Car insurance market is a volatile market. You cannot predict what will happen the next day. There are very few people who understand the economics behind the premium rates rising and falling every now and then. With this existing uncertainty it becomes difficult to make a decision. But, as the saying goes; nothing is Impossible! If you really want to buy the best car insurance policy you need to pay attention to what needs to be done and what not. The situation becomes more confusing when you step in the real world. There are hundreds of insurance companies willing to sell their products either online or offline. And thus, everybody tries to portray their product as the best. For someone who is not aware about the insurance world, will find it really difficult to strike a good deal!
Below mentioned are few points that will help you reach towards a right decision regarding which policy to buy. Try to incorporate these points in your daily life when you actually buy an insurance policy. All these tips apply in both cases; whether you buy the insurance policy online or offline.
Do not always choose a policy that is cheap!
Car Insurance Policy is not a new concept these days. But, what to look for while buying the policy is still not clear too many people. With half of the information with them, they just step out of their homes with full confidence and regret later on the decision that they made.
If your main objective while buying the insurance policy is to keep it at low price, you are going in the wrong direction. In order to pay less, you may forego something really important and crucial; a suitable coverage. It is better that you compromise on the quality of shoes that you wear rather than compromising on something that deals with your life. One should learn to maintain a perfect balance between his or her budget and the insurance costs.
It may feel good for the initial period, by paying a lower premium installment, in comparison to your friends and relatives. But after an incident happens, and you ask for a claim from the concerned company, reality will hit you back really hard.
Avoid this situation and look for an insurance policy that really fits in to your need. Obviously, one cannot ignore the financial aspect attached with buying the Car Insurance Policy, but making it your only aim does not make sense either.
Get in touch with an insurance agent
Do you want to buy car insurance online? Well, if that is the case, it is better that you take help of some expert services. Not only online, even if you buy the policy offline from one of the best car insurance companies, taking help of an insurance agent always works!
People are of the mindset that they are clear with everything related to the policy they are buying. And, later on, when they reach out to the insurance company for the purpose of asking claims, they come to know many new clauses that were mentioned in the contract from the beginning but were unknown to them. To get rid of any such confusion, it is better than you hire a personal insurance agent and take guidance from him or her regarding what to do and what not to.
Also, you can approach an insurance broker as he or she deals with different companies. Thus, you get a range of companies to choose from.
Do not think about the cost of hiring an agent, rather look at the benefits that you avail from the same. If you face a situation wherein you are not able to understand what to do, just go for a cost-benefit analysis and then analyze the results. This will give you a clear understanding.
Jack up your deductibles!
The higher the deductibles, the lesser the premium you need to pay for your car insurance policy. But be wise enough in deciding the deductibles. Don’t increase your deductibles too much, that goes far beyond your affordability.
The main reason behind increasing the deductibles is that your insurance policy can then be used to finance some really huge losses because you yourself pay for the damage that is affordable.
If you enhance your deductibles from INR 200 to INR 1000, your premiums will reduce by nearly 40 percent.
Consult someone in your family or your insurance agent before deciding the deductibles because in this way you take risk on your own shoulders. If, at any cost, you make a wrong decision, it will really cost you a lot. Therefore, be very careful with this. Again, it is recommended that you invite suggestions from a professional person who can guide you the best.
Choose your insurance policy smartly!
Only you know what you exactly want and what not! Therefore, it is you who can choose the best car insurance policy for your own self, right?
If you want your Car Insurance Policy to be the best deal ever you need to analyze certain things before buying it. How much can you afford to pay? What type of coverage do you want? How good are your driving skills? What is your main motive while buying the insurance policy? Do you prefer to buy car insurance online or offline? Are you clear with the terminology used in your contract? Do you need help from any insurance agent or insurance broker? Is there any need to consult your family before making a final call?
These are few questions that need to b answered before you buy the policy. Engage yourself in thorough research and then come to a conclusion. Make sure all your requirements are fulfilled by your insurance policy. Think about the long run and be practical enough while making choices.
Take into consideration the reputation of the insurance company
Do not buy an insurance policy from a particular company just because one of your friend or a relative bought it from the same company. Make your own decision.
List down the names of all the top companies that provide with the best Car Insurance Policy. Dig into the reputation and the financial status of these companies. Check the past records, the claim settlement ratio etc. These parameters will help you to judge about the goodwill of the concerned company. Only if you are satisfied, buy the Car Insurance Policy from the concerned company.
It would be useful to take help of an insurance broker for the same purpose.
Avoid making payments in installments
Generally, people find it easy to pay the premium in installments as it reduces the burden. But, if you can avoid this and afford to pay your premium in lump-sum, prefer doing it. Many insurance companies add on some extra amount when you pay the premiums in monthly or quarterly installments. This also applies to the case when you buy car insurance online. Just check the difference in the costs in both the cases and opt for what suits you the best.
Do not miss out on the Steal Deals!
Consider a situation. You bought a Car Insurance Policy a year back. Fortunately, no such event occurred where you need to ask for a claim from your insurance company. This is a kind of steal deal. In such a situation, your company will reward you with a No claim Bonus ranging between 30 percent to 60 percent for five years. Isn’t it amazing?
But one can only avail this benefit, if he or she is aware about it. And there are many people who are still not completely informed with all such kind of perks of buying an insurance policy.
You can receive many such opportunities from your insurance company. For example, if you install anti-theft devices that are ARAI approved, you get a discount of 2.5 percent on the damage premium. There are many other ways of getting discount, provided you know that all such incentives exist.
If you want your Car Insurance Policy to be a success and not just a waste of money, follow the above mentioned points and do more research. There is a proper way of doing everything; and the same rule applies for buying a car insurance policy. Do not just blindly buy any insurance plan which does not fit with what you actually need and complain later.
Buying an insurance policy is a one-time investment and is a very crucial investment.
Be a wise and alert buyer. You are paying for every single service that the company provides. Act rationally!
All the Best!