Anand Prakesh
Loved it all along
15 Jun
- Insurance
- About Coverfox
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Hello, and Welcome to Covefox! Are you looking for a new car insurance plan? We’ve got you covered. Get the best of both worlds - superior car coverage and attractive premium - with our fast, hassle-free, online process. Get the policy delivered straight to your inbox in LESS THAN 5 minutes. We have 20+ plus insurance partners from among whom you can choose a policy that best suits YOU! So stay calm and let us take care of ALL your insurance needs.
Car insurance, also known as motor or vehicle insurance, is insurance for cars, trucks, cabs, and other four-wheeler plus vehicles. The primary purpose of car insurance is to provide financial protection against physical damage from road accidents and liability resulting from third-party vehicles/property/person incidents.
Importance of Car Insurance in India
A Car Insurance policy protects you from unexpected and unlikely events. Here are some scenarios where a four wheeler insurance can act as a lifesaver.
Let's say you own a 1-year-old standard hatchback with an Insured Declared Value (IDV) of Rs. 4,00,000, but sadly, don't have four-wheeler insurance. Following are the approximate expenses that you might incur if your car was to meet with an accident:
| DAMAGES | EXPENSES |
|---|---|
| Frontal Damages | Rs. 25,000 |
| Windshield Damages | Rs. 6,000 |
| Bumper Damages | Rs. 5,000 |
| Bonnet | Rs. 6,000 |
| Fender | Rs. 5,000 |
| Headlight | Rs. 3,000 |
| Total | Rs. 50,000 |
In short, no Car Insurance = Financial Expenses + Emotional Distress + Inconvenience. The total third-party property damage cover is Rs. 7.5 lakhs. In case of physical injuries/death of a third party, the decision on compensation amount rests with the court.
To prevent such a disaster, you can avail of a Personal Accident Cover at an additional premium. This cover provides compensation up to a maximum Sum Insured of Rs. 15 Lakh in case of:
| NATURE OF INJURY | SCALE OF COMPENSATION |
|---|---|
| Death | 100% |
| Loss of two limbs or sight of two eyes or one limb and sight of one eye. | 100% |
| Loss of one limb or sight of one eye | 50% |
| Permanent total disablement from injuries other than named above. | 100% |
Disclaimer: The above cost is just an assumed figure, and the actual price will vary as per the extent of damage caused by the accident.
Apart from being compulsory, car insurance also provides a wide range of benefits that make it a necessary product for India’s car owners. Some of these benefits include-:
Coverage against any loss or damage caused to the insured vehicle
Coverage against loss or damage caused by accidents, fire, theft, self-ignition, explosion, lightning, riots, terrorist activities, or natural calamities.
Personal Accident cover
Coverage against financial liability caused by an injury or death of a third party person or damage to the property
Claim Settlement ratio of Best Car Insurance companies
With several players in the car insurance industry, only a few offer the best claim settlement ratios and have made their mark. Here’s an exhaustive list of the companies that provide four-wheeler insurance plans with the best settlement ratio:
| INSURANCE COMPANY | INCURRED CLAIM RATIO (%) for 2018-19 |
|---|---|
| National Insurance | 127.50 |
| HDFC ERGO General Insurance | 82 |
| Bharti AXA General Insurance | 75 |
| IFFCO Tokio General Insurance | 87 |
| Future Generali India Insurance | 69 |
| ICICI Lombard General Insurance | 74 |
| Cholamandalam MS General Insurance | 84 |
| Magma HDI General Insurance | 78.49 |
| Liberty General Insurance | 77.29 |
| Bajaj Allianz General Insurance | 69.19 |
Table last updated on 11th September 2020.
Disclaimer: The above information has been sourced from IRDAI’s Annual Report (2018-19).
Third Party Car Insurance
This type of policy compensates the damages to a third party and their property. It’s best for those planning to insure their car just because it's mandatory to do so. Here are the current premium rates:
The quote that you get for TP cover is the sum of its components, which include:
Comprehensive Car Insurance
This type of policy covers damages to the third party as well as your car. It is best for those wanting to cover for losses for accidents and incidents such as theft and natural disasters. The quote that you get for comprehensive coverage is the sum of its components, which include:
Note: The term ‘IDV’ refers to the maximum claim your insurer will pay if your vehicle is damaged beyond repair or Suppose the insured declared value(IDV) of your car is Rs. 8 lakh now while the purchase when you buy the policy. It means the insurer will disburse a maximum amount of Rs. 8 lakhs.
