To drive a car, one would need a car and some basic driving skill. Then why does one even need to buy a car insurance? Are there some mandatory rules and regulations that one must abide by or are there some other benefits of buying a car insurance? We will try to answer these questions as much as possible.
The Motor Vehicles Act of 1988 mandates all vehicles to have a valid car insurance on them. If you drive your car without it, it is deemed illegal. Thus, if you drive without an insurance and someone from the traffic police department gets hold of you, a hefty fine is on the cards.
Just keeping you away from fines cannot be the only reason for buying a car insurance, can it? Of course, no. A good car insurance can offer you protection from a wide range of possible negative scenarios when it comes to your car. But before that, we need to know the different types of car insurance policies on offer.
Third Party Liability
A third party liability cover is the most basic form of car insurance and is enough to let you drive your car on the roads legally. The policy kicks in should there be an accident and a third party is involved. The policy would cover expenses related to injuries or death of a third party individual or damages to property of a third party.
A comprehensive car insurance policy, as the name suggests, has a lot more on offer. For starters, it includes a third party liability thereby ensuring you its features by default in your policy. A comprehensive policy then offers coverage against natural calamities such as earthquakes, landslides, cyclones, floods and so on. One of the most important inclusions of this policy is cover against own damage. This means, that if your car is at the receiving end of some damages, you can claim for the same. You also get cover against man made calamities such as strikes, riots, vandalism, malicious activities and so on.
Buying a car insurance ensures that you have cover against all of the above and some additional features. Thus, the damages that you are potentially exposed to will far outweigh the premium amount that you will end up paying for a policy.
Is It Safe Not To Buy Car Insurance
It is as safe as not buying a car insurance as driving without seat belts or riding without helmets or doing bungee jumping without any safety harness. There are usually two prime reasons that prevent people from buying a car insurance.
Firstly, the very idea of buying a policy means talking with the sales department or insurance agent. Then there is the usual cycle of submitting documents. Secondly, some car buyers do not feel it is worth spending additional money on buying an insurance. One might even argue that they drive very carefully or do not drive much.
Well, accidents do not always take place due to your mistakes, it can occur due to someone else’s negligence or mistake. If you are someone who does not drive your car much and when you do, use it in remote places, buying at least a third party liability policy makes sense.
With more and more insurers available in digital form, buying a car insurance online is easy and cheap. Thus, you need not interact with agents or branch officials. Sure, a policy will set you back by a few thousand rupees but benefits and features will offer you mental peace for the entire term.
Pros of Buying Car Insurance
As already outlined, there are quite a few benefits of buying a car insurance. If you still haven’t made up your mind, here is a list of all the pros or buying a car insurance policy.
- Offers you legal clearance to drive your car in the country without the fear of being pulled aside by the traffic police department.
- The policy will take care of your repair bills arising out of an accident.
- A good policy offers cover against man made as well as natural calamities such as theft, burglary, landslides, floods, cyclones etc.
- Some policies cover medical expenses should the policy holder meet with an accident.
- If you haven’t claimed your policy in the previous term, you can avail the no claims bonus.
- You can extend the coverage of a policy by opting for riders or add-ons by paying some additional premiums.
By paying a small sum as the premium of a car policy, you get a lot of coverage in return and not to mention the mental peace aspect of it. Thus, buying a car insurance should be the first thing on your priority list. This can be easily done by comparing the same on Coverfox.com and then choosing the plan which best suits your needs.