11 Best Car Insurance In India 2022 (Vehicle Insurance) | भारत में 11 सर्वश्रेष्ठ कार बीमा 2022 (वाहन बीमा)

 

11 Best Car Insurance In India

11 Best Car Insurance In India 2023

Picking car insurance policy solely based on the lowest premium is not a good idea.

The lowest premium policy may not adequately cover some important add-ons like personal accident cover for co-passengers.

The best car insurance policy is the one that gives the maximum cover for an affordable premium.

This article aims to help you find the best car insurance policies based on the various factors that affect the insurance premium.

Type of Car Insurance

       Two types of car insurance policy

  • Third-Party Car Insurance and
  • Comprehensive Car Insurance

#1. Third-Party Car Insurance

Third-party car insurance covers the legal liability and property damages that are caused by an accident that happened on the other side of the road.

Means, the insurance company will help you pay all the compensation and damages which you are liable to pay to the third-party.

But will not cover you or the car for the damages suffered.

#2. Comprehensive Car Insurance

The comprehensive car insurance policy additionally covers you and the vehicle in case of an accident.

Plus also cover damages caused by fire, theft, an act of social unarrest like riots and vandalism.

Aside from regular accidents, comprehensive car insurance also covers the damages caused by falling objects, such as tree branches, due to natural disasters or severe weather.

5 Best Car Insurance Company in India 2022

#1. Royal Sundaram General Insurance

Sundaram is the only insurance company that offers free flat tire, emergency fuel delivery, and roadside assistance services.

The incurred claim ratio is healthy at 84.99%.

#2. Tata Aig Insurance

Tata AIG insurance has tie-ups with 3000+ workshops network in India. The insurer covers accidental damage or loss of the insured car.

The incurred claim ratio is at 79.31%.

#3. HDFC Ergo

In case of minor accidental damages, HDFC Ergo provides 24-hour repair services.

The incurred claim ratio is healthy at 84.37% and has an online claim initiation facility via QR code.

#4. Bharti Axa

For comprehensive car insurance, Bharti AXA has a network of over 2,500 garages across India. The company also provides free and additional services such as ambulance charges and hospital cash.

The incurred claim ratio is 81.74%.

#5. The New India Assurance

The New India Assurance Co is “AAA/Stable” rated one of the oldest government insurance company with widespread reach.

The incurred claim ratio is 79.68%.

Best Car Insurance Policy in India for 2022

#1. Tata AIG Car Insurance

Tata AIG offers various flexibility in the way they handle car insurance. Even after selling the vehicle, the company can still retain the non-claim bonus.

Tata AIG Car Insurance Incurred Claim Ratio for Motor – 68.62%

Tata AIG Best Car Insurance Plan

1.Tata AIG has only one plan – Auto Secure – Private Car package policy.

Car Insurance Policy Coverages Include
    • Loss or damage to the vehicle insured
    • Liabilities to third parties
    • Personal Accident cover for owner-driver

      Optional Add on Covers

  • Depreciation Reimbursement
  • Roadside assistance
  • Courtesy Hire Car or Daily Allowance
  • No Claim bonus protection
  • Repair of glass, fiber, plastic and rubber parts
  • Loss of personal belongings
  • Key replacement
  • Engine & Tyre Secure
  • Consumable expenses
  • Emergency transport and hotel expenses

What We Like
  • Flexibility to customize car insurance
  • Can retain nonclaim bonus even after selling the car
  • A long list to choose add-ons

What We Didn't Like
  • Low incurred claim ratio

#2. Royal Sundaram Car Insurance

Sundaram is the only car insurance company in India that gives free flat tire, emergency fuel delivery, and roadside assistance services.

The insures provides various discounts like

  • Discounts of Rs. 100 if opted for a reduction in limits for third party property damage
  • 35% discount when opting for a voluntary deductible of Rs. 15000.

