To adhere to regulatory requirements, while most people end up buying third-party motor cover which is mandatory as per The Motor Vehicles Act 1988 , you should however go in for the comprehensive policies. Below are given some of the benefits of the same:
1. Extensive coverage other than third-party cover: Third party covers only extend protection against damages to third-party vehicle or person. But the comprehensive policy also imparts protection to oneself i.e. personal accident cover or one's vehicle in events of minor or major accidents, theft, natural disasters, fire etc. Also, damages to your own car are caused by civil disturbance, riots or animals.
Some of the common components of this policy are as though:
a) Protection due to accidents against damages caused, even if the policyholder is at fault
b) Third-party cover is available in an inbuilt way i.e. no extra premium is to be paid
c) Protection available against damages due to natural calamities, theft etc.
Also known as ' other than collision' cover, it offers cover for vandalism, theft, glass damage, fire, flood, damages due to severe weather conditions, damage to a third party or damage due to a missiles or some falling objects.
2. Averts risk of paying from your pocket for expensive repairs on your car: With extensive coverage, you no longer will be liable to pay if you car meets an accident as in the case when you own a comprehensive cover, insurer will be responsible to pay for the damage.
3. Option to include add-ons to your basis comprehensive motor insurance: Further, in a case when you wish your coverage to be further elaborate you can buy certain available add-ons including zero depreciation cover, medical expenses, return to invoice cover accessories cover, engine or gear box protector, loss of personal belongings cover at an extra cost.
4. In case of a brand new car, buying comprehensive cover makes much more sense: For the new car, in case of it meeting an unfortunate accident, replacing the damaged car parts with the branded new ones can be highly expensive for the car owner but with the comprehensive cover in hand, insurer will have to protect against the damages caused.
5. With the comprehensive cover, you are given the option to customize your IDV: Your IDV i.e. the value of your can be put by yourself, when you go for buying such a plan online. This then directly impacts the value of your premium as well as claim amount.
6. You can also avail of breakdown assistance: In this, a claim even if it is exercised is never considered, so in such troubled times when you confront breakdown of your car you even can call upon your insurance company for assistance.
Nontheless there are some exclusions or cases when the claim is not offered as in the following cases:
1. In case of driving without a valid driving license
2. In case of drunken driving
3. In case of mechanical or electrical breakdown
5. Ageing due to wear or tear of the vehicle