[ghodlur]

Originally Posted by callvvijay

and just says that I'll not be able to make a cashless claim.
dealer is claiming that the insurance policy itself is mandatory for going for registration. And cover note wouldn't suffice.

The dealer is taking you for a ride. Just because you are buying insurance on your own does not mean that dealer cannot provide the information.You need to talk to them a bit more strongly. You can talk to Hyundai customer care if the dealer is acting smart in this regards.

Please note that lower Insurance premium does not guarantee better service. If the dealer is not parting with the information, visit the workshop and try to source the information from the workshop manager or staff over there.

My bad that I mentioned cover note is sufficient for registration. Its actually Insurance policy which is required for registration and IIRC a policy is issued if Insurance is bought online. Cover note is generally provided when you buy through dealer.

[adithya.kp]

For my new car, I have spoken to royal sundaram, national and oriental insurance. national gave the lowest quote. Which player do you guys recommend ?
Please let me know if you think i should consider any other insurance providers.

[JohnyBoy]

"At ICICI Lombard we've seen particular success with our introduction of two and three-year motor insurance policies," said ICICI Lombard's Jain, while commenting on the industry norm of having a one-year policy in motor.
http://timesofindia.indiatimes.com/b...w/51092210.cms

Has anybody taken 2 or 3 year policy? Curious to understand how NCB, IDV etc are calculated.

[Switch]

A car was sold about 2 years back and it met with an accident in which the other person on the bike died. Now the car was not transfered but the person who bought the car got it insured. The driver of the car has surrendered to the police. Will the insurance company pay to the third party(the deceased family) or will they reject the claim, as the car is sold but not transfered. Can the onus of paying the compensation come the head of the registered owner. No paperwork is done as of now. How should the original owner proceed in such a case.

I didnt knew a place better then this to ask this question. Suggest me please

[comfortablynumb]

Hi Insurance Gurus, need your advice on validating a reply that I got from an acquaintance who works in New India, and through whom I usually renew my car insurance:

Taking into consideration the value at 4.15 lakhs, the renewal premium works out to Rs 10510/-. Please note that there is no change in NCB slab of 50 percent, but your vehicle enter into next slab for premium ratings i.e. 6-10 years. So there is a rise on this count and two more factors add to the rise - change in third-party premium and service tax slab from 12.36 to 14.50%.

I am okay with the IDV, and the change in 3rd party premium and service tax was also expected. However, I do not understand why the NCB should be unchanged and premium should be increased for a 6-10 year car.

Is the explanation given by NIA above correct?

Cheers,
Vikram

[bharath14]

Hi,

I am in the process of booking a new car.

I received an insurance quote from the dealership and they insisted that I take up a policy with X company since they have a tie up only with them.

On enquiring with the same X company, I directly received a quote which was substantially (about INR 18000/-) lesser than what was quoted at the dealership. The probable reason for the markup could be dealer commission.

I have requested the dealership to match X company's quote to me or cancel my booking, and awaiting their response.

Its ridiculous how much money is made by car dealerships on insurance alone, and unfortunately most buyers aren't well informed of the price disparity.

Few question I have:
1. Can a dealership say "by-party" insurance is not allowed and force a customer to take up a policy with a company of their choice?

2. Can a dealership refuse to match the quote received directly by a customer from an insurance company X. How would they then explain the mark-up to the customer?

Thanks

[IndigoXLGrandDi]

The Insurance of our Elite i20 Asta Diesel is due for Renewal by 15-3-16.
What should be the IDV in this case? When I checked online, the IDV ranges from 4.33-6.33lakhs on policy bazaar, 5.3-6.3 Lakhs on coverfox, and 4.66-6.15 Lakhs on policybachat.

My previous IDV is 7.85Lakhs and Insurer was Bajaj Allianz (taken from Dealer as he was not letting to take Insurance from outside). But I had transferred 50% NCB from our Indigo XL while buying Elite i20 last year. Last Year Premium was Rs. 16200/-

Experts please do the needful.
Thanks in advance.

[bhandary]

Originally Posted by bharath14

Few question I have:
1. Can a dealership say "by-party" insurance is not allowed and force a customer to take up a policy with a company of their choice?

2. Can a dealership refuse to match the quote received directly by a customer from an insurance company X. How would they then explain the mark-up to the customer?

1. Forcing the customer to take the insurance from the dealer depends on the number of dealers for the specific car brand in the city/locality. If its Maruti or Hyundai then the fear of loosing a customer to the competitor dealer will make him agree to your conditions. Else they will be stubborn and would not care if you would book the car with them or not. Another factor is that, bigger established dealers (called as platinum dealers) sometimes would just not worry about loosing a customer or two to retain their "commission" on the insurance. Its the smaller and new dealers who want to see their sales graph go north will allow the customer to take the policy from outside if they are not able to convince the customer

2. Dealer in most probability will refuse to match the quote brought in by the customer and would leave it to the customer to arrange the insurance on his own since they will not receive any amount to cover their activity/overheads.