Royal Sundaram Car Insurance Incurred Claim Ratio for Motor – 84.99%

Royal Sundaram Best Car Insurance Plan

  1. Royal Sundaram car shield comprehensive package policy

       Car Insurance Policy Coverages include

  • Loss or damage protection
  • Unlimited third party liability
  • Personal Accident cover for owner-driver, the paid driver and car occupants

Additional Cover
  • Legal liabilities to paid driver and employees
  • Cover for electrical, non-electrical and electronic fittings
  • Cover for CNG-Kit and BI-fuel system

Add on Covers

  • Depreciation waiver
  • Voluntary deductible cover
  • Loss of baggage cover
  • NCB protector
  • Tyre cover
  • Windshield Glass cover
  • Full Invoice price insurance cover
  • Spare car clause
  • Key replacement cover
  • Lifetime road tax clause

What We Like
  • Free emergency fuel delivery, roadside and flat tyre service
  • Higher incurred claim ratio
  • A host of additional and addon cover

What We Didn't Like
  • Discount only when opting for a higher amount of deductible

#3. HDFC ERGO Car Insurance

With the help of a network of over 6800+ garage stores across India, HDFC Ergo customers can get overnight repairs anywhere.

HDFC Ergo has online claim initiation facility via QR code. Further, the insurer has 24 x 7 customer support is rated iAAA by ICRA Ratings.

HDFC Ergo Car Insurance Incurred Claim Ratio for Motor – 84.37%

HDFC Ergo Best Car Insurance Plan

  • HDFC Ergo Single Year Comprehensive Car Insurance
  • HDFC Ergo Long Term Comprehensive Car Insurance
  • HDFC Ergo Third-party Liability Car Insurance

Car Insurance Policy Coverages Include
  • Accidental damage
  • Theft
  • Damage due to fire
  • Damage due to natural disaster
  • Personal Accident cover
  • Damage to third party vehicle and personal injury

Optional Add on Covers
  • Zero Depreciation
  • Emergency Assistance Cover
  • No claim bonus protection
  • Return to Invoice
  • Engine and gearbox protection
  • Key replacement cover
  • Cost of consumable items
  • Loss of use – downtime protection

What We Like
  • 6800+ cashless garage network
  • Overnight car repair services
  • Online claim initiation facility via QR code

What We Didn't Like
  • Fewer branches

#4. Bharti AXA Car Insurance

You can buy and renew your policy online with Bharti AXA. The company has a policy renewal facility that allows customers to do so without leaving their home.

The best part about Bharti AXA car insurance is that it comes with an added-on section which includes ambulance charges, hospital cash and medical expenses.

Hospital cash addon helps with Rs. 1000 cash every day up to 30 days of hospitalization.

Bharti AXA Car Insurance Incurred Claim Ratio for Motor – 81.74%

Bharti AXA Best Car Insurance Plan

  • Third party car insurance policy
  • Comprehensive car insurance policy

Car Insurance Policy Coverages Include

  • Accidental damage to the vehicle
  • Liabilities to third parties
  • Loss or damage to electrical and non-electrical accessories
  • Personal accident cover for the insured and any named or unnamed passenger
  • Legal liability to a person employed

Add on Covers

  • Zero depreciation cover
  • Roadside assistance cover
  • Invoice Price cover
  • Medical expenses
  • Key replacement
  • Consumables cover
  • Hospital cash
  • Engine and gearbox cover
  • Ambulance charges

What We Like

  1. Add-ons for ambulance charges, medical expenses
  2. Hospital cash of Rs. 1000 per day
  3. High incurred claim ratio

What We Didn't Like

  1. Fewer network garages

#5. The New India Assurance Co. Ltd. Car Insurance

The New India Assurance Co., a government-owned insurance company, is rated AAA/Stable by CRISIL. It is one of the oldest and most widely-known insurance companies in the country.

New India Assurance Co. Ltd Car Insurance Incurred Claim Ratio for Motor – 79.68%

New India Assurance Co. Ltd Best Car Insurance Plan

  • The company's liability only policy provides coverage for third party liability, such as death and property damage.
  • Private Car Motor insurance policy – Which covers loss or damage to the vehicle insured including the liability only policy.

