Team-BHP > Team-BHP Reviews > Indian Car Loans & Insurance


Reply
 
Thread Tools Search this Thread
Old 18th July 2008, 22:26   #31
Distinguished - BHPian
 
Join Date: Apr 2007
Location: Pune
Posts: 2,980
Thanked: 2,651 Times
Default

Quote:
Originally Posted by nemo View Post
Anand that's a good point and I'm not sure many of us are aware and use this effectively to reduce the premium. Thanks for sharing.
You are welcome.
Hope this works for everyone.

I will post how it goes for me once I have the quote from Bajaj Allianz in hand.
anandpadhye is offline  
Old 22nd July 2008, 18:04   #32
Distinguished - BHPian
 
itwasntme's Avatar
 
Join Date: May 2007
Location: BANGALORE
Posts: 5,036
Thanked: 7,224 Times
Default

Hi anandpadhye,

Maybe a silly question but does the deductible take effect AFTER the bits we have to bear anyway or BEFORE?

Say for example someone rear-ends my Aveo. I receive an estimate of 20k of which the insurer will bear only 17k with rest being the depreciation on bumpers/plastic/rubber items etc. Now if I have signed up for a voluntary deductible of 5k, how much will I end up paying? 12k (17-5) or 15k (20-3-2)?

If I did NOT have any voluntary deductible, I would have had to pay only the statutory 0.5k plus the 17k. But what if I HAD 5k deductible? I have (touchwood) obviuosly never claimed my insurance yet so don't know the voluntary ded. concept!

Quote:
Originally Posted by anandpadhye View Post
M2S,

What;s the compulsary deductible they (and you) have considered?
This is the amount that you HAVE to pay even if your claim is processed.

And generally, in case of plastics, glass, and certain others parts you do not get full 100% of the cost anyways. So you can increase the compulsary deductible and that should drastically bring down the premium.

My NHC insurance is due for renewal next month and I am going to do this.
I have observed that in case of regular accident (bumper, etc), one ends up paying @5000 from own pocket while rest is covered in the claim. I am thinking of raising my compulsary deductible to 5000.

Last edited by itwasntme : 22nd July 2008 at 18:08. Reason: Typo
itwasntme is offline  
Old 23rd July 2008, 00:08   #33
Distinguished - BHPian
 
Join Date: Apr 2007
Location: Pune
Posts: 2,980
Thanked: 2,651 Times
Default

Quote:
Originally Posted by itwasntme View Post
Hi anandpadhye,

Maybe a silly question but does the deductible take effect AFTER the bits we have to bear anyway or BEFORE?

Say for example someone rear-ends my Aveo. I receive an estimate of 20k of which the insurer will bear only 17k with rest being the depreciation on bumpers/plastic/rubber items etc. Now if I have signed up for a voluntary deductible of 5k, how much will I end up paying? 12k (17-5) or 15k (20-3-2)?

If I did NOT have any voluntary deductible, I would have had to pay only the statutory 0.5k plus the 17k. But what if I HAD 5k deductible? I have (touchwood) obviuosly never claimed my insurance yet so don't know the voluntary ded. concept!

Good question. Here is what I have heard:

My understanding is if 20K is the damage and if they are going to bear only 17K out of it, which means they already deducted 3K, so if your deductible was 5K, they will only bear 15K. So by increasing your deductible you loose during the claim but that's compensated upfront by a lower premium.

But, let me get this confirmed from my insurrane agent when I finalise my deal soon. Till then, this is what he has told me verbally.
anandpadhye is offline  
Old 24th July 2008, 18:22   #34
BHPian
 
joseph5600's Avatar
 
Join Date: Oct 2007
Location: Bangalore
Posts: 113
Thanked: Once
Default Query on changing the insurance company

I own a Getz Prime GLE (1 year old).
I had my previous insurance with Reliance, but this time I went with Tata AIG as they called me well in advance and they were giving me few offers like Goa Trip and a discount of 1000 bucks. My total premium turned out ro be 6k+ while Reliance had mentioned around 9k. (But the IDV was more for reliance).
I am not sure whether I made the right decision.
Moreover, I received a letter from Trident Hyundai mentioning that there are many companies that gives a lot of offers but when it comes to the time for a claim, the customer is going to face difficulties or loose money if the insurance company doesnt have a tie up with Hyundai or the dealer.
BHP-ians, could you please give your comments on this?
joseph5600 is offline  
Old 25th July 2008, 15:00   #35
Distinguished - BHPian
 
itwasntme's Avatar
 
Join Date: May 2007
Location: BANGALORE
Posts: 5,036
Thanked: 7,224 Times
Default

Did you get the Goa trip etc from TATA AIG or an agent? As far as I know, most agents are offering freebies etc if you renew through them. Go through your new policy in detail and confirm that there are no unwamted exclusions or voluntary deductibles thereby lowering your premium.

