Car Insurance

Car insurance is a contract between you and an insurance company that protects you against financial loss in the event of an accident or theft. It is a legal requirement in many countries, including India, and a crucial safety net for car owners.

Types of Car Insurance Policies

Third-Party Liability Insurance

Legal Requirement: This is the most basic and legally mandatory type of car insurance.
Coverage: Provides financial protection against legal liabilities arising from an accident where you are at fault. It covers:
- Bodily injury or death of a third party (a person other than the policyholder or their passengers).
- Property damage to a third party's vehicle or property.
Limitation: This policy does not cover any damage to your own car.

Standalone Own Damage (OD) Insurance

Coverage: Covers damages to your own vehicle due to accidents, theft, fire, and natural or man-made disasters.
Usage: Usually purchased along with a third-party liability policy to extend protection to your own vehicle.

Comprehensive Insurance

Coverage: Combines third-party liability and own damage coverage for all-around protection.
Benefits: Covers damages to your vehicle, theft, and third-party liabilities. Also includes mandatory personal accident cover for the owner-driver.
Add-ons: Can be customized with various add-on covers for enhanced protection.

Key Features and Inclusions

Third-Party Liabilities: Covers legal and financial responsibilities for injury, death, or property damage to a third party.
Personal Accident Cover (PAC): Provides financial compensation to the owner-driver in case of accidental death or permanent disability. The minimum sum insured is often ₹15 lakh.
Own Damage: Protects your vehicle from financial loss due to:
- Accidents and collisions
- Theft
- Natural disasters (floods, earthquakes, cyclones)
- Man-made disasters (riots, strikes, vandalism, terrorism)
- Fire, explosion, and self-ignition
No Claim Bonus (NCB): A discount on premium for each claim-free year, up to 50% maximum.
Insured Declared Value (IDV): The maximum amount payable in case of total loss (theft or irreparable damage). Based on the car’s current market value and depreciation.
Cashless Claim Settlement: Allows repairs at network garages without upfront payment; the insurer settles bills directly.

Important Add-on Covers

Zero Depreciation (Zero-Dep) Cover: Also known as “Bumper-to-Bumper” cover. Ensures full reimbursement for replaced parts without depreciation deductions.
Return to Invoice (RTI) Cover: In case of total loss or theft, reimburses the original on-road price of the car (including registration and taxes).
Roadside Assistance (RSA): Offers 24/7 breakdown assistance such as towing, flat tire repair, jump-start, and emergency fuel delivery.
Engine and Gearbox Protection: Covers engine and gearbox damages, especially useful in flood-prone areas.
Consumables Cover: Covers consumable items (engine oil, nuts, bolts, screws) usually excluded from standard coverage.
NCB Protection: Lets you retain your No Claim Bonus even after making a claim.

Common Exclusions in Car Insurance

Driving without a valid license or with an expired policy.
Driving under the influence of alcohol or drugs.
Mechanical or electrical breakdowns due to normal wear and tear.
Using the vehicle for illegal activities such as racing.
Damages occurring outside the geographical coverage area.
Consequential losses (e.g., income loss during repairs).
Pre-existing damages prior to policy purchase.

Protect Your Car with the Right Motor Policy Plan Today

With Bimavale.com, you don’t just buy a policy — you gain a trusted partner in your insurance journey. We help you choose the right car insurance, offer unbiased advice, and ensure smooth claim support for complete peace of mind.

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Car Insurance

Car Insurance

Types of Car Insurance Policies

Third-Party Liability Insurance

Standalone Own Damage (OD) Insurance

Comprehensive Insurance

Key Features and Inclusions

Important Add-on Covers

Common Exclusions in Car Insurance

Protect Your Car with the Right Motor Policy Plan Today