Car Insurance Policy Coverages Include

  • Loss or damage to the vehicle insured and the accessories due to natural calamities and social unrest
  • Liabilities to third parties
  • Personal Accident cover for owner-driver
  • Optional Add on Covers
  • Loss or damage to accessories such as stereos, fans and ACs
  • Personal accident cover for co-passengers and paid driver.
  • Legal liability to employees

What We Like

  1. Widespread reach with branches in all cities
  2. AAA rated insurer
  3. Add on include legal liability to employees

What We Didn't Like

  1. Slow insurance and claim process

#6. IFFCO TOKIO Car Insurance

IFFCO Tokio offers zero liability cover on its comprehensive car insurance plan. The same coverage can be customized with various add-ons.

The insurer has 4300+ garages for roadside assistance and repairs.

IFFCO Tokio Car Insurance Incurred Claim Ratio for Motor – 79.19%

IFFCO Tokio Best Car Insurance Plan

  • Third party coverage
  • Value Auto Coverage (Package plan)

Car Insurance Policy Coverages Include

  • Loss or damage to the vehicle insured
  • Liabilities to third parties
  • Personal Accident cover for owner-driver

Add on Covers

  • Zero depreciation cover
  • NO claim bonus protection
  • Engine protection
  • Return to Invoice
  • Roadside assistance
  • Garage cash cover
  • Key replacement cover
  • Windshield glass cover
  • Loss of personal belongings
  • Consumable cover
  • Ambulance and medical expenses addon
  • Accident cover for car passengers

What We Like

  1. Unlimited zero depreciation cover
  2. A host of add-on benefits

What We Didn't Like

  1. Lower incurred claim ratio

#7. National Insurance Company Car Insurance

The National Insurance Company is the oldest insurance firm with the highest amount of unpaid claim claims.

The drawback is that the government insurer has fewer add-ons with no network of garages and no roadside assistance.

National Insurance Company Car Insurance Incurred Claim Ratio for Motor – 121.67%.

The high ICR is due to the old pending claims.

National Insurance Company Best Car Insurance Plan

  • National Insurance Liability-only cover
  • National Insurance Package cover

Car Insurance Policy Coverages Include

  • Loss or damage to the vehicle insured
  • Liabilities to third parties
  • Personal Accident cover for owner-driver
  • Add on Covers
  • For loss of accessories
  • Legal liability to paid driver
  • Personal accidents cover to the occupants
  • Voluntary consumables cover

What We Like

  1. Highest incurred claim ratio

What We Didn't Like

  1. No network of garages or roadside assistance

#8. United India Car Insurance

United India offers a policy that allows the vehicle to be changed without any additional charges.

United India has higher incurred claim ratio. The drawback is no network of garages for repairs and fewer add-ons.

United India Car Insurance Incurred Claim Ratio for Motor – 91.72%

United India Best Car Insurance Plan

  • United India Motor Package Policy
  • United India Liability Only Policy

Car Insurance Policy Coverages Include

  • Loss or damage to the vehicle insured
  • Loss of damage to accessories by burglary, housebreaking or theft
  • Liabilities to third parties
  • Personal Accident cover for owner-driver

Add on Covers

  • Extension of geographical cover
  • Personal accident cover for named and unnamed person
  • Addon for electrical and electronic fittings
  • Addon for CNG/LPG bi-fuel kits
  • Addon for fiberglass fuel tank

What We Like

  1. Higher incurred claim ratio
  2. Change of vehicle while continuing on the same policy

What We Didn't Like

  1. No network of garages
  2. Slow processing

#9. ICICI Lombard Car Insurance

Through WhatsApp, customers can get details of their insurance policy without having to enter their personal details in a paper-less transaction.

Through this facility, customers can get details of their insurance policy without entering their personal details in a paper-less transaction. ICICI Lombard also has a network of over 3500 garages.

