Travelling on foot is fun, however for long distances you need a car. To fulfill this purpose, you buy a car. As a four-wheeler is not cheap, you save your extra hard-earned money and welcome your new beauty.
Apart from this, you enhance your car by installing car speakers, car reverse camera, high quality car seats, etc. It is your precious thing and a small scratch on it can get your heart racing. Sadly, accidents are unavoidable but you can be prepared for outcomes.
The best protection your car can get is insurance.
Car insurance protects the owner’s car from accidents and damages that might lead to a huge financial burden on him or her. The insurer needs to inform the company and it will then take care of the major repairs or losses.
The next question that arises is which is the best insurance company. Fortunately, or unfortunately, whatever you call it, the market is flooded with numerous companies that are ready to serve you. Each company has its own history. However, the benefits offered are similar to competitors.
Their track performance differentiates them from each other. Based on this, you can find 10 best car insurance companies in India.
Often, we require expert help to make the right decision. In India, the Insurance Regulatory and Development Authority Of India (IRDA) has the power. As per the IRDAI’s 2018-19 report we have made the list of top 10 companies.
Top 10 Car Insurance Companies in India
Check out the list of best car insurance companies in India with their Incurred Claim Ratio (ICR), headquarters, branches and the number of network garages where you can avail cashless repair facility:
1. Bajaj Allianz General Insurance Company
Bajaj Allianz General Insurance Company is certified by IRDA and is one of India’s leading insurance companies. It was started in 2001 and currently operated in almost 200 cities.
The company offers a wide range of insurance products that you can purchase according to your needs. It has enabled penetration with its digital products. Delivering excellent value and superior service is the aim of the company.
2. Bharti AXA Motor Insurance Company
This company is owned by Bharati Enterprises, with a combined undertaking with AXA. AXA who is a global leader in financial products and services. Bharati Enterprises holds 51% and AXA holds a 49% stake in the company.
Founded in 2009, the company offers insurance policies for commercial as well as retail clients. Its multiple products include car insurance, two-wheeler insurance, health insurance, home insurance, critical illness insurance, etc.
3. Cholamandalam MS General Insurance Company
Cholamandalam MS General Insurance Company Ltd (Chola MS) is a joint venture between the Murugappa Group and MS General Insurance Company (MSIG). The company’s motto is trust, technology and transparency.
It provides a wide range of effective car insurance policies that you can choose from.
4. Future Generali India Insurance
This organization is a joint venture between the Generali Group and Future Group. The company features among the world’s 60 largest companies. This 187 year old global insurer has suitably benefited from Indian expertise and global insurance insight.
The company has acquired ISO 9001:2008 and ISO 27001:2013 in 2013 and 2014 respectively.
5. HDFC ERGO General Insurance Company
This is one of the leading insurance companies that is a joint venture with HDFC Ltd and ERGO International AG. The latter is the main insurance body of Munich RE Group.
It offers a variety of insurance policies like travel, car, health, etc. Customers can also buy marine, liability and property insurance products. It has acquired ‘AAAA’ rating by CRA limited. The company is also ISO certified for its customer service, policy issuance and claim services.
6. IFFCO Tokio Insurance Company
This company is a joint venture of IFFCO (The Indian Farmers Cooperative), Tokio Marine and Nichido Fire Group. Since 2000, this is a rapidly growing insurance company in India.
It provides a wide range of motor insurance solutions as well as insurance policies that cover all requirements of motor insurance. The company provides easy claim settlements with a seamless solution.
7. National Insurance Company (NIC)
The National Insurance Company was started in 1906 and is the oldest insurance company in India. It is the only PSU non life insurance company based on the principles of Swaraj (self-governance).
NIC has been awarded as the ‘Best In Service’ in the health and motor classes of business. This sector forms about 63% of the Indian non life insurance market.
8. New India Assurance
New India Assurance Co Ltd was founded by Tata Founder Member- Sr Dorabji Tata. It was nationalized in 1973 with the merger of Indian Companies. Being one of the leading insurance companies, it is the first Indian non life company to reach Rs. 14304 crore gross premium.
