Car Insurance

Car insurance is a type of motor insurance policy that covers your car financially against any damages or losses caused due to theft, fire, or natural or man-made calamities. It also provides financial coverage against damages or losses caused to a third party or their property.

Four-wheeler insurance policies are divided into three sub-categories; comprehensive car insurance policy, stand-alone or own-damage cover, and third-party car insurance policy. According to the Motor Vehicles Act 1988, it is mandatory for all car owners to have at least a third-party insurance policy in place. This insurance policy provides the basic coverage of third-party liabilities to the policyholder.

You can look for various car insurance policies online and avail of anyone who suits your requirements. On timely car insurance renewal, you can benefit from facilities like ‘no claim bonus’ and others.

Benefits of Buying Car Insurance Policy?

Highlights	Benefits
Coverage	Comprehensive Policy - All-inclusive coverage (Own-Damage, Third-Party, and Personal Accident cover) Third Party Policy - Coverage for only third-party liabilities
Add-on Covers	Yes, such as Zero depreciation cover, Engine protector, etc.
No Claim Bonus	Yes, with every claim-free year
Cashless Services	With numerous network garages across India

• 

  Network garages across India

  With numerous network garages across India, you can get cashless services across India. It means your insurance provider will settle all the bills with the garage.

• 

  Additional savings with no-claim bonus

  With every claim-free year, insurance providers credit you with a no-claim bonus. This lowers the renewal amount of a car insurance policy.
  Additionally, you can also transfer the no-claim bonus to a new insurer if you shift your car insurance policy.

• 

  Comprehensive and third-party liabilities

  Car insurance policies offer both comprehensive and third-party liability cover. A comprehensive insurance policy provides all-inclusive coverage ( Own damage cover, Personal Accident Cover & Third-party cover), whereas a third-party insurance policy provides financial coverage only from any third-party liabilities.

• 

  Voluntary deductible lowers your premium burden

  Voluntary deductible is the amount you pay in advance for any repairs and replacement work of your car. 4 wheeler Insurance providers subtract this amount with other deductibles during claim settlement to decide on the final settlement amount.

• 

  24X7 roadside assistance

  A 24X7 roadside assistance helps you deal with any unforeseen incident as help, which is just a phone call away. Also, the towing service on offer here can help you reach the nearest service centre in case of a breakdown.

• 

  Break-in insurance facility for easy renewal

  Break-in insurance occurs when an insurance policy expires due to non-renewal. However, the NCB remains intact if a policy is renewed within 90 days of expiration.

• 

  Protection from natural or man-made calamities

  A car insurance policy protects you from any natural or man-made disaster, as well as any personal injury expenses, civil responsibility, and third-party damages.

There are two types of car insurances available in India:

Comprehensive Insurance:

What if your car is damaged due to a collision or a hailstorm or is vandalized? Comprehensive car insurance can cover you for all this plus more. It is extensive car insurance that covers damages to your car as well as to other people's vehicles and property. You are also compensated for a loss caused by theft, fire, malicious activity, or a natural calamity.
 

Third-Party Insurance:

You are subject to pay the damages for the third party if you are at fault in case of a collision. Third-party car insurance is hence mandatory in India and covers you for the damage caused by your car to other people's vehicles and property. However, it won’t cover the damages to your car if you are at fault.

• Car insurance is an agreement between a car owner and an insurance provider where a vehicle owner pays a premium to purchase financial coverage against any accident.

• Depending on a vehicle’s market value, the total sum insured of the policy is decided. There are different types of four-wheeler insurance plans based on their extent of coverage. This classification includes comprehensive policies, own damage, and third-party policies.

• However, a point to note here is that insurance providers may have different names for their policies. Essentially they will belong to one of these three categories of car insurance policies.

Following are some pointers that you must keep in mind before availing of an insurance policy -

Type of policy coverage:

Keep an eye on the policy coverage inclusion and exclusion. Since there are multiple offers available, you need to choose one per your requirement.

Mind the processing time:

Whether it is a car insurance renewal or buying a new one, it is imperative to note the processing time. Insurance providers that process insurance purchase applications and claim settlement applications faster are always preferable, saving you time.

No claim bonus and other discounts:

Irrespective of buying car insurance online or offline, taking a note of no claim bonus and additional discounts associated with a policy is important. This will help you decide the policy's total cost and plan accordingly.

Claim settlement ratio:

Lastly, checking the claim settlement ratio while buying four wheeler insurance is vital. It helps you to gauge the efficiency of an insurance provider.

Apart from these, you should also evaluate the add-on coverages and network garages before buying an insurance policy.

