A Quick Guide to Buying Motor Insurance Online

A Quick Guide to Buying Motor Insurance Online

Revealed on March 5, 2021. EST READ TIME: Three MIN

A Quick Guide to Buying Motor Insurance Online

Having motor insurance coverage is obligatory in India – everybody who owns a automobile is conscious of that. Legally, you aren’t allowed to drive a automotive or journey a motorbike if it’s not insured. So, each automobile you see on the street is insured.
Nevertheless, most individuals are likely to search for the least costly insurance coverage plan, and that’s normally the third-party cowl. What they don’t understand is that if sadly, they’ve an accident and harm their automobile in any manner, they
should shell out cash from their very own pocket for the repairs. So, this text explores how one can make a sensible alternative whereas buying a coverage on-line, from the consolation of your private home.

1. What are the Totally different Forms of Car Insurance coverage Insurance policies?

HDFC ERGO gives a number of varieties of insurance coverage insurance policies for motor insurance coverage:

  • Third-party- This covers you for damages achieved to a different’s automobile, for those who brought on the accident and must pay them to restore their automobile. It’s legally necessary to have this fundamental insurance coverage.

  • Single 12 months Complete- This covers you for damages achieved to your personal automobile along with third-party cowl. You can too select add-ons and customise your insurance coverage coverage.

  • Standalone personal harm cover- If you have already got third-party insurance coverage, you possibly can merely buy this coverage to cowl for damages achieved to your personal automotive.

  • Cowl for model new cars- In case you’ve simply bought a brand new automobile, this coverage covers you for damages to your personal automotive for 1 12 months, and gives third-party cowl for Three years.

All motor insurance coverage insurance policies from HDFC ERGO, apart from the third-party insurance coverage plan, gives safety towards theft and pure calamities, gives private accident cowl, and provides a alternative of add-ons.

2. Tricks to Make the Good Choice

It is rather simple to buy a motor insurance coverage coverage on-line these days. Ideally, you must test what completely different corporations are providing and evaluate the advantages and the premiums earlier than shopping for.

  • Ask associates, household and colleagues about their expertise with varied motorized vehicle insurance coverage corporations.

  • Discover out the declare settlement ratio of various insurers – select an organization with a excessive settlement ratio.

  • Examine if private accident cowl can also be supplied together with the excellent coverage. This may assist defend you towards monetary difficulties resulting from prolonged hospitalization, incapacity, and even loss of life from the accident.

  • Have a look at the deductibles being charged by the corporate. A sure minimal value must be borne by the proprietor, and this quantity could also be greater for older or greater finish automobiles, or in case you are in any circumstances, deemed high-risk by the
    insurer. There may be additionally a voluntary deductible quantity concerned, which you’ll be able to improve to decrease the premium.

  • Calculate the Insured Declared Worth (IDV) of your automotive. That is the quantity you get while you deduct depreciation from the promoting worth as listed within the bill. In case your automotive is stolen or fully broken, that is the quantity
    you could declare.

  • Examine for community garages that are near you, with the intention to get fast repairs. Extra garages imply that your repairs will probably be carried out faster.

  • Enquire in case your insurer is providing cashless repairs

3. How is the Premium Calculated?

The complete automotive insurance coverage worth relies on quite a lot of elements like:

  • The make and mannequin of the automotive; usually, model new automobiles appeal to greater premiums

  • The cubic capability – greater capability could imply greater premiums

  • Your no claims bonus – the upper your NCB, the decrease will probably be your premium

  • Your voluntary deductible

  • Add-ons you choose

  • The insured declared worth of your automotive. Normally, greater premiums are charged on automobiles with greater IDV.

4. Step by Step Course of to Buy your motor insurance coverage

  • On the

    HDFC ERGO Automotive Insurance coverage

    web page, you want to first enter your automobile registration quantity.

  • Choose the kind of insurance coverage you need; chances are you’ll be requested for particulars like mannequin, registration 12 months and many others. on this web page.

  • Enter particulars of your No Claims Bonus and former coverage.

  • Fill in your contact particulars.

  • You’ll get a quote on the following web page. Merely click on on buy and make the fee while you’re prepared to purchase.

5. Paperwork Required

To buy a motor insurance coverage coverage, you want to have these paperwork helpful for reference functions:

  • Car RC or Registration Certificates (for chassis quantity, cubic capability, 12 months of registration, mannequin and many others.)

  • Earlier 12 months’s Insurance coverage coverage (to test your NCB and former IDV)


A complete motor insurance coverage coverage can provide ample safety within the unlucky occasion of an accident. Whether or not it’s solely automobile harm, or your hospitalization value, it might probably present the funds you want to settle your bills.
You’ll be able to focus in your restoration and getting your automobile again in form and on the street, with out worrying about the price concerned.


The above data is for illustrative function solely. For extra particulars, please check with coverage wordings and prospectus earlier than concluding the gross sales.

S. Gopalakrishnan | Motor Insurance coverage Skilled | 40+ years of expertise in insurance coverage trade

A veteran in insurance coverage trade. S. Gopalakrishnan is a reputation to reckon with within the discipline of reinsurance, he has headed the Reinsurance division and has wealthy expertise in different fields of motor insurance coverage. He likes to share his
opinion on newest matters within the insurance coverage trade and the way he can assist individuals in safeguarding their belongings utilizing insurance coverage merchandise.

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