance: Car insurance is a vital financial safeguard for vehicle owners, offering protection against various risks such as accidental damages, theft, and liabilities arising from third-party property damage or injuries caused by the insured vehicle. While a third-party liability policy is mandatory by law to cover damages to third-party property or life, opting for own-damage cover or a Comprehensive Car Insurance Policy provides essential financial backup for damages to your own vehicle.
Two Wheeler Insurance Policies: Two-wheeler insurance is a crucial insurance policy designed to provide coverage for various types of two-wheelers, including scooters, mopeds, bikes, and sports bikes. This insurance offers essential protection against financial and legal liabilities, including accidental damages to the insured vehicle and damages to third-party property or injury/death of a third party caused by the insured bike. Similar to car insurance, purchasing third-party cover is mandatory under the law, while own damage cover is optional, providing additional financial backup for damages to your own vehicle.
Commercial Vehicle Insurance:Commercial vehicle insurance is a specialized insurance policy designed to provide coverage for commercial vehicles such as trucks, buses, and other business-owned vehicles. Similar to car or bike insurance, this coverage includes protection against accidental damages to the insured vehicle as well as third-party liabilities. It is mandatory for all commercial vehicles to have at least a third-party liability policy in order to comply with the law, ensuring financial protection for both the vehicle owner and third parties involved in any unfortunate incidents.
Features of Motor Insurance Policy
A motor insurance policy encompasses a range of essential features to provide comprehensive protection for vehicle owners. It typically includes –
- Third-Party Liability Coverage: This covers legal liabilities arising from injuries or property damage caused to third parties due to an accident involving the insured vehicle.
- Own Damage Coverage: Comprehensive policies cover damages to the insured vehicle due to accidents, theft, fire, natural disasters, and vandalism.
- Personal Accident Cover: Insurance often includes coverage for the vehicle owner/driver in case of bodily injury or death resulting from an accident.
- Add-On Covers: These are optional coverages that can be added to enhance the policy's scope, such as zero depreciation cover, roadside assistance, engine protection, and more.
Why do you need Motor Insurance in India?
- Legal Requirement: Motor insurance is mandatory by law in India under the Motor Vehicles Act. Driving without insurance can lead to legal penalties and even imprisonment.
- Financial Protection: With the increasing number of accidents and vehicle thefts in India, motor insurance provides crucial financial protection against unforeseen events that could lead to significant expenses.
- Personal Accident Coverage: Vehicle insurance policies include personal accident coverage, offering financial support in case of injury or death to the vehicle owner/driver.
- Peace of Mind: Motor insurance provides peace of mind, knowing that you are financially secure against the potential risks and uncertainties of driving on Indian roads.
Insurance Benifits
- Large number of insurance policies
- Cover for Critical Situations
- Experience & qualified Staff
- Team of Experts Staff
Vehicle insurance as the term itself is suggestive, is an insurance product that covers the financial risk of vehicle damage. It is also called auto-motive/auto insurance or motor insurance. The policies include four-wheelers, three-wheelers like autorickshaws, and two-wheelers
In India, there are three types of motor insurance policies: car insurance, bike or two-wheeler insurance, and commercial vehicle insurance.
Wise insurance provides the highest level of protection for both you and your car. It covers your vehicle against theft as well as accidental, hail, or fire damage. You're also covered for claims made against you if your vehicle accidentally causes damage to other people or their property.
Most car insurance companies offer an annual plan or long-term plans for three or five years. As per the Insurance Regulatory and Development Authority of India (IRDAI), an insurance company must offer motor vehicle insurance to its customers for up to three years.