To purchase or renew a car insurance policy online, you can refer to the steps mentioned below -

• Step 1: Visit your preferred insurance provider's official website or mobile app.
• Step 2: Enter your details, vehicle details along with the car insurance policy you want to purchase and add-on services.
• Step 3: Complete the process by paying the premium amount online.

You will receive a confirmation of buying or renewing your four wheeler insurance plan within a few minutes.

Buying car insurance online is a quick, convenient, and hassle-free process. Follow these simple steps below to purchase your car insurance:

• Click on 'Apply Now' once you have chosen a product suitable to you and fill in the details necessary in the application form.
• Pay the fee online using your preferred payment mode.
• Fill in your name and mobile number.
• If required, opt for a call back from a representative or click on 'Buy Now' to complete the process.

The online process of car insurance renewal is just as easy:

• Log on to the Bajaj Allianz website at www.bajajallianz.com and click on 'Renew Online'.
• Provide the existing details, including your policy number and vehicle registration number.
• Check if you're eligible for the no claim bonus (NCB) and avail of it.
• Proceed with further requirements after selecting the value of your car.
• Remember to review all the provided details before submitting them.
• Complete the car insurance renewal process by making the premium payment online in a mode of your choice.

 

Coverage under standalone OD vs third-party vs comprehensive car insurance

 

There are many things to consider when purchasing car insurance, and coverage is a significant factor that should be compared across the various types of car insurance available to vehicle owners.

Refer to the table below for a comparative overview of the coverage available across standalone OD (own damage) cover, third-party cover, and comprehensive car insurance cover.

Coverage	Standalone OD cover	Third-party cover	Comprehensive car insurance cover
Third-party damage (bodily injury and property)	No	Yes	Yes
Own damages of vehicle	Yes	No	Yes
Car theft	Yes	No	Yes
Personal accident cover	Yes	No	Yes
Add-on benefits	Yes	No	Yes

Comprehensive car/4-wheeler insurance can cover you against the following risks:

• Damage due to an accident
• Loss caused due to natural calamities (Act of God) like floods, hurricanes, lightning, earthquake, landslide, hailstorm, frosting, etc.
• Damage due to fire or self-ignition
• Loss due to theft, riots, or any malicious or terrorist activities
• Damage caused in transit by road, rail, inland waterway, lift, elevator or air
• Accident cover for injuries to owner/driver of the insured car
• Compensation for death or permanent disabilities

Car insurance also covers third party liabilities that include:

• Vehicle or property damage due to your insured car at a public place
• Any injuries to the third-party driver due to an accident

The following are not covered under car insurance:

• Mechanical or electrical breakdowns
• Depreciation or general wear and tear of the car
• Damage caused while driving under the influence of liquor/drugs
• Damage caused while driving without a valid license
• Damage caused while using the car for hire or reward, organized racing or speed testing, etc.
• Tyre damage not resulting from an accident
• Loss of car accessories by theft

Note: Exclusions may differ from policy to policy. Therefore, it is recommended to refer to the exclusions given in the policy brochure.

Insured Declared Value (IDV) is a significant factor in deciding the insured's four-wheeler insurance cost. IDV is the fixed value at which the company secures the policyholder's vehicle in a car insurance online policy. The policy sum covered is calculated using the vehicle manufacturer's advertised selling price plus the cost of any accessories.

According to the Indian Motor Tariff, the insurer calculates the amount after deducting the depreciation for every year. For example, assume that the insured added any electronic equipment to the car that wasn't included in the manufacturer's suggested retail price. In that instance, in addition to the IDV, the insurer adds the item's actual worth (after depreciation) to the policy sum insured.

	Bajaj Allianz General Insurance 4-Wheeler Policy	Acko General Insurance – a 4-wheeler Package Policy
Category	Comprehensive	Comprehensive
IDV	Is calculated basis on basis of To be calculated based on car make and model.	Is calculated basis on basis of To be calculated based on car make and model.
Benefits covered	Personal accident cover, los s, and damage due to man-made calamities, third-party legal liability, loss, and damage due to natural calamities	Own damage cover, third party cover, personal accident cover
Premium	Calculated on the basis of make, model and year of car	Calculated on the basis of make, model and year of car
Tenor	1 year for a pre-owned vehicle	1 year
Personal accident cover for occupants	Available	Available
Key replacement cover	Available	Available
No claim bonus	Available	Available
Depreciation protection	Available	Available
Engine protect cover	NA	Available
Roadside assistance	Available	Available
Consumable expenses	Chargeable under add-on covers	Covered with no extra cost.
Claim settlement	98% claims settled	94% for FY20-21
Claim process	Available digitally	Available digitally

Here are some of the add-on benefits offered under car insurance policies by Bajaj Finance:

Zero depreciation cover

Also known as a bumper-to-bumper cover, with the zero-depreciation add-on, you can nullify the depreciation factored in during claim settlement. In this cover, you receive the full claim amount as mentioned in the policy documents initially. Also, it covers the depreciation of the value of spare parts.

