Introduction
Car insurance is not merely a legal obligation in India—it safeguards your vehicle against accidents, theft, and unforeseen damages. Here’s a straightforward guide to help you grasp the essentials.
Types of Car Insurance in India
- Third-Party Insurance
Required by law
Covers damages to others
Does NOT cover your own vehicle
Best For: Very old cars
- Comprehensive Insurance
Covers third-party as well as your own car
Protects against accidents, fire, and floods
Optional but advisable
Best For: All new and mid-range vehicles
- Zero Depreciation Add-On
No depreciation deductions apply
Higher claim amounts
Best For: Cars that are less than 5 years old
- Engine Protection Cover
Beneficial during floods
Covers engine-related damages
Best For: Areas prone to flooding
How to choose the best car insurance
- Check IDV (Insured Declared Value)
- Compare premiums
- Check garage network
- Look for fast claim settlement
- Choose add-ons wisely
Top Companies for Car Insurance in India
- ICICI Lombard
- Bajaj Allianz
- HDFC ERGO
- Tata AIG
- Acko
Final Thoughts
Choose a plan that fits your car’s age, your city, and your driving habits. A well-chosen policy saves money and protects your vehicle.
