[speedmiester]

Originally Posted by thoma

My insurance premium, IDV and their difference in % are tabled below. I am wondering why the difference in premium for the third year is only 20% against the 55% I got for the second year! No claims till date, so normal NCBs applied.

I wanted to get the policy renewed through the car dealership to avoid hassles of claim settlement by self. They are quoting almost the same rate for 3rd year from another company Z.

Attachment 1335519

That's because you have overpaid your insurance premium when you bought the car. I believe you bought the insurance through the dealer itself and hence such an high amount.
Ideally you should have got your new car insurance for around 15000/- if you have purchased insurance in the market.

You need not renew your insurance through the dealer. There won't be any claim settlement issues if it is a genuine claim, go for an reputed insurer rather than the one the dealer recommends. Don't fall for such tactics by the dealer.

[thoma]

Originally Posted by speedmiester

Ideally you should have got your new car insurance for around 15000/- if you have purchased insurance in the market.

Just 15k for an IDV of 6.3 lacs? But then how come the next year, the premium dropped to 50% and not now, the third year?

[speedmiester]

Originally Posted by thoma

Just 15k for an IDV of 6.3 lacs? But then how come the next year, the premium dropped to 50% and not now, the third year?

The higher difference from year 1 to year 2 is because you have paid more than the market price for your insurance. If you had bought your insurance for around 15K in year 1, then the price differential is around 25% which is proper considering your IDV value of 530000.

[ghodlur]

Originally Posted by thoma

Just 15k for an IDV of 6.3 lacs? But then how come the next year, the premium dropped to 50% and not now, the third year?

When you buy the Insurance from dealer or the Insurance is offered free as a part of the deal by the dealer, the premium amount is usually inflated. For eg the Insurance premium charges quoted by dealer on the price list for the model/variant whe appears as 26K, in reality online insurance is available for 16K. So when you renew the premium the second year, the online quotes Rs 13K which seems like 50% drop from the actual premium paid to the dealer while in reality its only 20% odd drop from last year based on online quotes. the third year is almost in line with market quotes.

Hence it is advisable to buy Insurance online rather than from the dealer. That buying an Insurance from dealer makes claim settlement easy is a myth. The above values which I quotes are basically from my experience of renewing Insurance for my Punto.

[thoma]

Originally Posted by ghodlur

So when you renew the premium the second year, the online quotes Rs 13K which seems like 50% drop from the actual premium paid to the dealer while in reality its only 20% odd drop from last year based on online quotes. the third year is almost in line with market quotes.

Originally Posted by speedmiester

If you had bought your insurance for around 15K in year 1, then the price differential is around 25% which is proper considering your IDV value of 530000.

Thanks for the explanation, but now I'm confused why the dealer didn't overcharge the second year too? Why did he have to come to market rates for the 2nd and the 3rd year?

[JoseVijay]

What would be the IDV for Ford Fusion 2007 model (registered in 2008)? The old policy expired in Sep,2014. How much amount will I have to pay on the insurance? Can someone help me with the calculations?

[saket77]

Originally Posted by JoseVijay

What would be the IDV for Ford Fusion 2007 model (registered in 2008)? The old policy expired in Sep,2014. How much amount will I have to pay on the insurance? Can someone help me with the calculations?

You can use online insurance sellers, eg. like Policybazar.com, reliance, BhartiAxa, etc to calculate the approx premium for your car just by entering the details. But they will ask for your phone no. and bug you perpetually for the time to come.

[JoseVijay]

Originally Posted by saket77

You can use online insurance sellers, eg. like Policybazar.com, reliance, BhartiAxa, etc to calculate the approx premium for your car just by entering the details. But they will ask for your phone no. and bug you perpetually for the time to come.

I had that experience as well. The lowest was quoted by L&T Insurance, just above Rs. 6000 for an IDV of 1.85 lakhs. For the same IDV HDFC Ergo quoted me Rs. 7,300.

Hence I am in a dilemma. Need help from the experienced fellow bhpians.

[saket77]

Originally Posted by JoseVijay

I had that experience as well. The lowest was quoted by L&T Insurance, just above Rs. 6000 for an IDV of 1.85 lakhs. For the same IDV HDFC Ergo quoted me Rs. 7,300.

Hence I am in a dilemma. Need help from the experienced fellow bhpians.