Engine protector

Expenses incurred as a result of engine damage are not protected by standard four-wheeler insurance plans. Engine protector add-on helps you save up to 40% of the amount you would spend on getting your car’s engine fixed.

Key and lock assistance

This add-on is designed to cut down on the costs associated with missing or damaged keys. We take care of the entire purchasing and replacing of not just the car key but the entire locking system.

CNG kits

Customers can purchase an add-on service along with a standard car insurance policy for externally/internally fitted CNG kits by paying nominal premiums.

Compulsory Personal Accident cover

PA cover for the owner and driver is available as an add-on benefit. So, if you suffer injuries due to an accident while driving your car, the insurance company will pay up the amount mentioned in the defined cover.

24*7 spot assistance

This is one of the most useful car insurance add-ons because it means you are never left stuck on the road due to a car problem. No matter if you must get a tyre changed, have an expert look into your car’s engine, or need assistance in settling an accident, our team is just a phone call or a click away from assisting you. Support & assistance is provided in case of car breakdown, flat tyre/battery, etc. throughout the day, 24x7.

Consumables Expenses

Consumable items of a car include nuts and bolts, screws, washers, grease, lubricants, clips, A/C gas, bearings, distilled water, engine oil, oil filter, fuel filter, brake oil and related parts. The basic car insurance policy does not cover such consumable items. However, with an additional premium, you can opt for this add-on, whereby any expenses arising out of damage or loss to these parts can be covered under the policy.

Personal baggage

The personal baggage add-on protects your personal belongings and reimburses you for any losses incurred as a result of damage or theft from the vehicle.

Conveyance benefits

With this add-on, you don’t have to worry about burning a hole in your wallet for the daily cab or transportation charges you are likely to pay during your car’s servicing. We take care of your post-accident conveyance for your everyday commute.

There are three primary components through which car insurance premiums can be calculated online hassle-free and quickly. Here are a few simple steps to follow:

•The Insurance Regulatory and Development Authority of India (IRDAI) sets the third-party liability premium, which is proportional to the vehicle’s cubic capacity.

Cubic capacity	Premium with effect from June 16, 2019 (Rs.)
Not exceeding 1000 cc	Rs. 2,072
Exceeding 1000 cc but not exceeding 1500 cc	Rs. 3,221
Exceeding 1500 cc	Rs. 7,890

• IDV x [tariff rate] – [discounts] + add-on covers is the formula for calculating the own damage premium.
• Premium personal accident insurance + additional coverage
These three components, as well as the policyholder’s final car insurance renewal price, are affected by the following factors:

Insured Declared Value (IDV)

The maximum amount a policyholder can claim under the coverage is known as the IDV. The policyholder’s IDV and premium will be higher if the market value of their car is higher.

Make and model

High-end vehicles have a higher insurance premium simply because the cost of repairs/replacement is higher.

Fuel type

Cars that run on petrol are less expensive to repair than those on diesel or compressed natural gas. Therefore, the four-wheeler insurance premium may vary according to the fuel type.

Year of manufacture

The car’s year of manufacture and age is taken into consideration while calculating the premium amount.

Location

Accidental damages are more likely in metropolitan areas due to the density of traffic. As a result, the insured’s premium may differ depending on where the insured lives.

No Claim Bonus (NCB)

If the insured has not filed any four-wheeler insurance claims previously, the car insurance holder may be eligible for a discount between 20-50% on the rate. Additionally, the online car insurance renewal will also lower the price.

Add-ons

Car Insurance Add-ons selected by the insurance holder will be included in the policy for an extra cost.

How to save on car insurance premium

Here’s how you can save on the car insurance premium:

NCB

The car insurance holder can collect up to 50% of NCB if he/she hasn’t filed any claims in the preceding years.

Security measures

The car insurance policyholder may be eligible for a discount if the insured has taken extra precautions to keep the four-wheeler safe from being stolen. For instance, installing an anti-theft device (authorised by ARAI) on the insured’s automobile will often result in a 2.5% reduction.

Following are some suggestions on how to reduce car insurance premiums -

• Compare the policies online to find a suitable deal.
• Evaluate voluntary deductions when buying four wheeler insurance.
• Installing anti-theft devices.
• Make use of the no-claim bonus during car insurance renewal.
• Increasing the deductibles of your policy.