Ignore Trident's letter - they just want you to renew through THEM and trying to scare you. If you really have the time, meet someone senior at the dealer and ask him WHICH insurance companies to avoid and WHAT is the tie-up being discussed? Is he talking cashless? Most (and definitely TATA AIG) will have that. Pure scaremongering which makes gullible owners stick the Trident thereby ensuring THEIR insurance commission.

Even my financing bank (IOB) tried the same trick with me :-)
itwasntme is offline  
Old 25th July 2008, 17:14   #36
BHPian
 
joseph5600's Avatar
 
Join Date: Oct 2007
Location: Bangalore
Posts: 113
Thanked: Once
Default

Quote:
Originally Posted by itwasntme View Post
Go through your new policy in detail and confirm that there are no unwamted exclusions or voluntary deductibles thereby lowering your premium.
Thanks for your comments. Could you please explain the above in detail? My knowledge on insurances is very poor.
I went through an agent. I am sure only they will give such kind of offers. De you see any problem if we go through agents?

Quote:
Originally Posted by itwasntme View Post
Is he talking cashless?
If what you meant is repairs done without paying any cash (I am not very familiar with this terminology) by the customer and insurance company taking care of it, I think thats what Trident has mentioned in the letter, that the customer might have to do it if they dont have a tie up.
joseph5600 is offline  
Old 25th July 2008, 17:29   #37
Senior - BHPian
 
sammyboy's Avatar
 
Join Date: Jul 2006
Location: Ggn/Dehradun
Posts: 1,799
Thanked: 407 Times
Default

Just checked, my car insurance is expiring tomorrow midnight and I have scheduled the car servicing for tomorrow at Metro Ford. There are some agents there for bajaj alliance, icici etc. My question is how much should I expect the premium to be? The car in question is Ford Ikon and its 3 years old.

Carwale puts the value of the car at Rs 307600. Should I stick with Bajaj Alliance or are other guys providing good/better deals?

Last edited by sammyboy : 25th July 2008 at 17:33.
sammyboy is online now  
Old 26th July 2008, 00:13   #38
Distinguished - BHPian
 
itwasntme's Avatar
 
Join Date: May 2007
Location: BANGALORE
Posts: 5,036
Thanked: 7,224 Times
Default

Bajaj Alliance is good. Also check out ICICI Lombard's online premium calculator as well as InsurancePandit - Compare & buy Travel Insurance, Overseas Medical, health Insurance, Car Insurance , Visitor Insurance, Life, Fire in India. and Insurance Mall - Compare & BuyNow Indian Health, Mediclaim, Car, Travel, Life Insurance €“ InsuranceMall.in. - you can get an indication of what to expect.

Last edited by itwasntme : 26th July 2008 at 00:15. Reason: Typo
itwasntme is offline  
Old 21st October 2008, 18:51   #39
Newbie
 
Join Date: Nov 2007
Location: Bangalore
Posts: 21
Thanked: 0 Times
Default

I have insurance for my Santro (provided by dealer when buying the car last year) with Cholamandalam. There are no claims made so far. It is new for renewal in three weeks. The dealer has sent a quote from them for Rs. 7854.
Could any one tell how Cholamandalam is? Should I continue with them or change?
murugaveln is offline  
Old 22nd October 2008, 10:23   #40
GTO
Team-BHP Support
 
GTO's Avatar
 
Join Date: Feb 2004
Location: Bombay
Posts: 62,478
Thanked: 220,572 Times
Default

Damn, is insurance expensive for older cars or wot?! My Jeeps policy is up for renewal. Due to the engine size (2500cc), the third party alone is 2,500 bucks. Comprehensive may probably work out to 4,000 bucks for a car whose book value is only 50,000!! This is with a 65% no claim bonus. Compare that to my OHC Vtec, also enjoying 65% NCB, whose premium is less than 6,000. For a book value of 9 times.
GTO is offline  
Old 1st November 2008, 10:57   #41
Senior - BHPian
 
rjvora_2000's Avatar
 
Join Date: Mar 2008
Location: Mumbai/Mulund
Posts: 1,658
Thanked: 53 Times
Default

Quote:
Originally Posted by murugaveln View Post
I have insurance for my Santro (provided by dealer when buying the car last year) with Cholamandalam. There are no claims made so far. It is new for renewal in three weeks. The dealer has sent a quote from them for Rs. 7854.
Could any one tell how Cholamandalam is? Should I continue with them or change?
Cholamandalam is a good company. I am agent for them. but still i will advice you to ask from the other company for the quot as well, You will get the lower quot as well.
rjvora_2000 is offline  
Old 7th November 2008, 18:48   #42
Newbie
 
