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Comprehensive Car Insurance

A comprehensive four-wheeler insurance policy includes coverage against both third-party and own damages resulting from an accident. This is the most popular type of car insurance policy sold in the market. It makes driving free from legal obligations as well as covers the expenses of repair/replacement of own vehicles in case of accidents.

Reputed insurance providers offer online insurance purchase and renewal facilities. So, compare various products from multiple insurers and choose a suitable comprehensive car insurance coverage for your four-wheeler.
 

What is comprehensive four-wheeler insurance?

Comprehensive four-wheeler insurance is an extensive car insurance policy that offers coverage against third-party and own damages. Such plans ensure financial coverage against damages caused to both the parties involved in the accident.

Per the Motor Vehicles Act, a third-party insurance policy is mandatory to drive vehicles legally on public roads in India. Such an insurance policy covers the cost of repair/ replacement of damages caused to third-party property or vehicle by the insured car. However, the policy does not provide coverage in case of its own damages. For this, one must purchase an own-damage policy. A comprehensive car insurance policy includes the benefits of both third-party and own-damage insurance policies.

A policyholder can enhance the limit of comprehensive car insurance coverage by including various add-ons, such as zero depreciation, no claim bonus, and breakdown assistance. One significant importance of purchasing these policies in the country is that it protects car owners against lawsuits that have been brought against them due to an accident and the associated legal fees.

Read on to gain insight into comprehensive car insurance policies in detail.

Benefits of a comprehensive four-wheeler insurance policy

Purchasing a comprehensive four-wheeler insurance policy is the ideal option for car owners. To comprehend better, here are the benefits of a comprehensive car insurance plan:

Complete four-wheeler insurance

A comprehensive four-wheeler insurance plan ensures all-inclusive security to the insured car by extending coverage for the third-party and own damages caused due to an accident, theft, fire, etc.

Provides own damage cover

In case of any mishap, the insurance plan will cover the overall cost of the vehicle's damage. Such damages include vandalism, natural calamities, theft, etc.

Single premium

One of the biggest advantages of a comprehensive car insurance plan is that it offers coverage for both third-party liability and own damage under a single premium. As a result, it is considered the most uncomplicated way to stay safeguarded against any unanticipated incidents.

NCB and add-ons

NCB or no claim bonus is extended in the form of discounts on the premium amount for every claim-free year. To decrease financial liabilities, policyholders can also purchase necessary add-on covers and enhance the policy coverage.

Inclusions of comprehensive four-wheeler insurance coverage

Before purchasing a comprehensive four-wheeler insurance plan, learning about the policy inclusions is essential. Take a look at the list of inclusions covered under this plan:

Fire damage

In case an individual's car meets with a fire accident, this motor insurance plan will compensate for the damages or loss incurred against it.

Vandalism

If the car faces severe damage due to vandalism, this policy will cover the expenses for the incurred losses and repairs.

Third-party losses

The comprehensive car insurance plan covers third-party damages or losses caused by the insured car, involving third-party property damages, death or bodily injuries. All of these are covered under third-party four-wheeler insurance policies as well.

Car theft

If the insured four-wheeler gets stolen, the concerned motor insurance company will compensate the current market value (IDV) with a comprehensive policy.

Damages due to natural calamities

In case any natural calamity, such as an earthquake, flood, etc., damages the car completely or partially, the insurance provider will cover the expenses for the losses or damages incurred.

Damages caused due to man-made hazards

A comprehensive car insurance plan will cover expenses for the damages or losses caused due to man-made hazards, including strikes, riots, terrorist activities, etc.

Personal injuries or death

This plan not only provides coverage for the damages or loss caused to the insured vehicle but also ensures compensation to the owner/ driver in case of any injury or death in an accident.

Exclusions of comprehensive four-wheeler insurance coverage

Since everything is not covered under a comprehensive car insurance policy, here are some of the necessary exclusions that intending policy buyers must know before purchasing this insurance policy:

Mechanical and electrical breakdown

If the insured car goes through an electrical or mechanical breakdown, the insurer will not compensate for the expenses of the damage.

Drunk driving

If the owner/ driver is under the influence of alcohol while driving the insured vehicle, any loss or damage incurred is not covered under the policy.

Contributory negligence

Such policies do not cover any loss or damage that occurred to the insured car due to any negligence on the policyholder's part.

Depreciation

Every vehicle's value depreciates with time, and the insurance policy will not cover such depreciation.

Non-accidental damages to tyre/ tube

This insurance policy does not cover expenses for the loss or damage to the tube or tyre of the insured vehicle not resulting from a car accident.