Reliable Brand Name
When trusting with insurance, it is important to ensure that your chosen insurance provider offers the best value for money. Bajaj Finance is a well-known financial institution with millions of customers who entrust us with their car insurance policy. Adding to the safety and credibility, we have been awarded the highest safety ratings of FAAA by CRISIL and MAAA by ICRA.

Quick and Online Purchase Process
It's a common practice to buy car insurance online these days. You can now insure your car against any damage due to an accident, theft, fire, etc. within a couple of minutes. The car insurance online process is convenient and saves time. With benefits such as payment reminders, easy comparison, online forms, and document soft copies, Bajaj Finance’s car insurance online claims save your efforts with zero paperwork.

Easy Claim Process
Bajaj Finance offers paperless door-to-door claims. With the Bajaj Finance car policy, one can now raise a claim via a hassle-free, paperless car insurance online process within a few minutes. You can opt for contactless claims or easy document collections from the comfort of your home.

Here are some reasons for buying a car insurance policy online -

Nominal paperwork: Buying car insurance online entails minimal paperwork, which reduces the hassle of buying or renewing insurance.

Faster processing: Purchasing four wheeler insurance online is much quicker, reducing the turnaround time. So, you can get a policy without any delays.

Easy comparison: Opting for an online car insurance renewal or purchase is beneficial as you get the liberty to go through multiple insurance policy policy offers and then select one that meets your requirements.

No need to contact any agent: Buying a car insurance policy offline or renewing it requires you to contact an agent. Whereas, if you opt for an online service, it helps you to purchase a policy from the insurance provider directly. Resultantly, you get a chance to save on commission and other additional costs associated with a policy.

Just follow the below steps to apply for bike insurance online

Step1: To apply for the product, click on ‘Apply Now’ and fill in the necessary details in the application form.
Step2: Make fee payment online.
Step 3: If required, opt for a call back from our representatives or complete the process by clicking ‘Buy Now’

Some of the notable benefits of renewing a four wheeler insurance online from us are -

Faster processing: You can apply and get your car insurance renewal completed within a few minutes.

Zero to no documentation: Car insurance renewal online helps you avoid dealing with the paperwork and get them to validate to access your policy. Usually, this online process does not need any extensive paperwork.

Secure and transparent: Online car insurance policy renewal is a secure and transparent process. You can check every detail of a policy and then make a decision.

Following is a step-by-step guide on the process of initiating a car insurance claim online -For BAGIC

Step1: Register your claim

Call our Toll-Free Numbers 08698010101/1800-209-0144 /1800-209-5858 and connect to us instantly.  Please provide the basic details like:

 

• Contact number 
• Engine and chassis number 
• Date and time of the accident 
• Description and location of the accident 
• Vehicle inspection address 
• Kilometre reading 

Step 2: Send in your vehicle for repair

• Move your vehicle to the garage from the accident spot (in case of an accident) or have it towed to avoid further damage. 
• Should your vehicle not be found within 90 days, ask the police to issue a Non-Traceable Report (an undertaking that they are yet to find your vehicle) and hand over the report to us. You can then sit back and let us take care of the rest. 

Step 3: Survey and Claim Settlement

• Submit a copy of the documents to your preferred garage/dealer and have them tallied with the originals. 
• Is the damage not too severe? Only got a cracked windshield or a bumper that has come off loose? In that case, we suggest you let our Motor OTS (On-The-Spot) service take over.  
• We will repair your vehicle (within X working days) at a network garage of your preference, deliver it to your doorstep and pay the garage directly. 
• You will only have to pay the excesses (as mentioned in the policy) and the depreciation value as informed by the surveyor.  
• With Bajaj Allianz Motor Insurance, you can secure your vehicle and avail a host of other add-ons such as Roadside Assistance.  

For Acko :

BFL Helpline Number: 08698010101 
ACKO Insurance Helpline Number: 1800 266 2256 (toll-free) 
Email: wecare@bajajfinserv.in     
Mailing address: Ground Floor, Bajaj Finserv Corporate Office, Off Pune-Ahmednagar Road, Viman Nagar, Pune – 411014. 

*For claim related issues, please refer to your policy document or certificate of insurance (COI). 

Requesting for car insurance claims is not a hard nut to crack. It is important however to have the correct set of documents on hand. The following are the documents required to file a car accident insurance claim:

1. Car insurance policy paper or a copy of the cover note.
2. Driving License of the person behind the wheels.
3. RC or registration certificate of the insured vehicle.
4. A valid claim intimation form.