Additional Covers in Car Insurance
| ZERO DEPRECIATION COVER | |
| NCB PROTECTION | |
| ENGINE PROTECTION | |
| INVOICE COVER |
Inclusions and Exclusions in Car Insurance
INCLUSIONS
EXCLUSIONS
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| Best Car Insurance Plans | Cashless Garages Network | Claim Settlement Ratio 2018-2019 |
|---|---|---|
| Bajaj Allianz Car insurance | 4000+ | 62% |
| Bharti axa Car insurance | 5200+ | 75% |
| Cholamandalam Car insurance | 6900+ | 84% |
| Digit car insurance | 1400+ | 76% |
| Edelweiss Car Insurance | 1000+ | 145% |
| Future Generali Car Insurance | 2500+ | 69% |
| HDFC ERGO Car Insurance | 6800+ | 82% |
| IFFCO Tokio Car Insurance | 4300+ | 87% |
| Kotak Mahindra Car Insurance | 1000+ | 74% |
| Liberty Car Insurance | 4300+ | 70% |
| National Car Insurance | NA | 127.50% |
| New India Assurance Car Insurance | 1100+ | 87.54% |
| Oriental Car Insurance | NA | 112.62% |
| Raheja QBE Car Insurance | 1000+ | 102% |
| Reliance General Car Insurance | 3700+ | 85% |
| Royal Sundaram Car Insurance | 4600+ | 89% |
| SBI Car Insurance | 5400+ | 87% |
| Shriram Car Insurance | 1500+ | 69% |
| Tata AIG Car Insurance | NA | 70% |
| United India Car Insurance | 700+ | 120.79% |
| Universal Sompo Car Insurance | NA | 88% |
Update Date: Network Garages List Last updated on 03rd September 2020.
Disclaimer: The above information on Incurred Claim Ratio has been sourced from IRDAI’s Annual Report (2018-19). The cashless garages network information has been collated from Insurance Company's Website.
Choose The Right IDV: A lower IDV demands a more down premium payment. (But, compute wisely - since IDV is the utmost value the insurer can compensate you with)
Avail No Claim Bonus: Under this benefit, you get up to 50% on your premium for every consecutive claim-free year.
Install Security Devices Install: You can get up to a 2.5% discount on your four-wheeler insurance premium if you have installed anti-theft devices approved by the Automotive Research Association of India (ARAI).
Become AAI Member: Membership of the Automobile Association of India secures you a concession on own-damage premium.
No Claim Bonus: An NCB is a discount offered to the policyholder for not making any claims over the previous years. This cover rewards them by providing a discount of up to 50% on the following year’s premium payment.
Own Damage: Comprehensive car insurance plans provide their damage cover. Own damage covers the damage that occurred to you and your vehicle during an accident.
Third Party Damage: This includes the damages to a third party or third party’s property.
Cashless: This feature provides a cashless facility across several cashless network garages across India. With this feature, the garage directly settles the bill with the car insurance provider.
Customizable Add-ons: You can get additional riders for your car insurance plan such as NCB Cover, Accidental Death Cover, OD cover, Zero Dep, etc.
Claims Process: To intimate a claim, simply call the 24x7 customer service of Coverfox.com, and a dedicated team of experts will be ready to assist with the entire process of the claims process.
Claim Settlement: On processing the claims, and after submitting the relevant documents for verification, the insurer will begin the claim settlement process.
Easy Comparison: With Coverfox, you can easily compare different quotes across different insurance plans and providers on a single webpage.
No More Agents: The entire process is online, no more agents, no more extra commission. It is a completely hassle-free process.
No Paperwork: Since the entire process is online, there is no paperwork involved. You simply have to upload the documents.
Convenient and Saves Time: Buying a car insurance plan online is not only cheap, but it saves time as you are not required to visit the insurer’s office.
Quick Receipt of Policy: On the premium’s online payment, we email our policy into your inbox within 24 hours.
Cashless Facility: The car insurance policy provides a cashless facility in its network garages across India.
Easy to Buy Online: It is easier to purchase a car insurance plan as you can pay directly via net/credit/debit card banking.
Here's how comparison will help you:
Benefits of Comparing Car Insurance Policies Online
CONVENIENT: Check quotes from the top car insurance companies in India instantly, hassle-free. Compare policies from your home’s comfort, or even on the go, with a site like Coverfox.
CLARITY OF POLICY DETAILS: You get to understand the ideal coverage for your car, the right price, and possible discounts. You also get clarity about deductibles and exclusions. It fastens up your buying decisions.
