MOTOR INSURANCE

Motor insurance if explained from the laymen perspective is a policy which you should buy to cover your physical assets car & motorbikes which are meant for personal use and vehicles which are meant for using for your business. The main objective behind why you are always advised to buy a Motor insurance because all the policies under this type of insurance help you to cover cost arising out of physical damage or loss from natural or manmade calamities. As per Indian laws it is also mandatory for you to buy a motor insurance policy on any vehicle that you own and drive on Indian roads. So Motor insurance is a specific insurance product catering to a specific need.

Types of Motor Insurance based upon vehicle you want to get covered:

When you are comparing and buying a motor insurance policy you first know for what type of vehicle you are buying a motor insurance policy. Typically speaking vehicles meant for personal use like your car or your motor bike can be covered under two different types of motor insurance policies depending upon the specific type of emergencies which may arise and similar in case of commercial vehicles like the truck you might be using transporting goods etc.
a) Car Insurance: Your car insurance is typically meant for your car used for personal needs. It helps cover accidental loss or damages to your own car or to a third party. A third party is generally a person who meets with injuries due to accident involving you and your car. The amounts of premium that you pay towards your car insurance policy depend on the make & value of the car, in which state the car is registered and the date of manufacturing.
b) Two wheeler Insurance: Two wheeler policies is meant for your bikes and scooter which you use for personal means. The things that are covered under a typical two wheeler insurance policy are exactly similar to what your car insurance policy would cover.
c) Commercial vehicle Insurance: Commercial vehicle insurance is meant for covering losses that you might faces due damage caused to you vehicles which you are solely using for commercial purpose. Commercial vehicle may include buses which you may using for transporting your employees to their workplace is something which can be covered under a typical commercial vehicle insurance policy.

Types of Motor Insurance policies based upon type of cover:

Like any other insurance policy motor insurance policies also come with different types of features which provide covers relating to loss or damage of your vehicle. Based upon the type of cover your motor insurance policy provides, they are differentiated under three heads:
a) Third party motor insurance : A motor insurance policy which only provide third party cover is meant to cover looses happening to a third person which might have got injured in an accident which involved you and your vehicle. This type of policy will not cover losses happening to you or your car directly. As per law in India any personal driving a vehicle of any type should at least his/her vehicle covered under a third party policy
b) Comprehensive motor insurance: A comprehensive policy is primarily a consolidated insurance policy and provides a combined cover as offered by Third party policy but also cover financial loses happening to owner of the vehicle in case of damage due to accident or theft our of vehicles
c) Liability only policy: This type of motor insurance cover gives more priority to losses happening to a third person who might have incurred losses due accident happening because of you and your vehicle over the giving you cover for personal damages happening to your insured vehicle. Personal accident related cover to the driver also fall under this category.
If you are looking for buying either a car/motor cycle or commercial vehicle motor insurance you insurance provider can of the three types of cover as mentioned above. The minimum mandatory that you always need to take is a third party insurance cover without which as per Indian law you can’t ride a vehicle on Indian roads

What document or details I would require to buy a motor insurance?

a) Vehicle registration details
b) Your machine chassis number
c) Year of manufacture
d) Fitness certificate only in case of commercial vehicle issued by the local authority
Even if you are doing an online comparison while require details mentioned above. In case if you are renewing your old policy and you can some non claims bonus on your existing policy you should have details regarding the same to avail discounts in your premium

What is not covered under a motor insurance policy?

Any loss happening due to accident happening due to
1) Driver under the influence of drugs or alcohol
2) When the vehicle is used to illegal purposes or purposes as defined by your policy
3) When the driver is not using a valid driving license. In India person under the age group below 18 years are eligible