Motor insurance is a type of policy that provides financial protection to vehicle owners against damages or losses resulting from accidents, theft, fire, natural disasters, or third-party liabilities. It covers cars, two-wheelers, and commercial vehicles as per the policy terms. Comprehensive motor insurance provides wider coverage by including both third-party and own vehicle damages.
What is Motor Insurance?
Why Choose Motor Insurance?
Motor insurance is essential because it protects you from financial losses arising due to accidents, theft, or natural disasters. It also covers legal liabilities if your vehicle causes injury or damage to others. In India, third-party motor insurance is mandatory by law, ensuring legal compliance. A good insurance policy provides peace of mind, knowing that unexpected repair or replacement costs are taken care of. It also offers valuable add-ons like roadside assistance and zero depreciation cover for complete protection.
Types of Motor Insurance
Third-Party Liability Insurance
It covers damage or injury caused to another person, vehicle, or property by your vehicle. It does not cover your own vehicle's damage.
Comprehensive Insurance
This plan offers extensive protection, covering both third-party liabilities and own vehicle damage due to accidents, theft, fire, or natural disasters.
Standalone Own Damage Insurance
This only covers damage to your own vehicle and must be purchased in addition to a third-party policy. It’s useful for added protection if you already have third-party coverage.
Pay-As-You-Drive Insurnace
A usage-based policy where the premium depends on the number of kilometers driven. It's best suited for those who don’t use their vehicle frequently.
Commercial Vehicle Insurance
Designed for vehicles used for business purposes, such as trucks, taxis, or delivery vans. It covers both third-party and own-damage liabilities under commercial use terms.