Apart from IDV, also look at cashless tie-ups with Ford ASC, compulsory deductibles and voluntary deductible figures. Voluntary deductible is the minimum amount which you accept to bear in case you make a claim. That of course, lowers your premium but increases your burden. Hence look for it in policy details. Another important factor is cashless tie-ups as they are always convenient and easy to deal with esp. in the unfortunate case of high claims.

Also, since your last policy is probably not in effect, you will probably not get NCB over it (BHPians please feel free to correct if that is not the case) or same in case of change of ownership, hence you can expect the premium to be somewhat lower in the coming years, apart from the effect of depreciation when your own accumulated NCB comes into effect. Sure thing that more experienced BHPians will be around with more suggestions.

Regards,
Saket

[ghodlur]

Originally Posted by JoseVijay

What would be the IDV for Ford Fusion 2007 model (registered in 2008)? The old policy expired in Sep,2014. How much amount will I have to pay on the insurance? Can someone help me with the calculations?

Was the car without valid insurance for 4 months???

As a thumb rule generally used by Insurer, the new IDV for the car should be 10% less than previous year's IDV. But since the car is more than 5 yrs old, the IDV has to be mutually agreed between yourself and Insurance co. Please note that since the insurance on the car is expired, it will be subject to inspection by Insurance co and IDV+premium decided accordingly. In case of any major scratches, dents etc the premium may get hiked.

[1lokesh]

My civic's insurance expires in coming March. It's 1.8SMT 2007 model. There have been no claims in past 5 yrs. I was interested in zero dep cover, but I guess it's not offered to cars beyond age of 5 yrs. Is that right?
Also the premium amount last year wasn't less than the previous year. Is this normal?
Which are the insurance companies that offer best rates and services?

[ghodlur]

Originally Posted by 1lokesh

I was interested in zero dep cover, but I guess it's not offered to cars beyond age of 5 yrs. Is that right?
Also the premium amount last year wasn't less than the previous year. Is this normal?
Which are the insurance companies that offer best rates and services?

Yes, you are correct for the zero dep add on cover for vehicles more than 5 yrs owned. Regarding the premium amount, they should ideally be less than the previous year unless some components have increased. Last year the Third party liability premium had gone up, hence maybe there must not have been any noticeable reduction in premium.

An online comparison would help in trying to find the best rates for the premium, try visiting policy bazaar or may be Insurance co websites.

[sukhi29]

I was asked to pay 27000 for Mahindra Thar Zero Dep Insurance by the dealer. My bank offered me same insurance for 24500. The dealer stuck to the condition that i will have to buy insurance from him only. I was particular on buying a mist silver Thar only. i checked all dealers in Delhi-NCR. Everyone told me buy any other color off the shelf, Silver will take 1-2 months to arrive.

So i twisted Koncept Mahindra's arm and brought the premium price down to 25000 rupees. I really did not want to wait for my silver Thar for 1 month in case other dealers allowed me to buy my own insurance.

Can dealers put such a condition?

[JMaruru]

Our vintage 2000 alto, would be up for renewal in the coming month. We have been with Tata AIG all this while. I would like to know, would there be any other insurance provider for a 15 year old car?

Please advise.

[speedmiester]

Originally Posted by JMaruru

Our vintage 2000 alto, would be up for renewal in the coming month. We have been with Tata AIG all this while. I would like to know, would there be any other insurance provider for a 15 year old car?

Please advise.

I would recommend to continue with your existing insurer.
Other alternatives will be public sector insurers.

I was asked to pay 27000 for Mahindra Thar Zero Dep Insurance by the dealer. My bank offered me same insurance for 24500. The dealer stuck to the condition that i will have to buy insurance from him only. I was particular on buying a mist silver Thar only. i checked all dealers in Delhi-NCR. Everyone told me buy any other color off the shelf, Silver will take 1-2 months to arrive.

So i twisted Koncept Mahindra's arm and brought the premium price down to 25000 rupees. I really did not want to wait for my silver Thar for 1 month in case other dealers allowed me to buy my own insurance.

Can dealers put such a condition?

No dealer can force you to buy insurance from the showroom. If the dealer is very persistent, complain to the manufacturer. This will get the dealer to back down.
Mahindra is one of those manufacturer who takes the customer feedback and complaints very seriously.