When you own a car, you are instilled with a sense of pride about your possession. With your vehicle, you do not have to rely on crowded public transportation anymore. However, any unfortunate event can damage your vehicle and disrupt your daily routine. Hence, you must take steps toward safeguarding your car’s life. One of the best ways you can keep your car safe is by getting car insurance.
Understanding car insurance policy
Car insurance is an insurance policy that will protect you and your car if your car gets damaged because of an accident or theft. Apart from this, when you purchase a vehicle, it is a legal compulsion to get your car insured. According to the Motor Vehicles Act, driving a vehicle on the road without valid car insurance is not permitted and will lead to hefty fines. But you must not buy insurance for your car only to fulfil the legal practice.
It helps if you purchase car insurance because it protects you from damage repair costs that you might face because of an accident. If your car is damaged or stolen, the insurance company will provide you with the coverage to handle the damage repair expenses if you have insured your vehicle. For the coverage that you get from the insurer, you will need to pay a premium amount to the insurer. Paying these premium amounts will keep your policy afloat and in effect.
However, purchasing the best car insurance for your four-wheeler is not a simple task. There are many car insurance policies available out there that will be beneficial for you. To select one which matches your requirements can be quite tricky for you, you must conduct a ton of research about the different policies available. You can look for car online insurance policies, as it will be easy for you to compare plans as well. An efficient way of comparing insurance plans is by using the car insurance premium calculator. This calculator is a tool that a lot of insurance companies provide on their website. You can use this tool to determine the right quote for your premium on the insurance plan.
With the car insurance calculator’s help, you can:
- Make a well-informed decision when you buy online car insurance.
- Save a lot of time, since the calculator conducts all of the relevant calculations.
- Get a policy which is completely suited for you and is not biased towards an insurance company.
- Get online car insurance quotesanytime, as the calculator will directly be available on the insurer’s website.
Factors that a car insurance calculator uses to estimate the insurance premium quotes:
- Model and make of the car
- Fuel type used for car
- Coverage option
- Engine’s capacity
- Car’s age or IDV (insured declared value)
- The geographical location of the car owner
- Add-ons/riders in the policy
- Demographic factors
- Any modifications to the vehicle or type of car transmission
Working of car insurance calculator:
An insurance company will have its method of calculating car insurance. But, the general factors that are used for calculating the premium are the same. To use the car insurance calculator, you will have to fill in the information related to your car, policy and yourself. After you have entered the relevant details, the calculator will provide you with the premium amount depending on your chosen policy. It is a brilliant tool which will help you buy online car insurance. The premium calculation will differ for old and new cars.
- New cars:
For a new car, the manufacturer’s name, manufacturing year, registration state, car model, etc. is required. The details about the car’s owners are needed as well.
- Old cars:
For an old car, the calculator will need details like the model and make of the car. Apart from this, other features like registration number, fuel type, information about existing policy and whether claims have been made from the past policy. The calculator will provide the premium amount after you have provided these details.
With a car insurance calculator, you have the option of customizing the information you provide as input. You can check the suitability of an insurance plan by this method and understand how customizing different factors can lower your premium amount. The calculator can also help you select the plan that will provide you with the lowest premium.
Hence, car insurance is an effective way of keeping yourself safe from the damage repair costs that you will face if the car gets damaged in any way. Apart from this, it is a legal mandate for every car on the road to have an insurance policy. However, the purchase of car insurance can be a bit complicated because of so many options available. Hence, to make the process easy, you can use a car insurance calculator. You will have to fill in the details about yourself, your car and the policy you have chosen. The calculator will provide you with a premium amount which you will need to pay. With this tool’s help, you can easily compare and select the plan that best suits you.