If we leave a house purchase aside, a car is probably the most expensive thing you will buy in your life. It’s a dream for most of us, especially since we spend months researching the car that we want to buy and saving up for our prized vehicle. Most of us never forget the first day we hit the ignition and roll the wheels of our new car on the road. It’s a moment of pride and achievement. We spend a lot of time and effort to maintain our car and keep it looking good and performing efficiently. However, one day, the car meets with an accident or a mishap.
While it is devastating to see our beloved four-wheeled friend damaged, the financial burden it brings can be overwhelming. Also, if you end up damaging a third-person property or person(s), the financial strain can mount to a huge sum. Hence, an insurance policy is a must.
Today, we are going to talk about car insurance in India and offer a beginner’s guide to third-party car insurance.
Let’s start with the basics:
What is car insurance?
Car insurance is an insurance product that offers financial protection to your vehicle against a pre-specified set of risks. It offers cover against losses arising from accidents and all subsequent liabilities.
Types of car insurance
There are different types of car insurance products available:
- Third-party liability