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ATK
New Delhi [India], March 26: Motor insurance also known as vehicle insurance is of mainly two types, car insurance and bike insurance. There are many factors affecting a bike and car insurance price such as IDV, age of the vehicle, geographical location, and more. Want to know more about motor insurance? If yes, then continue reading and get to learn more. What is Motor Insurance? Motor insurance is a type of insurance that provides protection to your like cars, bikes, commercial vehicles, and all other vehicles against unforeseen circumstances. There are broadly two types of motor insurance, car insurance and bike insuurance. Moreover, when it comes to motor insurance, it is important to note that a third-party car and bike insurance is mandatory as per the Motor Vehicles Act of 1988. So, if you have bought a new vehicle, you must make sure to buy car or bike insurance online with Acko depending on the type of vehicle you have purchased. Explaining the Types of Motor Insurance Listed below are the different types of motor insurance that you should know about: - Car Insurance: This is a type of motor insurance plan that provides financial protection to private-owned vehicles against any unforseen event. Under this type of car insurance plan, you will get coverage for your vehicle against damage due to fire explosions, accidents, theft, or more. - Two-wheeler Insurance: A two-wheeler insurance plan protects your bikes, scooty, and other two-wheelers against any damage due to accidents, fire explosions, or such events. Like other motor insurance plans, a third-party two-wheeler is a must-have to comply to legal compliance. - Commercial Vehicle Insurance: A commercial vehicle insurance ensures protection for all those vehicles that are not used for commercial purpose such as trucks, buses, ambulance, cabs, etc. Furthermore, both car insurance and two-wheeler insurance is also classified into Comprehensive, Third-party, and Standalone Own-damage plans. What is Covered Under Motor Insurance?Wondering what all is covered under your motor insurance plan? If yes, then continue reading and learn more: - Third-party Coverage: If there is any damage to a third-party or their property due to your vehicle, then such damages will be covered under a third-party motor insurance plan. As already stated, insuring your vehicle against third-party damages is mandatory for all vehicle owners. - Comprehensive Coverage: This ensures complete coverage to your vehicle as it provides financial protection if your vehicle is lost or stolen or damaged due to any accident, natural disaster, and other unpredictable events. - Own-damage Coverage: Under this you will get protection against damages to the insured vehicle only. - Personal Accident Coverage: This includes coverage to the vehicle owner in case they meet an unfotuante demise due to an accident of unforseen event. As dicated by IRDAI, all the insurance companies are bound to provide Personal Accident Coverage of at least Rs. 15 lakhs. Factors that Affects Motor Insurance PremiumsThere are a number of factors that affects the premium of motor insurance (car and bike insurance) such as those listed below: - Fuel Type: Depending on the fuel type of the vehicle, the premium of motor insurance plan will accordingly vary. Typically, the premium of diesel vehicle is higher than that of petrol. - Insured Declared Value (IDV): The Insured Declared Value or IDV refers to the current value of your vehicle. IDV is directly proportional to motor insurance premiums, this means that higher the IDV, the higher will be motor insurance premium. - Driver's Record: Depending on the driver's past record, the premium of motor insurance will again vary. For instance, those with a bad driving records will have to end up paying higher premiums. - Make and Model: Another factor that affects the motor insurance premium is make and model of the vehicle. The premium of motor insurance will be higher for SUVs, hatchbacks, sport cars, as compared to others. - Add-ons: The more add-ons you include in your motor insurance plan, the more will be the premiums. However, including add-ons also ensure additional coverage for your vehicle. Summing UpThus, with motor insurance plan, protect your vehicle against potential damages and drive stress-free. You can also get the motor insurance plan customised as per your needs and budget. (ADVERTORIAL DISCLAIMER: The above press release has been provided by ATK. ANI will not be responsible in any way for the content of the same)
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