How to choose right insurance for your car: Points to consider

Car insurance is a crucial aspect of responsible vehicle ownership. It ensures financial protection, legal compliance, and peace of mind while driving. It is essential to choose a reliable insurer and a suitable insurance policy that meets your specific requirements and offers comprehensive coverage.
The Motor Vehicle Act in India mandates every vehicle that runs in public space to have an insurance cover. Here is a guide to help you make an informed choice.
Understand the types of car insurances
Primarily, there are two car insurances you can look at before opting for one. While there are several other options with added benefits and covers, these two are the most basic categories you can pick from.
Third-Party Liability Insurance: It is mandatory in India and covers damage caused to third parties (people or property) by your vehicle.
Comprehensive Insurance: It provides coverage for third-party liability as well as damage to your own vehicle caused by accidents, theft, natural disasters, etc.
Assess your needs
Consider factors such as the value of your car, your budget, and your risk tolerance. If your car is expensive or you want comprehensive coverage, consider opting for a comprehensive insurance policy.

Research insurance providers
Look for reputable insurance companies in India. Check their claim settlement ratio, customer reviews, financial stability, and customer support services. Shortlist a few insurers that meet your criteria.
Compare policies and coverage
Obtain quotes from different insurance providers for the coverage you require. Compare the premiums, deductibles, inclusions, exclusions, add-ons, and policy terms. Pay attention to factors like No Claim Bonus (NCB) protection, personal accident cover, roadside assistance, and coverage for accessories.
Check the Insured Declared Value (IDV)
IDV is the maximum sum insured offered by the insurer in case of a total loss or theft. Ensure that the IDV provided by the insurance company is reasonable and aligns with the market value of your car.
Read reviews and seek recommendations
Read reviews from existing customers to gauge the insurer’s claim settlement process and customer service. Seek recommendations from family, friends, or automobile associations for insights into their experiences with various insurers.
Purchase and renew
Once you have chosen an insurance provider, complete the necessary paperwork and make the payment. Keep track of the policy renewal date to ensure uninterrupted coverage.