If you’ve recently purchased a car, then congratulations are in order. It’s time for you to purchase car insurance online; otherwise, you could be punished according to the law. In India, there are two types of car insurance: Comprehensive Car Insurance and Third-Party Liability Insurance.
While the prior comes with enormous coverage, it efficiently protects the policyholder against any vehicle-related expenses. Besides, it also provides coverage against personal accidents, third-party claims, vehicle damage, etc. As this insurance plan demands a comparatively higher premium, the policy buyers think twice before opting for the same.
On the other hand, Third-Party Liability Insurance provides aid in safeguarding the policyholder against any third-party claims. The Motor Vehicle Act states that it’s mandatory to have third-party motor insurance coverage. Only then the car owners can legally ply their vehicles on public roads.
The car insurance premium for a comprehensive insurance policy is basically dependent on the type of coverage you require. But the premium amount remains fixed, and the cover is also mandatory for Third-Party Liability Insurance. This means you can efficiently bring down the premium amount of your comprehensive insurance.
As you are here today, this article will give you some valuable tips for reducing your car insurance premium. Please keep reading until the end to know more and head over to make an informed decision. Come, let’s begin!
How to Bring Down the Premium Amount of Your Car Insurance?
The first thing you need to know is that car insurance premiums are not rigid. So you need to purchase the best car insurance which doesn’t exceed your budget.
But how can you bring down the premiums for your car insurance online? You can adhere to a few commendable tips that can easily cut down your car insurance costs. Some of them are:
● Consider Installing Anti-Theft Devices in Your Car
You should note that the cost of a car insurance online policy is determined on the basis of a car’s liability. So, the greater the car’s liability is, the higher the car insurance premium will become.
However, there are remarkable techniques like installing anti-theft devices in your car, which will lower your car insurance premium. Installing devices like an anti-theft alarm, gear lock, steering lock, etc., reduces the risk of your vehicle getting stolen.
Thus, it also reduces the liability of your car’s insurer. So in return, the motor insurance company offers you a comparatively lower car insurance premium.
● Opt for Third-Party Liability Insurance for Old Cars
You have already learnt that there are two types of car insurance policies. While comprehensive insurance provides wider coverage, third-party insurance covers only third-party liabilities. Since the prior offers greater coverage, the car insurance premium is also higher.
So the easiest way to reduce your car insurance premium is when you opt for third-party liability insurance. But when can you consider this insurance policy for your car? Well, when your car is quite old, you can choose Third-Party Liability Insurance.
It’s mainly because there isn’t much difference between the insurance premium and the coverage amount. Thus, it’s absolutely unworthy of purchasing a comprehensive cover for your old car. However, you must ensure that you get your car insurance renewal as and when required.
● Make a Comparative Study on Car Insurance Premiums
There are a plethora of insurance companies in India that provide remarkable car insurance plans. Since all of them provide impressive coverage at competitive prices, it’s quite difficult to choose the best.
However, you can compare each of them and figure out the ideal insurance policy for your four-wheeler. Thus you will not have to spend a fortune while acquiring the best car insurance.
● Avoid Unnecessary Vehicle Modifications
There are many people who are obsessed with upgrading the features of their cars. And when new features are added to the vehicle, the value of your car automatically shoots up. Thus, it also increases the insurance coverage of your vehicle.
While broader insurance coverage comes with a greater price, car insurance companies charge a considerably higher premium. If you don’t desire to spend so much on your car insurance premium, it’s best to avoid unnecessary modifications. Thus, you will be able to cut down on your premium expenses.
● Never Make Small or Unnecessary Claims
The majority of car insurance policies enable policyholders to maximise their benefits through a No Claim Bonus. Usually, these benefits are offered in the form of lower premiums which can be availed during policy renewals.
So, to avail No Claim Bonus, it’s important to have a claim-free year. And this can be done when you don’t make any unnecessary claims for the minutest damage to your vehicle.
● Never Purchase All Add-On Covers
You must remember that the base insurance coverage covers not every damage to your vehicle. So, add-ons enable you to elevate the scope of your comprehensive cover. But did you know that the add-ons can also raise your premium amount? Well, it does.
So, make sure that you’re very selective while choosing the add-on covers for your car insurance policy.
Like car insurance, car insurance renewal is equally important for every car owner. And when you own a car, maintaining your car insurance coverage is inevitable.
You might think that purchasing a car insurance plan is an expensive affair. However, you can efficiently follow the techniques mentioned earlier and cut down on your car insurance’s premium amount. Lastly, don’t forget to compare all other car insurance plans with Future Generali every time you opt for car insurance renewal.