In today’s article, you will know what is Vehicle Insurance? If you have a car, such as a car, auto, motor, bike or any other vehicle, it is very important to have insurance.
Because we may have to bear the brunt of a lot of problems in the event of an accident, therefore it is as important to Insurance the car as it is to Insurance our own.
In this article today, we will know about the insurance policy of vehicles and will also know which policy is beneficial for you.
What is Vehicle Insurance?
Vehicle insurance policy protects us from financial loss in any way. This happens by a contract between you and the insurance company.
Under which there is an agreement in which you pay a premium, and in return the insurance company covers you in the event of an accident.
Auto insurance company gives property, liability and medical coverage according to the agreement.
Types of Vehicle Insurance
There are two types of insurance of vehicles in India, one is Full Party Insurance and the other is Third Party Insurance.
1.Third party insurance policy:
In this type of insurance, if your vehicle gets an accident and at the time of the accident, the insurance company pays damages in case of damage to the driver, vehicle etc. of the other vehicle. Whereas, the company does not claim for any damage to you or your car. That is why it is called third party insurance.
It is mandatory as per the third party Insurance motor act.
2. Standard motor insurance policy:
It is also called full party insurance. In this type of insurance, all types of damage due to accident, such as vehicle, driver, and people sitting in the vehicle, even people in the other vehicle and their car’s wear and tear, and the insurance company to compensate for the loss Gives.
- Property coverage pays for any type of accident such as theft of car or auto or if the vehicle is damaged.
- Liability coverage pays others for their legal responsibility for bodily injury or property damage.
- Medical coverage pays for the costs of injuries, rehabilitation and treatment.
3. Zero Deprecation or Cashless Car Insurance:
If you have a four wheeler vehicle then cashless car insurance would be best for you. It is also called zero deprecation car insurance.
In this type of Vehicle Insurance, in the event of any kind of accident, you can get any car garages listed by the insurance company without spending a rupee.
This process is very fast and easy. There are many more benefits of this type of insurance. But the premium of cashless car insurance is 20% more expensive than other insurance policy. But you also get its benefits a lot.
Cashless Car Insurance vs Standard Motor Insurance:
If you have a four wheeler, then I will advise you only for cashless car insurance (zero deprecation car insurance). Because after the accident in the insurance policy of another type, you take the action of claiming.
Then the company sends the surveyor to inspect your loss, and then the inspector determines the amount of the claim. During this whole process a lot of your time is also lost and then you get the money for that claim. And sometimes the surveyor does not send full details of your loss so that you do not even get the full loss.
Example: As if your loss was Rs.30000 and the insurance inspector feels during the survey that any deficiency in your car is before the accident and not due to the accident. In such a situation, suppose the loss of only Rs.20,000 was told to the company, then you will get only Rs.20,000 as a claim. That is, the waste of money along with the waste of time.
While after making a claim in cashless car insurance, you get your car built by the insurance company in authentic car garages, then the insurance company pays for the entire cost.
That is, the insurance company pays for the entire repair. And because this process is very fast, you save both time and money.
Although this policy is a bit expensive than other policy, but you also get a lot of convenience.
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I hope friends will definitely like the information given about the vehicle insurance, and if you have your own car and you are thinking of taking a policy, then this information will be very useful to you.