Motor insurance is compulsory for any vehicle that is plying on the roads in India. Every owner/driver should have a valid motor vehicle insurance policy.
The primary purpose of an insurance policy is to provide a financial safety net in case of accidental damage, death, or injury caused to a third party. Apart from third-party liability, the own-damage cover protects the physical harm or losses sustained by the insured vehicle in case of a natural or artificial calamity.
This policy ensures a stress-free and secure drive on the roads in the country. Well, it is mandatory! Yes, at least a third-party liability policy is compulsory for anyone wanting to drive on the roads in India. And if one wants protection against damages to the insured vehicle, then a comprehensive plan is something they can consider. With the increasing traffic, the chances of accidents have also increased, which has made it essential for everyone to buy the right insurance policy that protects them from financial losses.
The advantages of purchasing a vehicle insurance policy include:
Mandatory By Law: Third-party insurance is mandatory to drive/ride a vehicle legally in India. If you do not have valid insurance, you might face punishment under the Motor Vehicles Act, 1988.
Minimizing Stress: If someone has a motor insurance plan, they will have peace of mind while driving their vehicle on the roads in the country. Decreases Your Liabilities According to the Motor Vehicles Act, third-party liability insurance coverage is mandatory in India.
This policy gives you coverage from legal matters if the insured causes harm to a third party while driving. Loss or Damage of Own Vehicle An own damage cover protects the insured vehicle from damages that may arise due to natural or manmade calamities. Compensates Your Family The demise of a vehicle owner is the most unfortunate outcome of a road accident. Once the bread-earning member of a family passes away, it becomes difficult for their family to manage their daily life needs. In such a situation, the insurance company will compensate the family after the unfortunate event.