Normal wear and tear

If the insured vehicle suffers from loss or damages due to regular wear and tear, the policyholder must pay the expenses from their pocket.

Driving without a licence

Such policies will not cover the damages or losses if the driver is caught driving without a certified driving licence.

Who is advised to buy comprehensive four-wheeler insurance?

If you are confused regarding the purchase of a comprehensive car insurance policy, you can check out the list of people who must purchase such a policy for their vehicles:

People taking frequent road trips You must go for a comprehensive car insurance plan if you like to travel to different cities or places in your vehicle. It will keep you and your vehicle secure from emergencies and provide you with an option to purchase roadside assistance as an additional cover.

Rash drivers If you are a clumsy driver and often meet with accidents, a comprehensive car insurance policy can be a saviour, compensating you for damages or losses incurred.

People living in metropolitan areas If you reside in a big city, you must purchase a comprehensive policy considering the endless traffic, frequent accidents, and pollution.

Car lovers Possessing a fancy and expensive car comes with a high risk of theft. If such high-end vehicles get stolen, the loss will be greater than regular cars. Therefore, securing your vehicle with a comprehensive four-wheeler insurance policy is wise.

New car owners Purchasing a vehicle includes substantial financial investment, making it essential to save such possessions from damage. Therefore, new car owners should purchase comprehensive car insurance for their vehicles.

Why buy a comprehensive four-wheeler insurance?

It is not mandatory to purchase a comprehensive car insurance policy, but it is always suggested to opt for one as it protects the vehicle from any damages or losses and extends benefits to the policyholder.

Following are some of the benefits extended by such policies:

No claim bonus Reputed insurers offer no claim bonuses when purchasing a comprehensive insurance plan. This NCB reward is granted to a policy owner for not making any claim during the policy period. This entire reward gets accumulated in each claim-free year and can be utilised to avail discounts on the premium amount during policy renewal.

Personal accident cover A personal accident cover is also extended with a comprehensive car insurance plan. This ensures compensation if the owner/ driver of the insured car faces disability or death resulting from an accident.

Own damage cover Besides the mandatory third-party liability cover, a comprehensive four-wheeler insurance policy also covers the damages to the insured car against theft, natural and man-made disasters, accidents, etc.

Cashless claim benefit With comprehensive four-wheeler insurance coverage, individuals can benefit from cashless claims during claim settlement. Under this insurance coverage, policyholders can get the reimbursement of repair costs in authorised network garages without paying anything from the pocket. This is because the insurance company manages the entire cost of the repair bill.

Additional cover By opting for an exhaustive car insurance policy, policyholders can avail several additional covers by paying a minimal premium and enhancing the policy coverage. Some add-ons include engine protection, zero depreciation, tyre protection, etc.

How to apply for comprehensive car insurance?

Here is the step-wise procedure to purchase a comprehensive four-wheeler insurance plan online from our website:

Step 1: Visit the 'Apply for Car Insurance Online' page.

Step 2: Input details of your car such as manufacturing year, fuel variant, make and model of the car, etc.

Step 3: Submit necessary personal details, such as contact details, e-mail id, and name.

Step 4: Select a suitable comprehensive insurance policy, including the quote out of the range of insurance plans available.

Step 5: Now pay the premium amount by choosing your preferred payment mode.

Your policy will be issued, and the necessary details will be sent to your registered e-mail address.

Simple procedure for four-wheeler insurance claim

Apart from knowing the procedure to purchase a policy, it is also essential to know about the claim procedure in detail.

Here are the steps discussed to claim a comprehensive four-wheeler policy:

Step 1: Inform your insurer about the accident, ideally within 24 hours.

Step 2: Arrange all documents required to be attached to the claim form.

Step 3: Fill in all appropriate details in the claim settlement form, such as details of the insured vehicle, car insurance policy details, car owner details, etc.

Step 4: A surveyor of the insurance provider will verify the level of damage to your vehicle.

Step 5: Get your car repaired from any network garage as instructed by the official.

Note: In case of making a claim against the third-party policy, submit the FIR copy, surveyor's report, and other necessary documents to the Motor Accidents Claims Tribunal.

Add-on covers for comprehensive four-wheeler insurance policy

When purchasing a comprehensive car insurance plan, policyholders can customise it to enhance the coverage level by including some additional covers. However, to include additional coverage on top of the base policy, one must pay an additional premium.