[reverse_gear]

Originally Posted by bhandary

1. Forcing the customer to take the insurance from the dealer depends on the number of dealers for the specific car brand in the city/locality. If its Maruti or Hyundai then the fear of loosing a customer to the competitor dealer will make him agree to your conditions. Else they will be stubborn and would not care if you would book the car with them or not. Another factor is that, bigger established dealers (called as platinum dealers) sometimes would just not worry about loosing a customer or two to retain their "commission" on the insurance. Its the smaller and new dealers who want to see their sales graph go north will allow the customer to take the policy from outside if they are not able to convince the customer

2. Dealer in most probability will refuse to match the quote brought in by the customer and would leave it to the customer to arrange the insurance on his own since they will not receive any amount to cover their activity/overheads.

While the dealer will not be able to match the insurance quote you get from outside, they cannot refuse to sell the car to you. So you only have to insist that you will arrange your own insurance and they will have to agree. Otherwise, this will put them in hot water with the manufacturer. I have in the last 2 years bought a Volkswagen and a Renault (neither of whom have alternate dealer options in the city), both with self arranged insurance, never had a problem either occasion. The Renault dealer tried to say that since I was arranging my own insurance, they will not be able to pass on a discount offered by the manufacturer, but I firmly told him that he cannot deny me any offer from the manufacturer and they had to agree.

[reverse_gear]

Originally Posted by IndigoXLGrandDi

The Insurance of our Elite i20 Asta Diesel is due for Renewal by 15-3-16.
What should be the IDV in this case? When I checked online, the IDV ranges from 4.33-6.33lakhs on policy bazaar, 5.3-6.3 Lakhs on coverfox, and 4.66-6.15 Lakhs on policybachat.

My previous IDV is 7.85Lakhs and Insurer was Bajaj Allianz (taken from Dealer as he was not letting to take Insurance from outside). But I had transferred 50% NCB from our Indigo XL while buying Elite i20 last year. Last Year Premium was Rs. 16200/-

Experts please do the needful.
Thanks in advance.

IDV on 1 year old car should ideally be 20% lower than ex-showroom price. Typically, a variance of 5% from this guidance may be OK, but not advisable to stray too much off that. No point in insuring the car for a higher value than what is represented in this table. You can refer to this depreciation table for reference:

Vehicle Ageing Depreciation Chart

• New Car - 1st Year: Insurance done at 95% of Exshowroom Price. 5% Depreciation is Deducted
• On 2nd Year Renewal: 20% Depreciation is Deducted. Insurance done at 80% of Original Exshowroom Price
• On 3rd Year Renewal: 30% Depreciation is Deducted. Insurance done at 70% of Original Exshowroom Price
• On 4th Year Renewal: 40% Depreciation is Deducted. Insurance done at 60% of Original Exshowroom Price
• On 5th Year Renewal: 50% Depreciation is Deducted. Insurance done at 50% of Original Exshowroom Price
• 6th Year Onward: 10% to 15% Depreciation on IDV Value of Previous Year is deducted year on year

The websites will allow you to set the IDV manually, please set that parameter as per your choice and check the quote.

[ghodlur]

Originally Posted by comfortablynumb

Is the explanation given by NIA above correct?

That is correct. The NCB % is capped at 50% max, hence there will be no change in the %. The premium for cars with ownership more than 5 yrs will be decided by the IDV which has to be mutually agreed between the Insurer and Insured as it moves out of the depreciation table.

Originally Posted by bharath14

1. Can a dealership say "by-party" insurance is not allowed and force a customer to take up a policy with a company of their choice?

2. Can a dealership refuse to match the quote received directly by a customer from an insurance company X. How would they then explain the mark-up to the customer?

To answer your questions serially:
1. The dealer cannot force the Insurance or the Insurer on any customer. The customer is at liberty to choose and buy the Insurance for the vehicle. The dealer many a times smartly package the discounts offered on the vehicle such that Insurance is sold to the customer at higher prices than the market values. The customer many a times is blinded by the discounts and does not bother to check the Insurance amount.

2.If the dealer cannot match the quote, that is because they know the actual quote. But many a time in the process of not losing the customer for a mere 18K approx amount, they will offer the insurance at the market value.

Originally Posted by IndigoXLGrandDi

My previous IDV is 7.85Lakhs

Your ideal IDV should be 7.065L (10% less than last year's IDV).

