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When are you planing to sell your current car?

Sell your car without insurance, keep the copy of sale papers, submit the sale proof to insurance company along with your original policy. by submitting these documents you should get the NCB letter. which can be used to claim NCB in your new purchased car.

I am actually waiting for a details of fortuner or else may go for innova. Please tell me how can I sell my car w/o insurance? Will the buyer agree to this?

Yes why not?

You can tell him that you want to get the refund of premium and NCB.
He can go for new insurance policy when he is buying a car.

I am in the same situation. I sold my wagonR this week. Insurance is renewed upto March 2010. Total price was agreed based on the insurance. I have a NCB of 25% as of now. Is there any other way that I can transfer my NCB to my new car (which is not yet decided and booked).? Now its too late for me to get my insurance paper back from the new buyer and do the rest as suggested in the above post. Thanks.

NCB certificate is valid for three years from date of issue.

Tell the new owner to transfer the insurance policy in his own name. Doing this you can still have a chance to get the NCB certificate.

I think I got a good deal finally. Bajaj Allianz it is still.

Got my 2nd year insurance for my Verna CRDi 2008 model done.

Insured value now is 6 lacs ( first year was 7.1 lacs ). Diesels depreciate faster according to the Insurance companies.

So at 6 lacs insured value - Premium is caculated at 3.19 % which comes out to 19,140.00 rupees.

On this I get a 30 % Discount from the insurance company
And Also I get a NCB of 20 %.

After adding the 3rd party Liability + PA Ins for 5 persons & VAT - The total figure came out to 13,100 Rupees !

Not bad considering I paid 22,000 Rupees the first year when I bought the car new.

Good deal vkochar! But lately Bajaj Allianz has become even more conservative. They dont give more than 30% discount. I shifted my policy from Bajaj to Reliance.

Good Deal :thumbs up

Not the correct thing sirji, Bajaj still offers up to 40% discount.

On my recent car purchase I received close to 40% discount from Bajaj!

I got my car insurance renewed last month with IFCCO-Tokyo. Earlier I had the car insured by HDFC. Various terms and Values for Cars less than 1500 CC are as follows:

Show Room Price of the Car A
Number of Years of Car A1
Value of Electrical Accessories B
Age of Electrical Accessories B1
No of Years without Cliam C
IDV of Car D = A* POWER(0.85, A1) Depreciciates by 15% of the last years IDV every year for first 5 years. Thereafter it is decided by the Insurer
IDV of Electrical Accessories E = B* POWER(0.85, 81) Depreciciates by 15% of the last years IDV every year for first 5 years. Thereafter it is decided by the Insurer
Basic OD Premium F = 0.032* D Basic Own Damage Premium is 3.2% of Car IDV
Premium for Electrical Accessories G = 0.04* E is 4% of the IDV of Electrical Accessories
Total Basic Premium H = F+G
Discounts
OD Disocunt Varies from 30% to 40% Try for the Maximum you can get.
NCB Bonus Varies from 0 to 65% 20% for the first year and 25% for the second year
Value of Security Discount I = 0.025*H This is 2.5% of the total premium
Final OD Premium J = H-I
TP 925 Mandated by GoI
Total Premium K = J + 925
% of Service Tax L = 0.103* K Service tax currently is 10.3 %
Total Payable P = K + L

All formule are copied from my excel sheet.

This is totally based on my experience. I got the quotations from IFCCO-Tokyo, Bajaj Allianz, Tata AIG, HDFC, Bharati Axa and Relienace.

Ok guys I have a query. Insurance on my 2005 Indica V2 DLS is coming up for renewal. My current insurer is Royal Sundaram who have stayed my insurer from day one.

Now I have two queries,
* Till last year the IDV on my car was 2.75 lacs (leaving the small change aside). However during the renewal last year they all of sudden reduced the IDV to 2.20 lacs. Now that is a pretty steep fall in a year. They had no convincing answer to it. Does this IDV for a 3 year old car looks ok to you (it started the 3rd year last year when the insurance was renewed)? I have a suspicion that with the change in the tarriff structures they have doctored their IDV lookup tables suitably to keep the premium look small to their clients.

* This year I was wondering whether to go with a different insurer. BA's site says the IDV for my car should be 2.14 lacs (much smaller fall). By the way, I got curious as the lady who called me and offered different insurers than RS wanted to know whether I have had any claims in the past and what is my NCB. This has set me thinking. What stops me from claiming a fictitous NCB? Is their a standard national database for cross checking things like past claims, accumulated NCB etc? I do not think a rival insurance co. will ever share such detail with their competitor who snatches away their business. So is it entirely the prospective customer's claim by which they go?


EDIT: some clarification on Point 2. Its sheer lunacy. Actually BA's site agrees to a claimed IDV of upto 236000 but while calculating the premium it just refuses to accept anything more than 1.79 lacs as the IDV for my 3 years old car (it will begin its 4th year next month)!!!

This is madness. What is the basis for such stupid calculations? At this rate within another 2 premium years they will drag down the IDV to less than a lakh. Whereas 5 year old Indicas in tip-top condition, like mine is, go for anything upto 2.4 lacs(for the ones in really good condition) here down south. How much can the prices vary elsewhere in the country? This calculation looks absolute stupid to me!

1. Last year what was done was only one thing that is reduction of IDV for lower premium. - There is no other logic.

2. As off now there is no such data sharing done for NCB or for claims as well. Let me tell you that all companies are thinking on same grounds and on same lines to reduce the losses but till now nothing has been done till date.

(I think only Bajaj has this system where they have some minimum and maximum value of IDV system.)

The IDV of the car goes down by 15-20% every year! Seems like they have offered you the least IDV to provide the cheapest quote.

No their is no national database to check for fictitious NCB. But there is a law of Utmost Faithfulness. At the time of claim settlement, they will not settle a single penny of yours if they find any information which was incorrect when provided by you!

These IDVs are not to be confused with resale value of your car. Once your car has completed 5 years, the agent will come and physically asses the car to check the IDV. And the IDV will be reduced further (much more than 20% of the previous IDV). Many a times he will suggest you to go with only TP (which is mandatory by law).

I think there is no such law which says this thing that, the vehicle has to be checked by insurance company after 5 year's or so. your IDV has to be the resale value of your car and not more then that or not less then that also.

That's reason why it is called Insured Declared Value and not the Insurance Company Declared Value or the Surveyor Declared Value or Agent Declared Value.

Only T.P. is suggested to take only after 10 year's age car's.

I beg to differ!! Please try getting a quote saying that this is for a car in its sixth year and they will ask for a checkup of the car.
Every car has been used uniquely. 5 years is a long time and there are many defects which are unforeseeable without an expert's intervention. And hence this calls for a verification. But at the same time, the cut throat competition forces the agent to sell policies by avoiding these mandates and signing off the documents saying verified. Thus the customers claim that the private insurer has been more understanding of their constraints and the Nationalized insurers ask for so many more thing. This is how the private insurers gain markets.

Theoretically speaking, IDV should be the resale value of the car. But, IDV is not the resale value of car. I have never seen or heard any one buy a used car by simply checking the IDV of the car in the latest insurance policy!
IDV is a mututally agreed value of the property, between the insurer and policy holder, which will be paid in case of total loss of the property due to a covered peril.
Ususaly, people dont expect to loose the complete property and hence they settle for a lower IDV than what they will like to sale the property for. This brings down the premium but, at the same time, almost all of the losses are still covered by the policy.

Hope I am making some sense and not confusing anyone here.

Some Start up information about Indian Car Policy:

IndiaAutomobile.com