Gone are the days when buying a car was a luxury statement. These days, most of us buy a car to make our daily life easier and commute from one place to another without hassles. It is important to remember that while buying a car, getting a car insurance policy at the same time is not an option. In India, having at least a third-party car insurance policy to abide by the Motor Laws is mandatory. Many of you might fear paying the car insurance premium, but remember, there are ways in which you can save on this amount. Wondering how? Listed below are useful ways to save on car insurance premiums.
8 Ways to Save on Car Insurance Premium
Whether you are buying a car insurance policy with Acko General Insurance or any other insurers, you can still save on the premium amount in several ways, such as those listed below:
1. Choose the Adequate Coverage: You must choose adequate coverage while buying a car insurance policy. For instance, buying third-party car insurance is a better idea if your car is old. Moreover, since Comprehensive policy is more expensive, you should only buy it if required.
2. Install Anti-theft Devices: Installing anti-theft devices like alarms, immobilisers, etc., prevents the car from being stolen. This also decreases the insurer’s liability. Thus, the car insurance premium will be lower when the insurer’s liability is lesser.
3. Include Necessary Add-ons: You can include several add-ons, such as No Claim Bonus Protector, Zero Depreciation Cover, Consumable Cover, Key Loss Cover, etc., in your car insurance policy. These add-ons enhance your policy coverage and increase the premium amount as well. Thus, you need to be very careful when selecting add-ons. For instance, getting car insurance with Tyre cover is not advisable for an old car.
4. Increase Voluntary Deductibles: Most insurers in India offer car insurance policies that have the option to include deductibles. Deductibles refer to the amount the policyholder agrees to pay out of pocket for claim settlement. Thus, when you include deductibles in your policy, you agree to pay a certain amount, reducing the insurer’s liability. This indicates that the more deductibles there are, the lesser the car insurance premium amount will be.
5. Avoid Raising Minor Damages: In case of minor damages like scratches or dent issues, it is suggested that you do not raise a car insurance claim. This is because it will protect your No Claim Bonus discount, which is paid out for not raising the claim in a given policy year. So, in situations when there is minor damage to your car, and you think that the expenses can be borne by you alone, then refrain from raising a claim and keep your No Claim Bonus intact.Â
6. Don’t Let the Policy Lapse: Car insurance also comes with an expiry date like all other insurance policies. You must renew your policy on time so that it does not lapse. If you fail to do so and it gets lapsed, then chances are that you will have to pay a higher premium. So, renewing the policy on time is better than paying an extra premium for a lapsed policy.
7. Get Pay As You Drive: Many of us might not drive our cars daily. So, for those who don’t use their cars regularly, it is better to get Pay As You Drive Insurance instead of a regular policy. As the name suggests, the premium for Pay As You Drive is based on the number of kilometers you drive. This means the less you drive; the lesser will be the premium amount you need to pay. So, if you don’t use your car frequently, getting Pay As You Drive insurance is better.
8. Drive Responsibly: Some insurers check the policyholder’s driving record before issuing the policy in their name. This helps them understand how responsible the individual is regarding driving. For instance, if an individual has a history of raising numerous claims, then there is a chance that the insurer may charge a higher premium.
Summing Up
Thus, you can easily save on the car insurance premium amount with the above-mentioned tips. Moreover, you should compare car insurance policies offered by different insurers and get the best coverage at affordable premiums.
(India CSR)