Here are some of the most common add-ons covers offered by the motor insurance companies:

1. Consumable cover
Such cover ensures that all the consumables utilised in the repairs of the insured car, such as coolant, washers, engine oil, etc., are covered under comprehensive insurance coverage.

2. No claim bonus protection
Such insurance cover protects the policyholder's NCB and enables them to the next NCB slab even if they raise a claim during the policy term.

3. Breakdown assistance cover
With such an insurance plan, policyholders can avail of necessary roadside or breakdown assistance from the concerned insurer if the insured vehicle suffers a breakdown in the middle of the road.

4. Zero depreciation cover
Such comprehensive insurance coverage allows policyholders to avoid paying for the car's depreciating value during the claim settlement. However, it is only available for cars that are less than five years old.

5. Passenger cover
Such motor insurance plans not only provide coverage to the owner/ driver in case the insured car meets with an accident but also protect the passenger riding in the same vehicle.

6. Key replacement cover
With such insurance policies, policyholders benefit from availing of replacement keys of the insured car as early as possible in case they have lost the original ones.

7. Gearbox and engine protection
With these insurance covers, the expense of repairing or replacing the engine and gearbox of the insured car will be covered in every instance and not only in car accidents.

8. Return-to-invoice cover
Policyholders can avail of insured declared value equal to the car's invoice price in case of total loss or damage instead of the vehicle's existing value in the market. Such covers are ideal for new car buyers.

Comprehensive four-wheeler insurance vs Third-party four-wheeler insurance

To learn about the major differences between comprehensive four-wheeler insurance and a third-party insurance plan, follow the table below:

Feature Comprehensive four-wheeler insurance Third-party four-wheeler insurance
Coverage In comprehensive insurance coverage, the concerned insurer will cover expenses for the damages to the insured vehicle and third-party liabilities, such as damage to the property or injury or death of a third party. In a third-party four-wheeler insurance plan, policyholders can avail of compensation against the injury or death of the third party.
Add-ons Such insurance policies come with additional covers, such as consumables cover, zero DEP, etc. One can customise the add-ons per their preferences and requirements. There are no additional covers available when purchasing a third-party car insurance policy online.
Cost Due to the availability of extensive coverage, a comprehensive four-wheeler policy is comparatively expensive. These policies are relatively cheaper than comprehensive plans due to restricted coverage.

With an all-inclusive guide on a comprehensive motor insurance plan, you can now purchase a suitable plan per your requirements and affordability. In this regard, you can choose a motor insurance policy from any of the partnered insurance providers of Bajaj Finance and enjoy exclusive features and benefits.

To sum it up, having a valid four-wheeler insurance plan is imperative to ride the vehicle legally on public roads and safeguard your expenses due to accidents. By knowing about the aspects of comprehensive car insurance coverage, customers can make an informed decision based on their requirements.

Comprehensive Car Insurance Frequently Asked Questions FAQs

1. Is it a good idea to buy comprehensive four-wheeler insurance?

Although a third-party insurance plan comes with a reasonable price and covers expenses for the overall damage or loss to any third-party individual or property, comprehensive insurance coverage is featured with an overall package that includes both third-party and own damage cover along with additional benefits.

2. What is the difference between a third-party and a comprehensive insurance plan?

The difference between third-party insurance and a comprehensive four-wheeler insurance plan is stated below:

• A third-party four-wheeler insurance plan does not extend expense coverage for own car damages. On the other hand, a comprehensive car policy covers the overall damage caused to the third-party car and own car damage.

• One can't opt for customisation in a third-party insurance plan. However, in contrast, one can include specified additional covers in a comprehensive car insurance plan, such as NCB, roadside breakdown assistance, return-to-invoice cover, etc.

• Customers must know that a third-party insurance plan is comparatively cheaper than a comprehensive insurance policy. However, in the case of a comprehensive insurance plan, the policy premium depends on the car's make and model, add-ons etc.

3. Is comprehensive insurance and full insurance the same thing?

The major difference between comprehensive and full insurance coverage is that the former provides coverage for the damages caused to the insured vehicle due to theft, fire, accidents, etc., while the full insurance coverage includes both comprehensive and collision insurance along with the state's basic requirements.

4. Is it mandatory to have both comprehensive as well as third-party insurance?

While a comprehensive four-wheeler insurance plan is optional, having a third-party insurance plan is mandatory per the Motor Vehicles Act, 1988.

5. What is an example of comprehensive insurance?

A comprehensive four-wheeler insurance policy provides expense coverage for the damages caused to the insured car due to any natural or man-made disasters. Moreover, it significantly covers third-party liabilities as well.

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