SAVE MONEY: You can save money in the overall process of buying car insurance by comparing policies. A side-by-side comparison gives you free quotes offered by various insurers.
TRANSPARENCY: Comparing car insurance online is much better as you can see details of the product that insurers offer. You can compare to see who is charging higher premiums and on what grounds. Further, you can also read reviews of different plans to make your choice. You get what you see!
Why Compare Car Insurance Policies from Coverfox ?
Personal Accident - Damages because of a third party’s negligence
Accident - Damages due to car accident including OD+TP
Fire - Damages arising due to fire, explosion, etc.
Natural Disasters - Damages arising out natural, man-made disasters, floods, hurricanes. Landslide, avalanche, earthquake, etc.
Theft - Loss of vehicle due to partial or complete theft
It is very easy to buy/renew car insurance online.
In case of a Third-Party Claim
A copy of your RC book, FIR, Driving License, and the legal notice that requires submission.
he insurer will verify the documents and the case, and accordingly, a lawyer will be appointed.
For damages to own vehicle
Post submission, a surveyor will be sent to assess the damages sustained by your vehicle.
The surveyor will further send the vehicle to the garage for repairs post-inspection.
In case of stolen vehicles
An investigator will be assigned by the insurer to check the validity of the theft.
Post-inspection, the claimant must submit a duplicate key of the stolen vehicle to the insurer and a letter of subrogation and other documents and duly filled forms.
In case of third party
Name of the insured individual
Policy number
Contact number
Date and time of the accident
Number of the vehicle
Make and model of the car
Location and extent of loss
Name of the garage along with contact information
Brief description of the accident
In case of theft
Original policy document or certificate
Registration book along with theft endorsement from the concerned Regional Transport Office plus tax payment receipt
Details of the insurance policy, such as policy number, the period of insurance, and the insurance company
All sets of service booklets, keys, and warranty cards
FIR or police panchnama along with JMFC report or final investigation report
Acknowledged copy of letter addressed to the Regional Transport Office intimating theft
In case of an accident,
Proof of insurance – cover note or policy copy
Registration book copy and original tax receipt
Driving license copy along with the original (of the individual driving the car at the time of the accident)
FIR or police panchnama (for bodily injuries or death or damage to third party and/or his/her property)
Estimate of the cost of repair
Payment receipts and repair bills following the completion of repairs
You can calculate car insurance premiums with the help of a car insurance premium calculator. It is a free, online tool. Simply input the vehicle details and click on submit. The program will automatically calculate the premium for your car.
Simply visit Coverfox.com and click on buy car insurance. Enter the details of your car and click on submit. The page will showcase the top ten car insurance quotes from different insurance companies, alongside each plan’s features and benefits.
Additional Covers: This includes the various riders available for your existing car insurance plan.
Car, make, model and variant: These features help determine the right cover and premium.
Year of Manufacture: Cover based on the manufacture year of your vehicle’s or car.
CNG Fitted Car: A car that consumes CNG as fuel.
Own-Damage (OD) Insurance, as the name suggests, helps policyholders stay covered against loss or damage of their vehicles due to incidents like fire, theft, etc.
Previously, individuals could only avail a third-party cover separately, and not an own-damage cover. Those seeking an OD cover had to avail it in combination with third-party insurance. Now, companies have the option to offer comprehensive car insurance policies, stand-alone own damage covers and third-party policies. Certain add-on covers that can be availed with a standalone own-damage policy vary from one insurance company to another. However, some of the common add-ons offered are:
Zero Depreciation Cover
NCB Retention Cover
Engine Protector Cover
Key Replacement Cover
Roadside Assistance Cover
According to IRDAI, policyholders can now renew the OD component of a bundled cover falling due on or after September 1 with the same insurance provider or a different one. It is essential to note that companies will only issue a standalone own-damage cover or renew the OD component of a bundled cover, if the applicant already has a third-party cover in place or takes one simultaneously. While having a standalone OD policy is optional, users are advised to consider opting for it since it safeguards the insured car from loss or damage caused by accidents, theft, etc.
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"What I’ll never stop being thankful for is the fact that my claim for total loss was settled in such less time. Thank you so much for all the support from your side!"
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"Having been a customer for over a year, I feel relaxed as far as health insurance is concerned. Their customer service personnel guided me through each step of my process while helping me finding the best plan!"
(1) What is Third-party Car Insurance?
