Get to know the pros and cons of an electric car

Whether you’re thinking of purchasing an electric car because you want to keep up with the technological advancements, go green or save on fuel costs, here are six things you should know before you make this decision.

The Pros of an Electric Car

• Energy Efficient
  The energy efficiency of a car means the amount of energy from the fuel source that is converted to energy that actually propels the car. An electric car is far more energy efficient than a conventional car. Gas powered cars only convert around 20 percent of the energy into car movement, while electric cars convert about 60 percent.


• Environmentally Friendly
  Electric cars rely on rechargeable batteries and don’t release any tailpipe emissions, which are a major source of air pollution. Electric cars also lead to reduction of overall emission and fuel usage. The fuel that is used can be derived through renewable resources like solar energy.


• High Performance
  An electric car is a high performance vehicle with a motor that’s not just smooth and quiet but also requires less maintenance. The electric car motor reacts quickly, making the car more responsive and make driving a more enjoyable experience.

Who doesn’t love to go on long drives? The journey along with friends, family is almost always a memorable affair. Unless, you encounter a car breakdown. A breakdown can happen without warning and at any time. There is no assurance that your car won’t fail even if it has been properly maintained, thus it is always better to be prepared for any eventuality than to regret later. Here are some of the things that should be there in every car emergency kit.

Spare Tyre

One of the most important components here. Most of us think that the spare tyre in the boot is in flawless and ready-to-use condition. But, that is not always the case. Over time, the spare tyre kept in the boot loses air, resulting in lower tyre pressure. It is advisable to check the tyre pressure before embarking on long journeys.

A spare tyre is the only thing that can help you, when you encounter a puncture/flat tyre on the road. Take care of it, and it will take care of you.

Tyre Jack

That spare tyre is worthless when you don’t have a tyre jack to lift the car up. A jack is a mechanical device designed to lift heavy loads. With a maximum lifting capacity of 3 tonnes, it can easily lift your car up so that you can get to working on the real problem: replacing the punctured tyre.

Jumper Cable

The jumper cable is required when the battery of a car goes dead, or runs out of charge. This problem is more common than you think. Turning off the engine and continuing to use electrical equipment requires electricity from the battery. Some people overdo this, and end up exhausting the car’s batteries.

Jumper cable is a great way to solve this issue, but you’ll need another car with a healthy battery to do a jumpstart. If the journey passes through a remote area, it is better to go equipped with an emergency battery booster.

A report published by Transport Research Wing under Ministry of Road Transport and Highways has revealed that 17 deaths occur in road accidents every hour in India. As per the data cited in the report, 4,80,652 road accidents were recorded in the country, which led to 1,50,785 deaths last year.

Indian roads are among the most unsafe in the world. While there is no substitute to responsible and attentive driving, here are some high-tech safety features that ensure a safe and smooth drive.

Adaptive Cruise Control

The modern day cruise control can, not only maintain a constant speed, but it can adjust the throttle and brakes to keep a safe distance from any object or vehicle in front of your car. If the system senses a potential collision by using sensors and radar, it will tighten the seat belts and apply the brakes.

Periphery Sensors

The technology is designed to notify you about the objects or vehicles in your blind spot during driving or parking. It will alert you with a light, sound or steering vibration if you are about to collide with a car or an object. This high-tech feature may even give you the luxury of reversing the car without even turning back.

Heads-Up Display

You might be forced to look into the navigation screen or your dashboard which means to take your eyes off the road. This is not only annoying but also dangerous while driving the car. Heads-up display puts the navigation and other information right there on the windshield in front of you. It means you don’t have to take your eyes off the road even for a second.

Lane Keeping Assist

The system assists you in driving in your lane. It uses cameras to detect the lane marking and determine if a car has drifted across its marked lane, giving a visual or audible notification. The system turns itself off when you use directional indicators to take a turn. More advanced technology can even steer you back in your lane if you are moving far away from it.

There may be situations where you might want to cancel your car insurance policy. In such cases, there might be a certain amount of money that you might have to pay to your insurance company as fees. Whether or not the fee is charged will depend upon the time when you cancel your plan.

For instance, if you cancel your policy during the term of the insurance, a fee will be charged. If the annual premium has been paid and there is still time left on the policy, then the insurer will be responsible for reimbursement of your premium amount on cancellation.

Reasons for Cancelling a Car Insurance

There may be various reasons why you would want to cancel your insurance policy.

1. Selling the Car: If you want to sell your car, the old insurance will serve no purpose, and you will have to get it cancelled.
2. Switching Insurance Provider: You may be planning to change your car insurance provider for better coverage or a lower premium rate.
3. Moving to a Different Place: Vehicle owners relocating to a different state or city may need to switch their insurance provider.

There could be other reasons too, such as theft of your vehicle, disposal of your car due to the age of the vehicle, and dissatisfaction with your insurance company due to various reasons such as a high premium, stringent policy clauses, lower sum assured, or some similar reason.

Process of Cancelling a Car Insurance

Having an auto insurance policy is imperative for everyone who owns a car. If you choose to apply for cancellation of the existing policy for any reason, you must buy another one after that to stay legally compliant. 

These are the steps to follow for the cancellation of a car insurance policy-

1. To begin the process of cancellation, intimate your insurance company about your decision to cancel the policy in writing. This will set the cancellation process in motion, with the entire procedure taking not more than 15 days.
2. Follow the guidelines provided by the insurance provider.
3. Sign the documents stating that you have opted for cancellation.
4. Once the cancellation process is completed, the insured will receive a letter confirming that the policy has been cancelled; any pending dues to be refunded by the insurer will also be mentioned in this letter.
5. You will also need to follow up with your insurer to collect the Certificate of Insurance. This document will come in handy when you go for a new insurance policy.

