Challans to Make Car Insurance Cover Costlier

In order to curb the rash driving of vehicles, the IRDA (Insurance Regulatory and Development Authority) drafted a proposal to increase insurance premiums. According to this proposal, if a driver is caught drunk driving or rash driving, or talking over a mobile phone while driving, they will be assigned traffic violation points.

These points will keep multiplying with repeat violations. With an increase in these points, a traffic violation premium will get added with Own Damage car insurance premiums, and this will also increase. However, you can take several measures to reduce these premiums.

Ways to Reduce Premiums of Own Damage Insurance Policy

Below are several ways to reduce Own Damage (OD) premiums:

  • Avoid purchasing add-ons that you do not require.
  • Opt for voluntary deductibles.
  • Purchase the policy online to save on commissions.
  • Use your No Claim Bonus to lower your premiums during policy renewal.

It is essential to renew your Own Damage car insurance policy before the existing one expires to continue enjoying the benefits of the No Claim Bonus.

Steps to Renew Own Damage Insurance Policy

Below are the steps that you must follow to renew your Own Damage insurance policy:

Step 1: Navigate to the ‘Standalone Own Damage car insurance policy’ page in the official website of the insurer.

Step 2: Input the personal information and policy details needed.

Step 3: Choose the appropriate cover as per your vehicle’s requirements.

Step 4: Upload all the essential documents.

Step 5: Pay the premium using your preferred payment mode.

There are several add-ons available on a Standalone Own Damage insurance policy that you can choose as per your requirement. As highlighted before, it is crucial to renew your own damage policy to avoid paying high premiums even if you have received traffic violation points from the latest IRDA proposal.

Add-On Covers Available with Standalone Own Damage Insurance Policy

  • No Claim Bonus Protection
  • Zero Depreciation Cover
  • Engine Protection Cover
  • Personal Accident Cover

However, prior to purchasing an add-on cover, you must go through the inclusions and exclusions of your car insurance policy to choose the right one.

Inclusions of Own Damage Insurance Policy

Below are the inclusions of the Own Damage insurance policy:

  • Car damage due to accidents
  • Theft of the car
  • Damage due to fire and lightning
  • Car damage due to natural disasters
  • Severe car damage due to self-explosion

Exclusions of Own Damage Insurance Policy

Below are the exclusions of the Own Damage insurance policy:

  • Damaging of car parts due to ageing
  • Car damages due to mechanical or electrical faults
  • Vehicle depreciation
  • Personal accidents due to rash driving or intoxication
  • Accidents outside geographical region mentioned in the policy

Now that you know the inclusions and exclusions of the policy, you must make an error-free claim of your insurance policy to avoid rejection.

Steps to File an Insurance Policy Claim

Below are the steps by which you can make a claim on your vehicle’s insurance policy:

Step 1: Intimate your vehicle insurer about the incident.

Step 2: File an FIR of the incident.

Step 3: Drop your vehicle at a garage for repair.

Step 4: Keep all receipts of your vehicle’s repair intact.

Step 5: Submit these bills to your insurer for reimbursement.

Step 6: The insurer will verify the claim and pay you the reimbursement amount.

In case of a cashless claim, the insurer will directly pay the money to the garage. An Own Damage car insurance policy is essential for people who reside in an accident and natural calamities-prone area. However, you must keep in mind that to drive as safely as possible to avoid getting a challan and subsequent increase in the insurance premiums of your car. Moreover, if you want to save more money, you can save a lot in taxes if you buy electrical cars instead of the fuel ones.

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