It also has its subsidiaries in Japan and New Zealand. The company was earlier a subsidiary of the General Insurance Company of India (GIC).
9. The Oriental Insurance Company Limited
Established in 1947, the company made a humble start with a first year premium of Rs 99.46 in 1950. The organization’s aim is ‘service to clients.’
The company’s head office is situated in New Delhi and has over 31 regional offices. It operates internationally in Dubai, Kuwait and Nepal.
10. Reliance General Insurance Company
This organization is a part of Reliance Group that caters to every general insurance product like motor, health, travel and much more. It has more than 28900 intermediaries across India.
The well known Global Quality Standards Auditing Company, Det Norske Veritas (DNV) has rewarded Reliance General Insurance Company for its Quality Management System.
This is the first Indian company to receive ISO 9001:2008 certification for its end to end services all over the country.
Having known the 10 best car insurance companies in India, let’s now look at the type of car insurance policies in India.
Types of Car Insurance Policies in India
In India, car owners can purchase two types of insurance policies, they are:
1. Comprehensive Car Insurance
This car insurance policy provides complete protection to the car from any unforeseen risks like theft, accidents, vandalism, manmade and natural disasters. It also covers third party accidental liabilities that the policyholder is legally bound to pay.
In addition, this insurance also provides protection to the car owner of the insured car.
2. Third Party Liability Car Insurance
This type of insurance protects against third party liabilities of the policy holder that arise out of property damages, death or bodily injuries to the third party. This insurance does not cover any damages suffered by the insured vehicle or its driver.
Key Points to Consider While Choosing Best Car Insurance Company in India
1. Engine cover
It provides extra protection by safeguarding your car engine against damage or unforeseen risks.
2. Roadside assistance cover
In case you are stranded due to a car accident or car’s tyre puncture, you can avail the option of roadside assistance. It enables you to call your car insurer and make a request to send a car mechanic to your location.
3. Zero Depreciation Cover
When you opt for zero depreciation cover in your car insurance, the depreciation on substituted car parts is waived off by the company. It denotes that you are eligible for getting a high amount of claim.
4. Personal accidental cover
Personal accidental cover protects the car’s owner against unfortunate and unexpected events that might take place like physical trauma, accidental death or the person might become completely disabled due to road accidents.
5. Insurance company reviews
Make sure you ask your extended family and friends about their experiences with a specific car insurance company. The feedback from your dear ones will help you get insights about the company’s customer support and procedure work. This will help you stay worry free when claiming the insurance.
6. Look for flexible car insurance coverage
Due to a varied consumer base, there are different kinds of policies. You must choose car insurance depending on your personal needs. An insurance provider that offers flexi cover packages should be given priority.
This involves an insurance package that is tailor made for you according to your needs.
While choosing an insurance company it is necessary to look for policy features, a number of car garages that offer cashless repairs, add on cover and much more. You can choose car insurance from any of the above listed companies.
Make sure the insurance claim you choose offers maximum benefit with a nominal premium.
Car Insurance Companies – FAQs
1. Which is the best insurance company in India?
The best car insurance company might be different for everyone. Every car owner has different needs and the company that fulfills his requirements might become his favorite.
If you are looking for the best car insurance company, you will have to compare different car insurers based on their benefits and coverage.
How is the third party premium for car insurance calculated?
The third party premium is fixed by IRDA every fiscal year. It depends on the engine cubic capacity (ICC) for every car.
2. What documents are required to buy car insurance in India?
A car owner requires the following documents
- Car insurance proposal form
- A copy of the RC (registration certificate) of the car
3. Do I need to notify my car insurance company if I change the CNG in my car to LPG?
Yes, if you want to change your car fuel type, you first need to contact your car insurer and get the information updated in your policy. This is important because the fuel type affects the premium price of your car insurance.
4. Is it possible to change my insurance company?
Yes you can change your insurance company at the time of renewal if you are not satisfied with the current company’s services.