5 Reasons Why Car Insurance Is Mandatory In India

5 Reasons Why Third-Party Car Insurance Is Mandatory In India

In India, there are three types of car insurance:

  1. Third-Party Car Insurance: If your car is at fault for an accident, this third-party insurance will pay for any injuries or damages to uninvolved parties. The Motor Vehicles Act 1988 mandates that all vehicles in India have third-party insurance at the very least. 
  1. Standalone Own-Damage Insurance: This protects your car against any damage. The loss or damage may result from a theft, natural disaster, or accident.
  1. Comprehensive Cover: As the name implies, comprehensive coverage includes any losses or damages to a third party or your vehicles. All of these policies can be accessed using a car insurance mobile app.

Reasons Why Car Insurance Is Mandatory:

  1. Ensures The Third Party’s Injury May Be Treated Medically: The cost of network hospital care can be high if a third person is hurt in a car accident. With third-party insurance, the insurance provider pays for the procedure, ensuring that the third party receives the necessary care. Additionally, it releases the owner-driver of the vehicle from any financial responsibility to pay for the treatment. Claims are subject to terms and conditions set forth under the motor insurance policy.
  1. Ensures That Damaged Property May Be Repaired: What occurs when a driver must swerve suddenly to avoid hitting a parked car while trying to save a stray dog in the middle of the road? The owner-driver of the first car may be held accountable for any damage to the other vehicle. However, their provider may cover the third party’s repair expenses if they have third-party insurance. The insurance policy can be effectively managed using a quick car insurance app. Claims are subject to terms and conditions set forth under the motor insurance policy.
  1. Provides A Financial Safety Net To the Owner-Driver: In the unfortunate event that the owner-driver suffers injuries that result in a permanent disability, the immediate implication is that they will not be able to support themselves financially. The car insurance provider gives the owner-driver financial compensation in this situation. The owner-driver is guaranteed a dignified life because a third-party car policy is required in India. Claims are subject to terms and conditions set forth under the motor insurance policy.
  1. Provides Financial Support To Surviving Family Members: Thousands of people pass away in car accidents each year. Even though passing away causes loved ones great sorrow, the consequences of the person’s passing are also profound. If the owner-driver is the only source of income for the family, their passing could put the family under stress and create financial instability. As part of the personal accident cover, the car insurance provider pays monetary compensation to the heirs. Claims are subject to terms and conditions set forth under the motor insurance policy. *
  1. Provides Comfort To The Mind: A network hospital visit today can result in a hefty bill, even for relatively minor problems. This is why it ensures that the focus can be on recovery rather than the financial burden of medical care when your car policy covers the third party’s network hospital bills. If the owner-driver has comprehensive coverage, their medical care may also be guaranteed without worrying about how to pay for it. Suppose the owner-driver is involved in a car accident and suffers a permanent disability or passes away. Make sure you carry out the process of car insurance renewal online to avail of uninterrupted coverage.

Get insured anytime, anywhere! Check out Bajaj Allianz General Insurance website to learn more and download the app now.

*Standard T&C Apply

Insurance is the subject matter of solicitation. For more details on benefits, exclusions, limitations, terms, and conditions, please read the sales brochure/policy wording carefully before concluding a sale.

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