As the name suggests, a private car insurance policy is for cars that are used for private purposes. Also known as a private car package policy, this type of car policy offers financial protection to the car and its owner against damages arising out of unforeseen events like accidents, calamities, theft, fire, etc. It also covers any third party liability such as death, injury or property damage of the third party caused due to an accident of the insured car.
A private car insurance policy is not a mandatory car insurance cover as per the motor laws of India. However, due to its comprehensive coverage, it is highly recommended by insurance experts.
Private car insurance or a comprehensive car insurance policy covers multiple damages arising out of different unforeseen liabilities known as policy inclusions. These inclusions include:
There are certain damages that are not covered under a private car package policy. These exclusions are:
A policyholder can also enhance the coverage of a private car package policy by purchasing add-on covers at an additional premium amount. Some of these add-on covers include Zero depreciation cover, NCB protect cover, Engine assistance cover, Loss of personal belongings cover, Return to invoice cover, Consumables cover, and more.
These additional covers are sold by almost every insurance company in India and are optional to purchase for a policyholder.
Purchasing a private car package policy depends on the type of coverage you want for your car. Though it is not a mandatory cover, it should nonetheless be considered necessary if you want to cover own damages and third-party liabilities together. With an all-in-one private motor insurance policy, you do not need to purchase any other car insurance policy.
Moreover, a comprehensive car insurance cover offers the highest level of financial security to your car by covering almost all types of damages that your car may sustain. It also offers compensation in case of accidental death or disability of the owner/driver of the insured car. Apart from this, you can also enhance your car’s coverage by purchasing add-ons along with your private car package policy.
Thus, you must keep all the factors, such as your budget, coverage requirements, car age, car type, etc., in mind before choosing a motor insurance policy for your car. If you think your car is new or luxurious, you must consider purchasing a private car insurance policy. But, if you think comprehensive car insurance coverage is not what you really need for your car, you can skip purchasing it.
A private car package policy has a number of advantages for your car. If you choose to purchase a private car insurance cover for your four-wheeler, you must consider purchasing it online. You may get the required coverage under your budget if you buy four-wheeler insurance online. You can also compare private car insurance quotes of multiple insurers on Policybazaar.com and choose the plan that best fits your budget.
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