Car insurance is mandatory when driving a car on the road. If you don't buy car insurance, you can get a fine and even imprisonment for this offence.
But that should not be the motivation to buy car insurance for your car. It's better that you know what the benefits of car insurance are. That's why we have compiled a list of benefits that car insurance companies offer with their car insurance policies.
Understanding Car Insurance
Before we learn about car insurance benefits, let's first understand what car insurance is. It is a type of insurance that covers your car and the cost of any damage to your vehicle and other vehicles while on the road. Moreover, it also gives medical protection to you and the third party involved in the accident as per the insurance type you choose. There are many other things that car insurance has, but you should know about the two main components.
- Own Damage
The damage component provides coverage for the damage that happens to your vehicle. It is not a mandatory component of car insurance.
- Third-Party Cover
Third-party cover is the most important component of car insurance. As its name refers, it covers your third-party liabilities, meaning the expense you must pay the third party. Now, you should also understand that a third-party cover can also be a standalone insurance, and it is mandatory to carry at least a third-party insurance.
Benefits of Car Insurance
Now that you have learnt why having car insurance is a must, let's uncover the benefits of car insurance.
- Accidental Coverage
One of the most important car insurance benefits is accidental coverage. While on the road, a car may be involved in an accident for various reasons. Hence, it attracts a lot of expenses, one of which is the repair cost. However, if you have comprehensive car insurance, the car company pays this repair cost. So, you save a lot of money, but that's not the case yet. Apart from the cost of repair, comprehensive coverage also pays for the cost of healthcare, such as medical tests and bills.
- Third-Party Coverage
As you just learnt above, third-party car insurance is mandatory for a car to be on the road. But let's now see the benefit of it. Third-party insurance covers your third-party liabilities. So, if you get into an accident and the other party receives any damage, the insurance company will pay for the damages.
This way, you are left with no liabilities after an accident. But if you don't have third-party insurance, you will not have to pay for the damage from your pocket, and it will also be a criminal offence.
- Theft and Natural Calamity Cover
Another benefit of a comprehensive car insurance policy is the theft and natural calamity coverage. This coverage protects you from financial loss due to the theft of your car or damages due to a natural calamity like a flood. For instance, if a car gets stolen but is covered with comprehensive car insurance, the insurance company will pay the total insured sum to the individual. Similarly, if a car gets damaged or totalled due to a natural calamity like a flood, the company will also pay for it.
- Roadside Assistance
Now, many car insurance companies also provide you with a feature called roadside assistance. It can be a lifesaver feature in your car insurance because sometimes you may have an accident or get stranded on an empty road where there's nothing for kilometres. In that case, the roadside assistance feature provides instant help, like sending a towing service to tow your car to the nearest fuel pump or garage.
However, you may not get this feature with every car insurance as it differs from the insurance company. But with Future Generali car insurance, you always get roadside assistance 24/7. So, click here to check out the range of car insurance online by Future Generali and choose the best car insurance for yourself.
- No Claim Bonus
This is one of the auto insurance benefits you can only avail if you have a comprehensive car insurance policy. A car insurance no-claim bonus is a discount on your damage cover when you don't make a claim throughout the year.
Let's say you have comprehensive car insurance and didn’t make any claim for the whole year. So, when you renew the insurance, you get a 10% discount on the OD. And if you keep the streak of making no claims, the discount increases by 10% each year up to 50%.
In summary, these are the auto insurance benefits that you get. With these benefits, you should understand that car insurance is not only mandatory but also offers a lot of financial and mental support. Hence, getting it as soon as you own a car is better. To buy the best car insurance online, check the Future Generali car insurance here.