ICICI Lombard Car Insurance Incurred Claim Ratio for Motor – 77.44%

ICICI Lombard Best Car Insurance Plan

  1. ICICI Lombard Private Car Package Policy

Car Insurance Policy Coverages Include

  1. Loss or damage to the vehicle against natural calamities
  2. Loss or damage to the vehicle against man-made calamities
  3. Third party legal liabilities
  4. Personal Accident cover

Add on Covers

  • Personal accident cover of owner-driver and for passengers
  • Engine cover
  • Zero depreciation cover
  • Return to invoice cover
  • Roadside assistance cover
  • Consumable cover

What We Like

  1. Loss assessment survey within 4 hours
  2. Online policy purchase with minimal paperwork.

What We Didn't Like

  1. Fewer package insurance add-ons

#10. Oriental Car Insurance

Oriental Insurance provides emergency services in case of breakdown in various regions such as Delhi &NCR, Punjab, Haryana, and Himachal Pradesh.

The company also offers a variety of car benefit options, such as 5, 10, or 15 days. This benefit can be used for various purposes, such as paying bills and buying mobile phones.

Oriental Car Insurance Incurred Claim Ratio for Motor – 68.19%

Oriental Best Car Insurance Plan

  1. Oriental Private Car Package Policy

Car Insurance Policy Coverages Include

  • Accidental Loss of or damage to the vehicle
  • Liabilities to third parties
  • Personal accident cover to owner-driver
  • Various add-ons on covers on extra premium

Add on Covers

  • NIL depreciation cover
  • Loss of personal effects
  • Alternative car benefit
  • The free benefit of emergency services

What We Like

  1. Free emergency services
  2. Loss of personal effects covers up to Rs. 10,000
  3. Addon for ambulance charges cover

What We Didn't Like

  1. No network of garages
  2. Low incurred claim ratio

#11. Bajaj Allianz Car Insurance

In case of a breakdown in any of the states of Delhi &NCR, Punjab, Haryana, and Himachal Pradesh, Oriental Insurance has free emergency services.

Aside from these, the company also gives alternative car benefit of up to 15 days. This benefit is applicable to all types of personal effects, including money, credit cards, laptops, and mobiles.

Oriental Car Insurance Incurred Claim Ratio for Motor – 68.19%

Oriental Best Car Insurance Plan

Best
Value Plan
Standard
Value Plan
Flexible
Plan
Premium CostLowRegularEnhanced
CoverageLowRegularEnhanced
Own damage premiumLowRegularEnhanced
Basic Third-party liabilityYesYesYes
PA cover for
owner/driver
YesYesYes
Cover for electrical
accessories
OptionalOptionalOptional
Cover for non-electrical
accessories
OptionalOptionalOptional
PA cover for
co-passengers
OptionalOptionalOptional
CNG kit coverageOptionalOptionalOptional
Driver coverageOptionalOptionalOptional
NCB discountOptionalOptionalOptional
Voluntary deductibleOptionalNoOptional
Depreciation ShieldNoNoYes
Engine protectorNoNoYes
Roadside assistanceYesYesYes




Car Insurance Policy Coverages Include
  • Loss or damage due to natural calamities
  • Loss or damage against man-made calamities
  • Rs. 2 Lac of personal accident cover for the owner-driver
  • Third party legal liability

Optional Add on Covers

  • 24 x 7 Spot Assistance
  • Lock & Key replacement cover
  • Accident Shield for passengers
  • Consumable expenses following an accident
  • Per day conveyance benefit
  • Indemnification in case of personal baggage loss

What We Like
  1. Cashless settlement at 4000 garages pan India
  2. Motor OTS App for minor accidents
  3. Transfer 50% of the previous NCB with a different insurer


What We Didn't Like
  1. Low incurred claim ratio

Benefits of Having a Car Insurance

Car Insurance has following benefits
  1. Ensures that the damages to the third-party are paid by the insurance company.
  2. Covers loss or damage caused to the car against accident, man-made disasters, natural calamities, loss of life of owner-driver.
  3. Roadside assistance, towing and repairs of vehicles in case of damages due to accidents.
  4. Savings time on finding reliable garages and claim settlements.
  5. Availability of host of add on covers to protect, driver, co-passenger and car.
  6. Benefits to family and survivors in case of death due to the accident.
  7. Take care of hospitalization expenses thereby lowering financial liability to that extent.
  8. Pays for expenses like funeral expenses in case of death.