Ans: A Third Party Car Insurance Plan is a type of car insurance cover that provides protection only against:
(2) What is Zero Dep in Car Insurance Policy?
Ans: Zero Depreciation is a type of additional rider or add-on option that:
(3) What is the meaning of the term IDV in car insurance?
Ans: The term IDV stands for Insured Declared Value. It refers to the:
(4) How and When to renew car insurance Online?
Ans: You can easily renew car insurance online. Follow these mentioned steps:
(5) What If I lose my online policy?
Ans: If you lose your online policy, please follow these steps:
(6) What If I lose my online policy?
Ans: If you lose your online policy, please follow these steps:
(7) Is there a need to file a First Information Report to raise a claim?
Ans: You are only required to file a first information report under the following cases:
(8) What is the meaning of cashless claims?
Ans: Cashless claim means you do not have to pay for the repair bill from your own pocket. Under this claim the insurance company directly pays to the garage the repair expenses of your car. All you need to do is:
(9) What is the meaning of the term NCB in car insurance?
Ans: NCB or No Claim Bonus is a type of discount offered by insurers to policyholders who:
(10) How to find my car insurance policy number?
Ans: You can find your car insurance policy number by:
(11) How to transfer car insurance?
Ans: Please follow these steps to transfer your car insurance:
(12) How do online insurers charge less premium?
Ans: Online insurers charge lesser premium because:
(13) Is an online policy a valid document?
Ans: Yes, an online policy document is only valid if:
(14) How much time does it take for a claim to be settled?
Ans: Speedy settlement of a claim depends on a number of factors:
(15) How much time will it take to buy/renew a car insurance policy online?
Ans: Online car insurance renewal is easy and the entire proccess can be completed in 5 minutes or less. Just follow these steps:
(16) How to renew my expired car insurance policy online?
Ans: The process of renewing expired car insurance online is simple, it is same as buying and renewing it, all you have to do is just follow these steps:
If an inspection is required, you will have to:
(17) What are the risk covered by the comprehensive car insurance policy
Ans: Your comprehensive car insurance policy covers the following instances:
You can get complete details in the policy document.
(18) How to get a duplicate car insurance copy online?
Ans: You can follow these mentioned steps to get a duplicate policy document online:
(19) How to download a car insurance certificate / policy?
Ans: You can follow these simple steps to get a car insurance certificate online:
(20) How to calculate car insurance premium?
Ans: The premium of your car insurance policy depends on the following factors:
You can also use a car insurance premium calculator. Get it for free on Coverfox
(21) What is the meaning of reimbursement claims?
Ans: In simple words, reimbursement claim means:
A comprehensive car insurance will cover your car from instances of theft, fire and vandalism. It also protects from natural disasters such as cyclone, floods, earthquakes, or from civil disturbances such as riots, which damages your car.
The third party car insurance only covers your legal liability for any loss and damages to third party because of your car. It will not cover you or your car for any damages suffered.
Yes, the policy can be cancelled and the unused premium amount refunded usually on a pro-rata basis. This will happen only if an alternate insurance proof is offered, and claims aren’t raised subject to 30 days prior to the policy expiry date. If a claim is raised, refund shall not be made. There could also be a nominal cancellation, which is charged.
A comprehensive four-wheeler insurance will cover your car from damages, which are caused from perils apart from collision. The comprehensive plan covers damage/losses to your car as well as third party.
When you compare four-wheeler insurance quotes on Coverfox.com, you get customized quotes for your car from different insurers available. In case you do not understand the plan that you choose or any other aspect of the plan that you wish to buy, then our expert advisors are available to guide you through the process.
Yes, there are multiple insurance providers that provide car insurance renewal facility online. Car Insurance renewals can be done 60 days before the expiry of your existing policy. In case your vehicle insurance policy has already expired, an authorised surveyor will inspect the vehicle before reissuing the policy. The policy would only be issued subject to a satisfactory inspection and submission of required documents.
A written evidence of an agreed change in the policy is called an endorsement. It is a document that incorporates changes in terms of the policy. As applicable, an additional premium is charged.
Constructive Total Loss refers to accidental loss/ damage to your vehicle where the aggregate cost of retrieval and/ or repairs amounts to be more than 75% of the Insured Declared Value (IDV) on your policy.
The certificate of insurance is a document which provides information on the specific insurance coverage issued by the insurance company as per the Rule 141 of Central Motor Vehicles Rules 1989, and only in Form 51. The document offers information on the effective policy date, type of the insurance coverage. This document should always be carried in the vehicle.