A car purchase is a huge investment and needs good research and planning. The same goes for getting insurance for the car. There are a plethora of good car insurance policies in the market and choosing the right one can become a confusing and daunting task. Many car owners seldom give a second thought to the policy details and purchase the first insurance policy they come across.
Many people buy a policy that comes with a cheaper car insurance premium and end up paying money out of pocket for deductibles at the time of claims or do not get adequate coverage for car damages and repairs. This is why it is necessary that you compare your car insurance options before zeroing in on a policy.
Tips to compare car insurance policies online
Given below are some tips you can follow while comparing car insurance policies online -
- Choose a reputed insurance provider: Buying any insurance policy is just not enough. While a cheap car insurance premium might be lucrative it should not be the only consideration factor. You need to choose a reputed policy provider that offers cashless claims and has a good claim settlement ratio. You should also check the reviews that other users have given about the insurance provider.
- Compare coverage limits: When you are comparing car insurance online, do compare the coverage limits like damage to property, bodily injuries etc. These coverages must be included so that you do not end up paying out of pocket at the time of claim settlement.
- Consider car insurance premiums: While you compare insurance companies, also make sure you choose a plan that fits your pocket. Whether you are looking for a new car insurance policy or renewing an existing policy, comparing insurance premium amounts is important so that you get a policy that offers value for your money and fits your budget too.
- Insured declared value: The premium of your car insurance policy is dominated primarily by the Insured Declared Value (IDV). The premium is directly proportionate to the IDV of your car. The IDV represents the current market value of your car and should neither be too less nor too high. Reducing the IDV to save on premiums can lead to lower compensation in case of car theft.
- Look for multiple policies when comparing car insurance: Comparing multiple options will help you get a better comparison and understanding of the kind of coverage that you need. This will also help you get the right coverage for your policy. Evaluating multiple options on the basis of coverage and available features can help you decide if you are getting value for what you are paying. Shortlist only the policies as the next step that offer maximum benefits within your budget.
- Consider the deductibles: When choosing a car insurance policy, deductibles have an important role to play. A higher value of deductibles means a lower premium amount. However, choosing too many deductibles will mean that you will end up paying a lot of expenses out of your pocket at the time of claim settlement and hence, not recommended.
- Compare similar coverage and liabilities: When comparing car insurance premiums, choose similar coverages to get a fair comparison. This will ensure that insurance policies are compared on similar grounds and there is no confusion when making the final selection.
- Inclusions and exclusions must be considered too: Once you are choosing the policies, take a close look at inclusions, exclusions, features and add-ons that are provided by the company. These finer details will help you determine the best choice of car insurance policy for you. Look for a policy that allows you to customize the plan so you get the most out of your policy at the ideal price.
- Network of garages: When you are comparing car insurance policies, do not forget to check the network garages, especially the ones around your home. Network garages enable you to file for cashless claims and you can get your car repaired without bearing the hassle of paying out of your pocket and waiting for reimbursements. A stronger network of garages will help you get a smooth claim settlement process.
- Compare the terms: Policy terms are often overlooked at the time of car insurance policy comparison but it is important to ensure that you are comparing policies with the same terms and time frames. Sometimes you may find a policy that offers numerous benefits at a considerably cheaper premium but end up getting a policy for a shorter tenure. So, do check the tenure of the policy before you finalize it.
Important points to remember while comparing different car insurance providers
- You can browse through the website and brochures of different policy providers to understand in detail what they are offering.
- Comparing policies online is easier, more convenient and more reliable. It saves time and lets you compare various insurance companies in the blink of an eye.
- Comparing car insurance is the best way to fetch the best possible deals and maximum value for your investments. The right comparison will help you get the right coverage in your budget.
- While you must check the quote, but their some other factors as well. Do cross-check that at the given premium, what is being offered – the scope of coverage.
Now that you are aware of these car insurance tips, you can use this to get the right deal for your policy. Using a car insurance premium calculator and comparison tool can help you make an informed decision and ensure that your policy is the right fit for you and your car.
Disclaimer - The above information is for illustrative purposes only. For more details, please refer to the policy wordings and prospectus before concluding the sales.