6 Tips to save on car insurance premium
New Delhi : Investing in car insurance is a smart choice to keep your finances intact. A comprehensive car insurance policy covers you against unexpected expenses arising from damages to your vehicles due to accidents or theft. The premium of the insurance policy depends on the range of coverage and add-ons chosen. But this should not refrain you from buying a car insurance policy that offers sufficient coverage.
Here are a few ways you can save on your car insurance premium and stay financially secure.
Compare car insurance policies online
The first step in getting a low-cost car insurance policy is to compare policies from various insurance companies. Visit the websites of various insurance providers to check the policies and coverages offered. Compare the coverages, deductibles, premiums, and other terms and conditions to get the best value for your money.
Opt for a higher deductible
Choosing a higher deductible is another way to reduce your car insurance costs. A deductible is an amount that you pay out of pocket before your insurance company pays for damages. Suppose you have chosen a policy with coverage of Rs. 5 lakh and a deductible of Rs. 1 lakh. When you claim any damages, the insurer will pay only Rs. 4 lakh, while you have to pay the remaining Rs. 1 lakh. The higher the deductible, the lower the premium. However, choose a deductible that you can afford during an emergency.
Install safety devices in your car
You may be eligible for a discount on your car insurance if you have installed safety equipments in your car. Airbags, GPS trackers, and other safety features can lower the risk of accidents or theft, and that can lower your insurance premiums.
Your driving history affects how much you pay for your car insurance. Insurance companies analyse your driving history to determine the risk level. Your premium may get reduced if you have a spotless driving record because you are less likely to have an accident. On the other hand, your premium may get higher if you have a history of accidents or traffic violations. As a result, it is important to drive safely and abide by all the traffic laws.
Benefit from No Claim Bonus
You can use the No Claim Bonus (NCB) during car insurance policy renewal. Insurers offer the bonus as a reward to policyholders for having claim-free years. The percentage keeps adding after every claim-free year. So, you get a chance to accumulate up to 50% NCB if you have five consecutive claim-free years. Insurance companies offer NCB as a discount on premiums. If you have a 20% NCB, this will give you a 20% discount on the renewal premium.
Renew your policy on time
Renew your car insurance policy on time to avoid a lapse in coverage. You can avoid paying a late renewal fee if you renew the policy on time before it expires.
Choose a car insurance policy wisely to get adequate coverage. Bajaj Finance along with leading insurers in India offers a wide range of comprehensive car insurance policies at affordable premiums. Visit the Bajaj Finance Insurance Mall to check the plans and buy online without any paperwork.
Disclaimer - Disclaimer : *T&C Apply. Bajaj Finance Limited (‘BFL’) is a registered corporate agent of third party insurance products of Bajaj Allianz Life Insurance Company Limited, HDFC Life Insurance Company Limited, Future Generali Life Insurance Company Limited, Bajaj Allianz General Insurance Company Limited, SBI General Insurance Company Limited, ACKO General Insurance Limited, ICICI Lombard General Insurance Company Limited, HDFC ERGO General Insurance Company Limited, Tata AIG General Insurance Company Limited, Niva Bupa Health Insurance Company Limited , Aditya Birla Health Insurance Company Limited, Manipal Cigna Health Insurance Company Limited and Care Health Insurance Company Limited under the IRDAI composite CA registration number CA0101. Please note that, BFL does not underwrite the risk or act as an insurer. Your purchase of an insurance product is purely on a voluntary basis after your exercise of an independent due diligence on the suitability, viability of any insurance product. Any decision to purchase insurance product is solely at your own risk and responsibility and BFL shall not be liable for any loss or damage that any person may suffer, whether directly or indirectly. Please refer insurer's website for Policy Wordings. For more details on risk factors, terms and conditions and exclusions please read the product sales brochure carefully before concluding a sale. URN No. ADVT/NR/23/325