The premium is perhaps the most important component of your car insurance cover. Unless you pay your premiums on time and at regular intervals, your car plan won’t remain active. The premium also reflects the kind of benefits you stand to get out of the insurance cover. For example, if your premium is higher, it may indicate towards a more comprehensive cover or a cover filled with riders. Read on to know more.
How to buy a premium in car insurance?
The payment that you make for your car insurance plan is nothing but the premium. This is why some people feel that they are buying the premium, and not the actual car cover! This is incorrect as the premium is just a medium for you to do business with your insurance provider. You pay the premium and in return, your insurer assures you to secure you financially against various risks as per the terms and conditions of the policy.
These are the different premium payment methods available in car insurance. You can choose the mode that suits you the best and then manage your car insurance premiums accordingly.
Deals and offers in premiums for car insurance in India
You can find many deals and offers in premiums for car insurance in India. There are certain discounts such as the no claim bonus that you can use. Some of them are:
- Installation of safety gadgets: You can expect to get discounts when you install safety gadgets in your vehicle approved by ARAI (Automotive Research Association of India). This is because a major component of car insurance is the theft cover. With a safety gadget in place, your car and its precious parts are more secured and less prone to get stolen. This immediately pulls down the overall risk of the vehicle. Keeping this very significant point in mind, the insurance provider offers a discount on your car insurance premium.
- Clubbing different policies: If you already have a health insurance plan or recently purchased a travel insurance plan, look to buy the car insurance cover form the same insurance provider. When you club all your general insurance plans under a single insurance provider, the insurer sees you as a loyal customer. This is given great value and you end up, in most cases, with a discount on your car insurance premiums. So try this simple trick and you may just end up saving a lot of your precious, hard earned money in the process.
- No claim bonus (NCB): The no claim bonus or the NCB as you may know it, is a discount you get if you complete a successful claim free year. So be a cautious driver and avoid getting involved in serious road accidents. If you can stay away from making claims on your car insurance policy for the existing policy year, the insurance provider will offer a discount on the premium of the following year. With the help of this very useful no claim bonus, you can successfully reduce your car insurance costs.
It can therefore be seen that you can considerably reduce your car insurance costs if you explore the various available options. Speak to your insurance provider about these deals and offers when buying a car plan as when as when renewing one. You may just end up getting some very exciting and cost-effective deals in the process!
Compare to locate deals
If you are really keen to find the best deals at the best prices, we would highly recommend you to compare the available options on insurance aggregator website like Coverfox.com. It is only when you compare that you come across the different plans, their prices and also the discounts they offer. In an attempt to stay ahead of the competition, certain insurance providers offer their car insurance plans at attractive rates. Make use of this and hunt for an inexpensive cover. You will benefit a lot when you compare car insurance, so do not make the mistake of skipping this step.
The bottom line
So as you can clearly see from the points mentioned above, the premium plays an extremely crucial role in car insurance. You must be meticulous and disciplined and never forget to pay your premium. The premium is what assures you will get the claim. And since you never know what trouble lies at the next corner, you should always keep your car insurance cover active. Choose your car insurance cover me carefully, pay the premium on time and coverage to the fullest.