KEY HIGHLIGHTS
- Purchasing car insurance is a once-an-year task. Do it properly
- Add-ons can help, and so can special features like "Pay as you drive"
- Cheapest insurance quote isn't always the best!
It does not matter if it is your first car or second, safeguarding your set of wheels should be your a top priority. With advancements in the insurance industry and continuously evolving technologies, it is imperative that you make a well-informed choice when it comes to your car policy. For helping staying one step ahead in this year 2025, here are some essential car insurance tips to secure the right plan. Before we start the ride review, make sure to join the 91wheels WhatsApp Community to keep up with the latest news and automotive updates.
Understand Your Coverage Needs
When picking a car insurance, start by assessing what level of coverage suits your needs. For example, are you looking at a basic third-party liability plan or something more comprehensive? To make things simpler for you to understand, below are the various coverage options available to you:
- Third Party Insurance: Covers damages you cause to others.
- Own-Damage Insurance: Covers your cars repair costs after an accident.
- Comprehensive Insurance: Covers both third-party liabilities and own damages.
- Personal Accident Add-on: Covers injuries, permanent/partial disability, and death.
- Uninsured Motorist Coverage: Protects you if the other driver lacks insurance.
Compare Quotes Online
Next, get multiple insurance quotes online. This has never been easier, thanks to the emergence of AI-powered comparison tools. There are several online platforms that you can use to compare policies from different insurance companies as per your requirements. Also, check if the insurer offers any discounts as per your driving history.
Focus on the Policy Features & Benefits
A cheap insurance plan doesnt always mean adequate coverage. You should also think about aspects such as the insurer's customer service ratings, claim settlement ratio, and the policy benefits. Choose an insurer with a hassle-free claim settlement. Also, you must carefully go through the policy details to avoid unexpected expenses - this takes time but its an essential one time process.
Consider Opting for a Higher Deductible
Another thing to remember when buying car insurance is the deductible, which is the amount you pay out of your pocket at the time of claim. While choosing a higher deductible can help you save on your premium, you could incur significant expenses in the long run. Hence, make sure you weigh the savings against the risk of paying more during insurance claims.
Leverage Telematics & Usage-Based Insurance
Some new-age insurers use telematics to track your driving behaviour, based on which your policy premium is determined. Safe drivers get rewarded with lower policy premiums. Additionally, you can consider buying a usage-based plan, such as PAYD (Pay as you Drive), if you drive less or have two cars and one of them is not used frequently. Under these plans, you pay only for the kilometres you have driven - very beneficial for cars that see less usage.
Also read : what is "Pay As You Drive" Insurance?
Review Your Policy
Dont just buy car insurance and forget it. Always review your policy during renewal to secure the best deal. Think about your driving habits. If you have changed your locality or have two cars, and you don't drive one of them often. Also, think about whether you have made any modifications to your car or added any accessories. These are crucial in deciding the right insurance coverage required.
Understand State-Specific Laws & Requirements
Believe it or not but sometimes insurance regulations can vary by state and year. Hence, it is crucial to stay updated with any insurance laws or requirements in 2025. Some states may implement new requirements regarding minimum coverage or require additional covers. Thus, keep track of any such changes to remain in compliance and avoid penalties.
Choose an Insurer with Financial Stability
Always opt for an insurer that's reliable in case you want to file a claim. Such an insurer, which possesses great financial strength will ensure prompt claim settlements. Further, it reduces the risk of premium hikes because of instability, leaving you stress-free in case of accidental losses or damages
Verdict
Purchasing a car insurance, new or renew, is an annual task but should be given ample time and homework. By investing time in research and comparing policies, you can strike the right balance between cost and coverage, giving you peace of mind on the road.
