India’s bustling roads are a testament to a nation on the move. But with great mobility comes great responsibility – the responsibility to ensure your car and yourself are protected on every journey. Motor insurance plays a crucial role in this, acting as a financial shield against unforeseen accidents and damages. However, there are several motor insurance myths. This blog aims to debunk some of the most common motor insurance myths in India, empowering you to make informed decisions and choose the right plan for your vehicle and driving needs.
Myth #1: Third-Party Insurance is Enough
Third-party motor insurance, mandated by law in India, offers basic coverage for damage caused to a third party’s vehicle or property, and for injuries or death of a third party in an accident you cause. However, it doesn’t cover any damage to your own vehicle. In today’s scenario, with rising car repair costs, opting for only third-party insurance can leave a significant financial burden in case of an accident involving your own car. Consider a comprehensive motor insurance plan that provides coverage for both third-party liabilities and your own vehicle’s damages due to accidents, theft, fire, natural disasters, and other perils.
Myth #2: My Car is Old, So I Don’t Need Insurance
We are sure you’ve heard this motor insurance myth before! Even older cars require insurance protection. Accidents can happen anytime, and even a minor collision can result in hefty repair bills. Additionally, third-party liability coverage remains crucial regardless of your car’s age.
Myth #3: Only Comprehensive Plans Cover Personal Accident Coverage
Personal accident (PA) cover is an add-on benefit available with both third-party and comprehensive motor insurance plans. This benefit provides financial compensation in case of death or permanent disability sustained by the insured driver or passengers due to an accident.
Myth #4: My Car Insurance Covers Everyone Who Drives My Car
Standard motor insurance policies typically cover the named driver on the policy document. If someone else is driving your car with your permission, you need to inform your insurance company beforehand. Some plans offer temporary cover options for occasional drivers, while others allow you to add additional drivers to the policy for a higher premium.
Myth #5: Only Authorized Service Centers are Covered Under Insurance
This is a common motor insurance myths. Many comprehensive motor insurance plans offer the flexibility to choose between authorized and non-network garages for repairs. However, opting for a network garage within your insurer’s network often translates to a cashless claim settlement process, where the insurer directly settles the repair bill with the garage, saving you time and money.
Myth #6: You Can’t Change Your Motor Insurance Company Once a Policy is Purchased
You have the freedom to switch your motor insurance company during the policy renewal period. As your car ages, driving habits change, or your needs evolve, you can compare plans from different insurers to find one that offers better coverage or a more competitive premium.
Before purchasing any motor insurance plan, take time to understand the policy wording, inclusions, exclusions, and claim settlement procedures. If you’ve made any modifications to your car, like installing CNG or a music system, inform your insurer. Have questions? Feel free to reach out to a CoverSure expert.
