Car insurance, also known as motor or vehicle insurance is insurance for cars, trucks, cabs, and other four wheeler plus vehicles. The primary purpose of car insurance is to provide financial protection against physical damage arising from road accidents and against liability resulting from incidents involving third party vehicles/property/person.
Importance of Car Insurance in India
Car Insurance is created to protect you from unexpected and unlikely events. Here are some scenarios where a four wheeler insurance can act as a life saver.
Let’s say you own a 1-year-old standard hatchback with an Insured Declared Value (IDV) of Rs. 4,00,000, but sadly, don’t have four-wheeler insurance. Following are the approximate expenses that you might incur if your car was to meet with an accident:
|Frontal Damages||Rs. 25,000|
|Windshield Damages||Rs. 6,000|
|Bumper Damages||Rs. 5,000|