Top 5 Car Insurance Companies in India

Acko General Insurance

Acko General Insurance is emerging as one of the best insurance companies. They offer up to eight types of car insurance plans to cater to the needs of a wide set of customers. Their insurance procedure is almost paperless with minimum document requirements. Moreover, their claim settlement process is quick, and they provide good customer support in case of need.  

Go Digit Insurance   

Go Digit Insurance offers its customers a pick-up-repair-drop facility for their damaged vehicles. This unique service offered by Go Digit makes it one of the sought after insurance companies. Their plans are available at low cost and their claim process is hassle-free. 

IFFCO-TOKIO General Insurance Company

IFFCO-TOKIO is a reputed company in the insurance sector with a claim settlement ratio of up to 95%. Their insurance policy covers personal accidents, third-party insurance, and damages and provides up to eight customizable add-ons. Moreover, their policy comes with zero depreciation and 100% coverage for metal parts and fibre. 

Tata AIG Insurance

TATA AIG’s Comprehensive Car Insurance Policy provides coverage for own damage and protection against third-party damage. The policy also comes with 12 add-ons such as zero depreciation, return to invoice, No Claim Bonus (NCB), daily allowance, emergency roadside assistance, etc. Moreover, they also offer personal accident coverage of up to Rs.1 lakh for co-passenger. 

HDFC Ergo Car Insurance

The HDFC Ergo Comprehensive Car Insurance provides up to 12 add-on covers to its customers with a personal accident coverage of up to Rs.15 lakh. The policy also comes with zero depreciation cover, and up to 50% discount on policy renewal premiums under NCB.

Their claim process is hassle-free and requires minimum documentation. 

Factors That Affect Car Insurance Premiums 

The following factors affect car insurance premium: 

1. Number of claims: The frequency at which you raise claims directly affects your policy renewal premium. Most of the companies give up to 50% discount on policy renewal premium if you have not raised a claim for five consecutive years. 
2. Coverage/ Add-ons: The cost of your car insurance premium will be high if you have opted for a wider coverage with multiple add-ons. However, these add-ons are helpful in times of need. In case of bad accident, you wouldn’t have to pay much if you have opted for add-ons like zero depreciation, third-party liability, etc. 

1. Insured Declared Value (IDV): Insured Declared Value is basically the current market value of your car. With passing time, the IDV of your car will decrease. IDV is directly proportional to your insurance premium, which means you will have to pay high premium for high IDV. 
2. Car’s model: Your car model is another factor that affects the amount of your insurance premium. If your car runs on CNG, you are likely to attract high amount of premium. 

Tips to Buy the Best Car Insurance Policy

Make a note of the following tips before you buy a car insurance: 

1. Check for discounts: Keep an eye for discounts and deals offered by the insurance providers. If you happen to come across a great deal, your policy cost will be reduced. 
2. Make a note of IDV: Your IDV is directly proportional to the amount of premium you will have to pay. The higher the IDV, the higher will be your premium amount. That is why, it is important to calculate IDV properly. 
3. Check the claim settlement ratio of the insurer: The claim settlement ratio indicates the number of claims the company had received and the number of claims they have settled. A high claim settlement ratio indicates that a company has a good track record.  
4. Check for policy with low deductibles: Deductible is the amount which you have to pay to the insurer before the company settles any claims. Look out for a policy with low compulsory deductibles.