Motor insurance is a legal agreement between you and the insurance provider wherein you promise you pay a certain amount of premium to get coverage for your vehicle in case of theft, loss, accident, third-party injury, etc. As per the Motor Vehicles Act 2017, vehicle should have a valid third-party insurance. Following are some of the advantages of having a motor insurance in India.
• Coverage against accident: A motor insurance can give you a coverage against damage happened to your vehicle due to some accidents. You can claim the expenses and save more money.
• Coverage against natural disaster: A sudden huge flood can damage your vehicle which will cause you to incur a huge expense. With the motor insurance, you can save few bucks on vehicle repairs.
• Legal protection: As having no motor insurance is a violation of traffic laws, it can lead to paying penalties. Hence, it’s important you renew your insurance once it gets expired.
• Death Benefits: As third-party insurance is mandatory, the motor insurance can benefit the survivors when an accident results in death.
• No Claim Bonus: If you have not made any claims during the policy term, you are eligible for No Claim Bonus upon renewal of the policy. However, you may need to fulfil certain terms and conditions.
Having a motor insurance facilitates a safe travel on road and provides a coverage against all untoward incidents. Hence, it is vital you take a motor a insurance when you buy a vehicle and renew it regularly upon expiry