Originally Posted by reverse_gear

IDV on 1 year old car should ideally be 20% lower than ex-showroom price.

This would be the case if it exceeds 1 yr of ownership. If renewed within 1 yr, then the applicable depreciation is 15% of ex show room cost or in other words 10% less than last year's IDV.

[IndigoXLGrandDi]

The ICICI Lombard representative told me that the NCB of 50% cannot be carried forward if I renew online. Even if I do the same, I will get recovery letter from the insurer while I file a claim. Is this true?

On policybachat, I was given a quote of 7905/- for L&T Insurance.
Should I renew online or offline?

[ghodlur]

Originally Posted by IndigoXLGrandDi

The ICICI Lombard representative told me that the NCB of 50% cannot be carried forward if I renew online. Even if I do the same, I will get recovery letter from the insurer while I file a claim. Is this true?

Not true at all. You can carry forward your 50% NCB when renewing Insurance online. To avoid any future conflicts, forward the 50% NCB certificate to ICICI so that they have it in their records.

Have you enquired with which Insurance co's does the Hyundai workshop have a cashless tie up? Based on that you can get the quotes from those Insurance co directly online and compare.

[IndigoXLGrandDi]

Originally Posted by ghodlur

Not true at all. You can carry forward your 50% NCB when renewing Insurance online. To avoid any future conflicts, forward the 50% NCB certificate to ICICI so that they have it in their records.

Today the ICICI representative called me again and reiterated that, if the 50%NCB is carried forward, I will receive recovery letter because of the following-
This is my 2nd Year Renewal for Elite i20 and 20% NCB is applicable for 2nd Year as NCB (given that no claim was made in 1st year). But as I will be carrying forward 50%NCB from 1st year to this 2nd Year Renewal, the difference of 30% will be recovered from me if I file a claim between 16-3-2016 to 15-3-2017.
This guy is quoting me 13K+ Premium with 20% NCB stating the above reason of Recovery.

Originally Posted by ghodlur

Have you enquired with which Insurance co's does the Hyundai workshop have a cashless tie up? Based on that you can get the quotes from those Insurance co directly online and compare.

AFAIK, my Hyundai Dealer has tie up with Bajaj Allianz. He did not allow me to take policy from outside while buying the car but took my 50% NCB letter and gave the Ins. Policy for Rs.16200/- as against 28K quoted by him in Quotation of Car.

When I enquired at my Previous Ins. Provider New India Assurance, they quoted me Rs. 13050/- if I taken the policy from them. But my Dad did not allow me to "fight" with the dealer that time so accepted that quote of Rs.16200/- and took policy of Bajaj Allianz from Dealer.

Now I don't want to go with New India Assurance since they did not pass my claim of Labour Insurance. They keep on demanding one or the other documents every time I go to submit a document (Sorry for Off-Topic).

Now I got a Offline Quote of Rs.8750/- from Cholamandalam (an agent got the details of our car from where I don't know). He gave me a quote of 14-15K for 0% Dep. But I don't want to go for 0% Dep. When I told him that I got a quote of Rs.7905/- from L&T Ins. online, he gave me a quote of Rs.8750/- for Normal Comprehensive Package (From 14-15K to 8750/-). I am not sure what deductibles he add in my case, that the premium came so low.

Am I taken for a ride by any of the above?
Will I face any problem of recovery from Cholamandalam, God Forbid if I file a claim between 16-3-2016 to 15-3-2017 if I go with them?

I have checked the renewal quote on Bajaj Allianz website itself and found the IDV generated by System is 635844/- and the premium for same came to 10707/-. When I manually set the IDV to 706500/- (785000-78500), the premium came to 11627/- including Service Tax and Swach Bharat Cess.

What should be my best bet in this case?

[ghodlur]

Originally Posted by IndigoXLGrandDi

Today the ICICI representative called me again and reiterated that, if the 50%NCB is carried forward, I will receive recovery letter because of the following-
This is my 2nd Year Renewal for Elite i20 and 20% NCB is applicable for 2nd Year as NCB (given that no claim was made in 1st year). But as I will be carrying forward 50%NCB from 1st year to this 2nd Year Renewal, the difference of 30% will be recovered from me if I file a claim between 16-3-2016 to 15-3-2017.

That's a truckful of horse shit. There is nothing called the recovery amount. Ask the ICICI to give the same in writing and tell him that you are going to cross check with IRDA. Lets see if he still continues with the same statement.

Is BA the only Insurancer with whom Hyundai workshop has a cashless tie up? What about other comparison quotes? the quote from BA BTW looks good on paper, kindly compare it with other quotes before taking the decision.