Crucial things to check before buying motor insurance

Before you start driving your brand new car, you need to protect yourself against any mishap. This is the reason that it is very important to buy motor insurance. Most motor policies available in the market are similar and this makes it difficult for a layman to choose the exact policy that may suit him or her. There are some important factors that you should bear in mind like the brand, customer service, policy coverage, distribution and access price before you make the final decision regarding car insurance plans.

Brand

This is the most important factor that differentiates different insurance companies offering motor insurance policy in India from one another. In the insurance sector, the moment of truth for any customer is when a claim is made. It is quite easy and simple to check the past record of any insurance company regarding parameters like the number of claims settled and in how much time. All this information is usually mentioned on the official website of the insurance companies. The key fact that you need to remember is that motor insurance is portable which means that you can shift your policy to another company without losing any of the benefits that you are eligible for.

Coverage

The next important step is to choose the exact insurance plan that suits your particular requirements. The basic motor insurance policy which is also known as a motor package policy covers third party liability and own damage. In most countries third party liability coverage is compulsory, but it is advisable to opt for both these covers because it will cover both accidental damages and third party losses to your vehicle. As this is the age of de-tariffing in India, nowadays insurance companies are offering lucrative add ons like no claim bonus protection and nil depreciation.

Customer service

There was a time not long ago when a customer had to wait for a few months in order to get the copy of the car insurance policy, but those days are gone and done with. Nowadays most insurance companies provide over the counter issuance of policies. They hire agents who ensure fast delivery of the policies to the customers. At the same time, some of the good companies are also demonstrating considerable reduction in the turnaround time for services like any changes being made in the existing policy and even cancellation of policies.

In order to make matters more convenient for the customer, many insurance companies have tied up with garages which provide cashless settlement of claims. This allows the customer to take delivery of the vehicle immediately once the repairs are done. Here the main thing to look out for is the number and quality of garages that insurance company has empanelled for providing cashless service. The wider the network of garages the better services you will get

Distribution and access

Sometimes, customers are not aware of whom to turn to in times of difficulty. It makes matters worse when even after contacting the insurer the problem does not get resolved. You should always opt for an insurance company which has a wide network and multiple distribution and communication channels.

Cost

The premium that the insurance company charges for car insurance plans is the basic factor on which you should base your decision of buying motor insurance policy in India. However, you should also consider the quality of the insurance product being offered and hence the low cost premium should not be the only driving factor for making a decision. Usually higher the chances of accidents the higher is the cost of the premium. Usually the model of the car and the geographical location of the customer are the two main factors deciding the cost of insurance premium.

Prateek is a seasoned independent writer. His explanatory and creative writing style helps understand the subject matter easily and offers tips, tricks and expert suggestions for Star Health Insurance polices..