Things to Know Before You Buy Car Insurance

In India,third-party car insurance is mandatory by law. While many car owners buy car insurance because of this legal requirement, a more prudent approach would be to purchase it to protect your vehicle from unforeseen damages. Whether it’s minor repairs or a major accident, having the right car insurance policy ensures you're financially covered during challenging times.

Before purchasing a new car insurance policy, it’s crucial to understand your needs, the different types of coverage available, and how each aspect of the policy impacts your premiums and protection. Here’s an updated guide to help you make an informed decision when buying car insurance online.

At Liberty General Insurance, we offer a variety of car insurance options tailored to different needs:

1. Liability Only Car Insurance:
   • Coverage: This policy covers the damage caused to another person's vehicle or property due to your car.
   • Ideal for: Those who only need mandatory coverage for third-party damages.
2. Stand-Alone Own Damage Insurance:
   • Coverage: Covers damages to your own vehicle due to natural disasters, theft, vandalism, etc.
   • Ideal for: Those who need protection for their own car, not just third-party coverage.
3. Comprehensive Car Insurance:
   • Coverage: A combination of liability-only and own-damage coverage. This is the most complete policy as it also covers damages to your vehicle in case of an accident.
   • Ideal for: Those who want all-around protection for their vehicle and third-party liabilities.

If you want to customize your car insurance, we offer add-on coverage options based on the age and specific needs of your vehicle. Get in touch with us to personalize your policy according to your requirements.

1. Evaluate What You Need from Your Car Insurance

Before buying a new car insurance policy, assess your specific needs based on factors such as:

• Regular travel routes
• Driving habits
• Common environmental threats (e.g., floods, hailstorms, road conditions)
• Common risks (e.g., accidents, theft, or vandalism)

These factors will help you better understand what kind of coverage is necessary for your car.

2. Basic Coverage and Add-Ons

While third-party insurance provides basic protection for damages caused to a third party, it’s essential to think about additional add-on covers to fully secure your vehicle. Add-ons can enhance your protection and offer comprehensive coverage.

At Liberty General Insurance, we provide a range of add-ons, including:

• Depreciation Cover
• Consumables Cover
• Roadside Assistance Cover
• Passenger Assistance Cover
• Engine Safe Cover

Explore these add-ons to customize your policy for enhanced protection.

3. Understanding the Relationship Between IDV and Premiums

The Insured Declared Value (IDV) represents the car’s market value, and it directly influences your insurance premium. The IDV is typically lower for older vehicles and higher for newer ones.

• Lower IDV = Lower premium
• Higher IDV = Higher premium

It's important to choose an IDV that reflects your car's current market value to avoid under-insuring or overpaying for your premium.

4. Check the Claim Settlement Ratio

The Claim Settlement Ratio indicates the percentage of claims settled by the insurer compared to the total number of claims filed. A high ratio indicates reliability and efficient claim handling. This information is published regularly by the Insurance Regulatory and Development Authority of India (IRDAI).

Keep in mind that the claim ratio should not be the sole factor in your decision-making. Look for insurers with a solid track record of resolving claims and good customer support.

5. Hassle-Free Claim Settlement Process

When you buy car insurance online from Liberty General Insurance, you’re assured of seamless support throughout the lifecycle of your policy. From claim settlement to policy renewals and add-on cover options, we’re committed to making the process easy and stress-free.

Why Choose Liberty General Insurance?

• Comprehensive coverage options
• Customizable policies to meet your needs
• Efficient and transparent claim settlement process
• Trusted customer support and assistance

Conclusion: Make the Right Choice with Liberty General Insurance

Choosing the right car insurance policy is essential for protecting your vehicle from unexpected situations. Whether you’re looking for third-party insurance, a stand-alone own damage policy, or a comprehensive package, we offer tailored options to meet your needs.

Get your comprehensive car insurance online today with Liberty General Insurance and enjoy peace of mind knowing your car is protected.