5 Factors That Affect Car Insurance Prices in India
Having proficient car insurance gains utmost prominence. It helps in covering the damage repair cost and other legal liabilities that arise due to accidents. If you want to buy the best insurance plan for your vehicle, you need to analyse the inclusions and exclusions of the plan well. Hyundai car insurance is one of the best in the Indian market. However, the car insurance price varies from company to company, as well as from one plan to the other. Here are some factors that affect car insurance prices in India. Keep reading to know more!
- The model of your car and its value
If the car that you own is a popular one and costs high, you are more likely to pay a good amount of money as a premium for that. Before buying Hyundai car insurance, you must understand that the value of your car in the market and its features decide the amount of premium for that car. For example, if you own a sports car, you are likely to pay a heavy amount as insurance price or premium amount.
Whereas, if you have a Ford Figo, you are less likely to pay such a huge amount as an insurance price. This is the difference that the value of the car creates in the insurance amount. As the value of your car increases, your car insurance price also increases. It ensures adequate coverage for your car and other valuables associated with it.
- Insured Declared Value (IDV)
The Insured Declared Value or IDV stands for the value of your vehicle in the market. It keeps on decreasing with time. For this reason, vehicles are known to be depreciating assets. Looking at the IDV of the car that you own, the insurance amount is decided by the insurance provider. If you have a costly vehicle, you will have to pay more for Hyundai car insurance. The car insurance price decides the total amount of premium that you are required to pay on a monthly basis. Keep that in mind too before buying car insurance.
- The driving record matters
The driving record of the person who is willing to buy a Hyundai car insurance matters in deciding the car insurance price for a particular insurance plan. If a person who is buying car insurance for his car has never met with an accident, he is more likely to have a less car insurance price as well as the premium amount that he is supposed to pay on a monthly basis.
A person who has a good driving record is likely to get Hyundai car insurance at affordable prices as compared to people who have ever met with an accident. If you maintain a good and healthy driving record, you need not worry about the rising premium rates.
- Safety features in your car reduce the premium amount
Since the safety of the car is the topmost priority of the people who are willing to buy car insurance. People buy car insurance to protect themselves against the expenses that might arise due to the damage caused to the car or the third party involved. If you have car insurance already, you might know better than this amount also gets affected by the safety measures that your car offers. Anti-theft alarms as well as locks of various types are available in the models of the car in current times. Having them as a part of the car can help in reducing the car insurance price for that particular vehicle.
You will also have the premium amount reduced if you have safety features in your car. There are options to get the safety locks and other features added to your car later if they are not present in the vehicle from the beginning. This can greatly help in reducing the price of Hyundai car insurance. You can install such safety devices in your car to reduce the hefty premium charge.
- The frequency of claims affects the insurance price
A discount on the premium and the total amount of the car insurance price is ensured if the policyholder has not made any claim during the time of his policy. It is very important to avoid unnecessary or petty claims to boost your no-claim bonus (NCB). Moreover, an NCB is also received by the insurance provider towards the end of the duration of the policy. You can use your higher NCB score to get more discounts on the premium when renewing your car insurance before expiry.
Remember these pointers while looking for the best car insurance in India. Purchase the Hyundai car insurance or Bajaj Allianz car insurance for more affordable premiums and enhanced coverage.