Join Date: Nov 2007
Location: Bangalore
Posts: 21
Thanked: 0 Times
Default

Thanks rjvora. The other companies quotes were around the same amount. Varied by a couple of hundreds depending on the IDV they use. I have given a cheque to Cholamandalam itself for renewal.
murugaveln is offline  
Old 27th November 2008, 11:48   #43
Senior - BHPian
 
rjvora_2000's Avatar
 
Join Date: Mar 2008
Location: Mumbai/Mulund
Posts: 1,658
Thanked: 53 Times
Default Automobile Insurance Queries? Ask me

AUTOMOBILE INSURANCE: FREQUENTLY ASKED QUESTIONS



Dear Team BHPians,

These are some of the FAQ which have been created by (me) Mr. Rupesh Vora - rjvora_2000 and Mr. Imran Jeddy - bblost.

Thank you for your support the entire T-Bhp Moderator team.


Q. What are the quick points that I need to check in my Vehicle Insurance Policy?
A. All the information must match with your details in RC book including CC, make model, sub type, fuel type, seating capacity (very important) etc.

Q. What are the points that I need to check in the renewal notice?
A. IDV is reduced by a minimum of 10% from last year,
Vehicle Registration No. is correct;
Premium is less than the last year (If you have not made any claim.)
NCB (If applicable) is more than last year’s NCB. (Maximum 50%)
Sometimes the Third Party insurance premium may get revised. This is very rare and it may cause the premium to go up.

Q: What are the factors that one should consider before selecting an insurance company?
A: Ideally the company that has a cashless tie-up with the widest network of service stations that you may visit in case of an accident. Secondly, the company which offers you the best rate without any excess on it. Above all, choose a company that has a good and fastest claim settling ratio and record.

Q. Why two insurance company’s premiums are not same?
A. All the companies offer 1. Different discounts, 2. Different P.A. cover and 3. Different IDV. It is the reason of difference in premium amounts for all the insurance companies.
1. Different discount: - This mainly depends upon the claims experience of a particular company. If claims experience is good then they will offer higher discount and if claims experience is bad then less discounts are offered.
2. PA (Personal Accident): - PA cover premium will not differ from company to company but it is an optional cover you need to choose the amount how much you want to cover. Eg. One company will offer Rs. 100 as a premium and other company will offer Rs. 250 as a premium.
3. IDV: - Major factor influencing will be IDV. But be very careful, many companies reduce IDV a lot, reduced IDV means your premium will be reduced. Most important point here is at the time of claim insurance company will also have to pay less for your vehicle. (It should be reduced every year by 10% minimum to 20% maximum.)
Always keep your IDV on higher side, it helps
1) During claims.
2) At the time of selling car.

Q. What is NCB and how is it calculated?
A: If you don’t make any insurance claim on your vehicle then you are eligible for a No Claim Bonus (NCB). This is a discount on your premium for the coming year and is calculates as under: -

1st year – 0% in Own Damage premium amount
2nd year – 20% in Own Damage premium amount
3rd year – 25% in Own Damage premium amount
4th year – 35% in Own Damage premium amount
5th year – 45% in Own Damage premium amount
6th year – 50% in Own Damage premium amount

Q. How is depreciation on the metal parts calculated?
A. Depreciation on metal parts is calculated as under: -
0 to 6th months – 0%
7th month to 1st year – 5%
1st year to 2nd year – 10%
2nd year to 3rd year – 15%
3rd year to 4th year – 25%
4th year to 5th year – 35%
5th year to 10th year – 40%
More than 10 year – 50%

Q. What is Excess? Is Excess good or bad?
A. Excess means the amount that will be deducted by the insurance company before making the payment to insured. There are two types of excesses. First one is compulsory which depends upon the C.C. (cubic capacity) of the vehicle and which cannot be removed from insurance policy. The second is a voluntary excess, which is given to you for reducing the premium in the policy. This is not a recommended option to avail, since it reduces the insurance claim payout if its needed. Never agree for higher excess.

Q. What is covered under own car damage?
A. Vehicle replacement cost or Vehicle repairing cost is paid if you have opted for this cover in your policy.

Q. When should a vehicle be scrapped (Under total loss)?
A. In case of an accident where the repair cost is more than 75% of car value (IDV), then insurance company will scrap the vehicle and pay the insurer the entire value of the vehicle.

