Motor insurance is essential for driving down road vehicles. Its main objective is to provide complete protection against physical damage or harm from natural and man-made disasters. Motor insurance is the most important document for all vehicle owners/drivers. It provides protection from bodily injuries, death, bodily damage and third party liabilities. Also, it ensures peace of mind and security.
Types of motor insurance
The term motor broadly covers the class of vehicles plying on the roads. These can be like scooters and motorbikes, two-wheeler or four-wheelers or private cars, jeeps, buses, trucks, commercial taxis, and other vehicles. There are three types of motor insurance which are divided into the following categories.
1. Car Insurance:
This is the fastest-growing segment in the insurance sector as car insurance is mandatory when purchasing a new car. Major car manufacturers are tying up with leading insurance companies to provide quick insurance to their customers. Car insurance accidents, fire, lightning, riots, earthquakes, hurricanes, terrorist attacks, explosions, theft, third party claims, and damages (such as liability for third party injury or death, third party property, and liability for payment) Covers loss or damage from Driver. On payment of appropriate additional premium, it covers loss or damage to electrical or electronic goods and other important items.
Benefits of Car Insurance:
All states in India require a minimum amount of insurance. Car insurance can help compensate for a large amount of damage in the following ways:
Provides benefits to survivors in the event of a death in an accident.
This includes lawsuits, including the legal fees charged against you as a result of the accident.
Covers the repair bill of the vehicle due to damage in the accident.
Damage other than an accident, for example, theft, fire, etc.
Additional discounts: Car insurance policies allow premium discounts for stealing or owning more than one policy with the same insurer. It also provides additional benefits to provide coverage to others driving your car with your permission.
No Claim Bonus: If you do not claim during the policy term, No Claim Bonus is given on renewal, provided you fulfill certain terms and conditions.
2. Two-Wheelers Insurance:
Two-wheeler insurance is another type of auto insurance popular in India. It is governed by the Indian Motor Tariff. This insurance provides protection from natural and man-made disasters due to fire, rock, landslide, landslide, hurricane, storm, flood, earthquake, theft, riots or any damage to vehicle in road, air, inland waterway or rail.
Two-wheeler provides personal accident cover of Rs. 1 lakh to the insurer. It can also opt for accident cover passengers. It also protects from legal liabilities arising due to injury/death of a third party or damage to his property.
Benefits of Two-wheelers Insurance:
Protection against natural disasters: You will be surprised to know that timely renewal of your two-wheeler insurance can help you avoid huge expenses, which include natural disasters, such as fire, earthquake, cyclone, landslide, flood, storm, self-regulation, and like. Your two-wheeler insurance policy bears the cost of repairing the damage caused by any of the above natural disasters.
Protection from man-made disasters: Loss or damage caused by man-made activities such as theft, theft, strike, war, or accidents are covered by your two-wheel insurance policy. It covers service costs or replacement fees, whichever is mandatory according to a situation.
Protection of legal interest: As a matter of fact third-party insurance is compulsory as per the Motor Vehicles Act, 1961. This ensures that the owner of the insured vehicle is free from any third-party liability that may arise in one’s case. Accident where the insured vehicle is involved in an accident. Renewal of two-wheeler insurance ensures that you do not have to spend to recover a two-wheeler, person or property damage in the surrounding area.
Access to discounts and perks: Timely renewing your two-wheeler insurance policy ensures that you can take advantage of discounts, such as the No Claim Bonus (NCB). By not renewing your policy on time, you may lose these allowances and exemptions.
Provides you with a sense of security: The most important feature you need to renew your two-wheeler insurance policy is safety and peace of mind. Being covered under a two-wheeler insurance policy gives you a sense of security to ride confidently on the road. It also helps you to avoid fines imposed on you under traffic laws, such as traffic police may impose fines for not providing you valid insurance or not wearing a helmet while driving a two-wheeler.
3. Commercial Vehicle Insurance:
This type of insurance covers all vehicles that are not used for personal purpose. Trucks, buses, heavy commercial vehicles, light commercial vehicles, multi-utility vehicles, agricultural vehicles, ambulances, etc. are covered under this insurance. The premium is calculated based on the make and model of the commercial vehicle, location of registration, year of manufacture, current showroom price and whether the insurer is individual or corporate.
In collaboration with automobile manufacturing companies, insurance companies prepare a variety of easier and less complex plans for a safe and easy insurance policy. HSBC India, New India Assurance, United India Insurance, Bajaj Allianz, ICICI Lombard, etc. are some of the major companies in India that provide commercial car insurance or auto insurance.
Why Should Buy Motor Insurance
Do you know, every month about 4 lakh people get along with road accidents? A survey was carried out by the World Health Organization report, which stated that in 2012, India recorded the highest number of road deaths in the world.
Keeping in view the high number of roads and poor conditions, motor insurance has become a necessity for walking on Indian roads.
Motor insurance not only gives you financial protection but it also damages third parties. Some private insurers offer a large number of other utilities to policyholders, such as Direct settlement or cashless claims at network garages, Depreciation Cover, Engine Protection Cover, 24X7 Roadside assistance, Towing Facility.