Is it necessary to get car insurance in India?

Have you ever taken the wrong train and ended yourself in a place where you didn't have much money? Have you ever gone scuba diving without a guide or the correct gear? Isn't the answer to both of these questions a resounding no? In each of the aforementioned scenarios, you will undoubtedly require the assistance of a rescuer. As a result, in these sorts of situations, you do not rely on chance. However, it astounds us how people can be so brave when it comes to driving without vehicle insurance.

According to a recent estimate, over 55 traffic accidents occur in India per hour on average. Who is to blame when such an accident occurs? Streetlights that aren't working? On the road, do you see people walking blindly? Or is it just their terrible luck? No one wants to accept responsibility for the harm done and pay for it out of their own wallet. This is when auto insurance comes to the rescue! Always there to help.

Did you know that in India, automobile insurance is required? Apart from a personal option, automobile insurance is not mandatory for all car owners in India. Car insurance is essentially a contract between two parties, namely the insurance provider and the vehicle's owner. This contract safeguards your vehicle against financial loss in the event of an accident or theft. The insurance provider agrees to cover the loss in accordance with the policy's terms.

  • Yes, every automobile owner is required to have a car insurance coverage under sections 145 to 1164 of The Motor Vehicles Act, 1988.

You can’t Escape the Law!

As an Indian citizen, you must understand why auto insurance is required in India and what the penalties may be if you do not have it.

If you drive without a legal automobile insurance coverage in India, you will be subject to the following penalties:

  • You must pay a fine of Rs. 1000 and/or serve three months in jail.
  • Your driver's license will be revoked.
  • Your vehicle's registration will be revoked as well.

>Now that you know why auto insurance is required in India, let's look at the advantages that insurance may provide.

Benefits of Car Insurance :

Anyone might become stranded on the road as a result of a car accident or engine breakdown. In such situations, an automobile insurance coverage comes to the rescue.

  • Garage networks are maintained by car insurance providers. This is useful for garage shops that may be able to supply you with cashless repairs.
  • No claim bonus: If you don't make a single claim throughout your policy period, the insurance provider will give you a reduction on your premium. It serves as a form of compensation for your automobile.
  • Car insurance offers personal accident coverage for a set sum, such as disability, death due to an accident, and so on.
  • Add-on benefits: You may always personalize your insurance by expanding the scope of what is covered, such as Zero Depreciation, Roadside Assistance, Engine Protection, Passenger Cover, and so on.

Now, the next time someone asks you, "Why is vehicle insurance essential in India?" or "What are the benefits of car insurance to me?" you will understand the critical need of having a car insurance policy in India.

  • Driving Responsibly is the same as driving like a rockstar!

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