Q. When do insurance companies not pay the full IDV?
A. If you have not reduced the car value every year minimum by 10% from last year’s IDV, then your insurance company will not pay the IDV. If you have increased the car value without any valid reason than also insurance company will not pay the entire IDV.

Q. What is covered under third party insurance?
A. In case of an accident, third party property damage and third party life damage is compensated.

Q. If third party vehicle is smashed beyond repair what is my liability?
A. Nothing. If you have valid insurance documents then entire loss is paid by insurance company and you don’t have to spend a single penny from your pocket.

Q. Is the dispute between the insurance company and others, Am I a party to the dispute?
A. No. once you handover the court case and papers to insurance company then they take over the case. You may however need to go once to court.

Q. If the fault is completely mine and I also agree to same, does my liability change?
A. No, not at all. The premium you pay covers for potential mistakes on your side.

Q. Is the dispute between the insurance company and others, Am I a party to the dispute?
A. No. once you handover the court case and papers to insurance company then they take over the case and you don’t have to visit court or to do anything.

Q. In case of physical injury or death of passengers in my vehicle, are the medical expenses covered? Is there a special type of insurance cover?
A. Under third party cover there is a clause called Unnamed Passenger PA (personal accident) cover. If you have opted for this cover (which is available on extra premium of maximum Rs. 100/- per person for a coverage of Rs. 2,00,000/-) then there is compensation payable to the family members in case of death. There is no cost of medical bills or any expenses payable to the injured passengers. Currently there are no options (products) for getting this covered through vehicle insurance.

Q. Are third party medical expenses covered? Is there a special type of insurance cover?
A. Yes. The entire expenses are paid under TP(Third Party) policy, if there is a police case, you don’t have to opt for any special policy. Unlimited medical expenses are paid under TP policy.

Q. In case of theft, how much will the insurance companies pay?
A. Entire IDV minus excess is paid.

Q. What is the reason for not paying the entire IDV under insurance policy, if vehicle is stolen?
A. If you have not reduced the car value every year minimum by 10% from last year’s IDV, then your insurance company will not pay the IDV. If you have increased the car value without any valid reason, then also insurance company will not pay the entire IDV.

Q. Do I lose my NCB in case of theft of my car?
A. Yes. If there is a theft and you make a claim, you lose the NCB.

Q. How much time does it take to settle my claim, under theft insurance?
A. There are lots of documents which have to be submitted in case of theft insurance. (Approximately number = 18). Post submission of all those documents, you will be required to submit a "Final Investigation Report (FIR)". This is usually issued by/from police station after approx 3 months of the theft. The claim is paid one month after the submission of the FIR.

Q. My Insurance has expired yesterday is there a grace period after last date for renewal without inspection/penalty
A. There is no grace period in comprehensive insurance. The NCB savings will elapse after 3 months.

Q. Can I renew my insurance without an inspection?
A. For third party it does not matter. But it’s mandatory for comprehensive insurance.

Q. Can NCB be transferred if I change my insurance company?
A. Yes. Your car carries the NCB; every company has to accept it.

Q. What is the procedure to transfer my existing NCB to new car insurance?
A. When you sell your car, you have to submit Form 29 & 30 to insurance company, which has information about buyer and seller including their signatures. This verifies that you have sold your car. Company then issues a No Claim Bonus Certificate which can be used on your new car.

Q. Can this be still done if I wish to retain my old car?
A. NO

Q. Is an FIR required when I make a claim for a repair? (Given there are not legal issue with the damage)
A. It depends on a case to case basis. If a tree fell on the car and destroyed it, you can get full IDV back without an FIR.

Please post your questions in https://www.team-bhp.com/forum/india...ce-ask-me.html

Last edited by GTO : 30th October 2015 at 09:48. Reason: Adding FAQ
rjvora_2000 is offline   (8) Thanks
Old 27th November 2008, 11:58   #44
BHPian
 
Join Date: Sep 2005
Location: CA, US
Posts: 59
Thanked: 0 Times
Default

I made several claims with TATA AIG and was not requested to get a Police case in any of the instances. Police Case is mandatory if there is any harm to any passenger.
VooDoo is offline  
Old 28th November 2008, 15:19   #45
BHPian
 
metropolis's Avatar
 
Join Date: Jul 2007
Location: Delhi
Posts: 256
Thanked: 41 Times
Default

Last year i switched from National Insurance to Reliance after association of more than a decade. Now i want to change to some other company please advice on the same though experience with Reliance is fine but need a better one
metropolis is offline  
Reply

Most Viewed
Thread Tools Search this Thread
Search this Thread:

Advanced Search

Copyright 2000 - 2021, Team-BHP.com
Proudly powered by E2E Networks