Things to Consider While Buying Best Car Insurance Policy in India

1. Type of Insurance Policy

A comprehensive car insurance policy is a good choice for new and luxury cars. It provides comprehensive coverage and excludes third-party fire and theft protection.

2. Details of Insurance Company

Before buying a policy, it is important to check the financial standing of the insurance company. Look for a company with good reputation and good customer service.

You should also check the number of years in operation, the claim settlement ratio, and the transparency in the process.

3. The Premium of Different Companies

The price and the cover offered by different companies are the biggest factors when it comes to choosing a car insurance policy. Usually, the details are available online at policybazaar.com or another aggregator.

4. Check Deductibles

The lower the deductible, the lower the insurance premium. In case of an accident, the higher the amount will be.

5. Sufficient Coverage

Before buying a policy, check all the covers offered by the company. It is important to note that the coverages are not enough to meet the insurance's purpose.

Make sure that you are neither under-covered nor over-covered.

6. Customizations, Add on covers and Discounts

Private insurers offer the option to pick features and benefits suited to unique individual needs.

Various add-on covers offered by private insurers include comprehensive liability, zero cover, electronic circuit cover, towing support, and personal accident cover.

Check for such flexibility, add-ons and any other discounts offered by the insurance companies.

In short, keep in mind the following

  • Type of Insurance Policy
  • Details of Insurance Company
  • The Premium of Different Companies
  • Check Deductibles
  • Sufficient Coverage
  • Customizations, Add on covers and Discounts


Factors Affecting Your Car Insurance Premium

The insurance premium of a car policy is calculated on the basis of various factors, such as the type of car and the driving record of the individual.

1. Policy Type

Comprehensive car insurance offers greater coverage and hence has a higher premium when compared to third-party car insurance.

2. Model of the Car

Different models of car from the same manufacturer have a different premium, for example, Dzire LXI has a different policy premium than Dzire VXI.

3. Engine Capacity

Higher the cubic capacity (CC) of the car’s engine higher will be the insurance premium amount.

4. Age of the Vehicle

The value of the vehicle decreases with each passing year. This is because the depreciation reduction lowers the amount of the insurance premium.

Therefore, the new cars having higher insured declared value have higher premiums as compared to older cars.

5. Fuel Used

The insurance premium of a car policy is different for different variants, such as petrol, diesel, and CNG. For instance, the third-party premium of CNG is higher than that of petrol.

Different insurance companies charge different premiums for different fuel types. For instance, diesel cars have a higher premium than petrol ones.

6. Installations of Anti-Theft Devices

An anti-theft device is a feature that can reduce a car's chances of getting stolen. Some insurers also offer discounts on their policies when you buy a vehicle with these features.

The maximum discount is Rs. 500.

7. Location of RTO Office

RTO offices are categorized into Zone A and B.

Zone A has metropolitan cities like Delhi, Hyderabad, Mumbai, and Kolkata. In Zone B, the premium is higher in comparison to other cities.

This is because the metro cities have higher traffic and the chances of accidents are higher.

8. Age and Occupation of the Policy Holder

The premium can be lesser for a certain age group. Like some insurance companies offer discounts to experienced drivers aged between 35 to 45 years.

Further, IRDA offers discounts to teachers, government employees, military personnel and chartered accountants.

9. Driving History

A good driving habit can earn you a no-claim bonus.

Additional discounts are also offered with each claim-free year. This benefit can be used to pay down the insurance premium for years to come.

10. Choosing Voluntary Deductibles

Picking deductibles will lower the premium as you will be required to pay for damages to the car in case of an accident.

I keep updating my articles based on the feedback I got from my readers. So share your queries & feedback in the comments.  read more....

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