The Motor Vehicles Act of 1988 makes it mandatory to have an insurance policy for all vehicles registered in the country. A motor insurance plan ensures the vehicle owner as well as any third-party from legal and financial liabilities that may arise due to an accident or damage to property. While a third-party cover is a minimum requirement as per the law, it is of little help when it comes to ensuring the safety of your car.
With increasing congestion and traffic snarls, more and more incidents of accidents are cropping up. This makes it essential to ensure the coverage for your car. What better than comprehensive car insurance? A comprehensive policy makes up for the shortcomings of third-party car insurance ensuring a complete 360 degrees cover for your car as well as third-parties. You can also purchase car insurance online as per your preference. Let us look at some reasons that make it necessary to have a comprehensive car insurance plan –
#1 Maximum level of security for your car
Comprehensive car insurance offers broader coverage when compared to a third-party policy. In case of an accident, the insurance company compensate for the damages that are faced by your vehicle too. It is provided either by way of reimbursement or by cashless mode through a network garage.
#2 Compensation for death or disability
A comprehensive policy includes personal accident cover that ensures the owner-cum-driver is also compensated in case bodily injuries resulting in disability, partial or complete, or even death. This way there is a financial backup for your treatments by way of your car insurance policy.
#3 Legal and financial hurdles
Apart from damages to your, a comprehensive policy covers the legal liabilities too that may arise in case of injury or damage to third-party property. A comprehensive policy includes the mandatory third-party insurance cover that ensures legal and financial obligations are covered under the policy terms.
#4 Natural and man-made perils
The comprehensive policy ensures your vehicle is insured against perils of nature like storms, hurricanes, earthquakes, etc. It is a common sight that vehicles are damaged at these times and the financial loss is grave in the absence of a comprehensive insurance plan. Further, incidents like thefts, vandalism or social unrest can cause damages to your car. A comprehensive insurance cover makes sure these unexpected perils are covered under the scope of the policy. The insurer provides reimbursement for the damages that are caused to your car beyond your control. Moreover, the damages due to these events are not minor and can have a huge financial loss.
#5 Protection against fire accidents
Comprehensive policies not only protect your car against perils of nature, but also the damages that are caused due to fire. Although there is no coverage for mechanical defects caused due to overheating of the engine. The compensation provided in such a case is the IDV or insured declared value that is closest to the market value of your after accounting for depreciation.
These are a few advantages of buying a comprehensive car insurance policy. A car insurance premium calculator is a nifty tool that aids in the selection of these add-ons for enhanced coverage while keeping your premiums in check. At the next insurance renewal, make sure to upgrade your policy from a third-party cover to enjoy the enhanced coverage. Apart from the above advantages, comprehensive policies can also be topped with additional coverage options using add-ons. It is always advisable to purchase comprehensive car insurance policy as it provides not only financial but also mental peace. A final word of advice would be to peruse the inclusions under general insurance plans, irrespective of their type, to ensure that you do are aware of specific exclusions and do not face rejected claims going further.