Long-Term Car Insurance Cancellation

Car insurance policies spanning three to five years, known as “long-term insurance”, have specific requirements for the cancellation process. You need to keep these points in mind if going for long-term car insurance termination -

1. Pro-Rata Refunds

If the policy is cancelled within a free look-up period, the insurance provider may refund the premium for the unused period after removing the cancellation fees.

2. Policy Transfer

In case you are selling the vehicle, you might be able to transfer the policy to the new owner.

3. No-Claim Bonus (NCB)

The cancellation may affect the no-claim bonus provided by the insurance company. Consult the insurer to know if the collected NCB can be transferred to your new policy.

What are the Consequences of Not Purchasing a New Car Insurance Policy Upon Cancellation?

Unless you don’t have a car anymore, you will need to purchase a car insurance policy again. It is illegal to ply on Indian roads without at least third-party car insurance coverage.

If you fail to purchase a new car insurance policy for your vehicle, you may face the following consequences-

1. Legal actions, including fines, suspension of licence, or imprisonment.
2. You will be liable to pay for the damages and repairs, which may be costly, leading to financial instability.
3. You may lose benefits such as a no-claim bonus if there is a a significant gap between the old and new policies.
4. Lapses in your insurance history indicate a higher risk to insurance providers, which may result in higher premiums when you apply for a new one later.

FAQs

1. Can I cancel my car insurance at any time?

Yes, most insurance providers allow you to cancel your car insurance policy anytime, with a cancellation fee.

2. Will I get a refund if I cancel my insurance mid-term?

Some insurance providers offer pro-rata refunds for unused coverages, but it is suggested to consult with the insurer to clarify these issues.

3. Can I cancel my car insurance online?

Yes, you can start the cancellation process through an email or the insurer’s website. However,  you may need to visit the insurance provider for some formalities.

4. What happens when I cancel my car insurance?

The insurance company usually provides you a refund for the unused amount of the policy. In some cases, a cancellation charge is also levied.

5. Is it mandatory to have insurance when I’m not driving my car?

Depending on the area, you may need an insurance policy, even for parked or unused vehicles.

6. What is the free look-up period in car insurance?

The free look-up period is the grace time given by the insurer during which the policyholder can review the policy terms and cancel the contract without any additional charges.

7. What documents are needed for transferring the insurance policy?

You need a new copy of the registration certificate or RC, Form 29 and Form 30, NOC from the previous policyholder, the policy document of the old car, a new application form, no claim bonus different amount, and a vehicle inspection report for insurance transfer.

Conclusion

Cancelling a car insurance policy is an important decision that needs careful planning and consultation with the insurance providers. Whether you are considering changing your insurer, selling the car, or relocating, understanding the process of terminating the policy is crucial. Ensure continuous coverage is provided by immediately applying for a new policy after the cancellation is completed.

Disclaimer: The information provided in this blog is for educational and informational purposes only. It may contain outdated data and information regarding the Insurance industry and products. It is advised to verify the currency and relevance of the data and information before taking any major steps. ICICI Lombard is not liable for any inaccuracies or consequences resulting from the use of this outdated information.

Amidst your busy schedules, renewing your motor insurance policy can easily slip your mind. Now-a-days, most insurance companies offer reminder facilities for policy renewal. However, if you still missed the date, it is important to contact your insurance provider as soon as you realize the slip. If the policy has just expired, you may be able to reinstate it without any penalty. Ensure you don't take your car out until you get a fresh policy.

The following steps will guide you through the insurance revival process:

Step 1: Get organized

If you failed to renew your motor insurance policy on time, get in touch with your insurance company and fix an appointment for the vehicle to be surveyed. Once the survey is satisfactorily completed you can go ahead and purchase the insurance policy.

Collect your previous policy documents and all claim-related papers. The insurer requires these papers to look into your claims' history and accordingly you will be entitled for a No-claim Bonus (NCB) on your new policy.

Step 2: Keep your vehicle documents handy

Equip yourself with your vehicle details. These include the city where your vehicle is registered or the RTO's address, first registration date, manufacturer's name and model details.

Step 3: Logon to the insurer's website

Avoid tedious paperwork and simply logon to the insurer's website with the documents and details ready at hand. Click on the online renewal option and fill in the details in the appropriate fields. You can renew your car insurance as well as two-wheeler insurance online, by following quick and simple steps.

Step 4: Fill and crosscheck details online

Make sure to fill in correctly the policy number, vehicle registration dates and other details. Before submitting these details, crosscheck them against the documents in hand to avoid miscommunication. On submission of the renewal form, you will receive a quote from the insurer.

A car owner must carry third-party motor insurance under the Motor Vehicles Act 1988. This government-mandated requirement ensures that in the event of an accident, he/she can compensate the aggrieved party for bodily injuries/death or material damages and take care of any legal liabilities arising from the accident.

What is Third Party Car Insurance?

Third-party vehicle insurance is a two-way street. While you might pay a third party in case of an accident due to your fault, this car insurance type can also be available if you are at the other end of the line.

Also known as the ‘Act Only’ plan, this car insurance variant is specifically designed for damages sustained by a third party. However, several insurance providers offer personal accident cover to the insured. This ensures that in the event of an accident, the car owner is not only capable of compensating the third party but can also take care of himself and his loved ones, in case of personal injuries or even death.

What's Covered Under Third-Party Motor Insurance?

Here are a few of the major claims that you can make from a third-party car insurance holder in case of an accident:

• Medical expenses claim in case of bodily injuries incurred due to the accident. You can also claim for treatment expenses for the injuries sustained.
• A compensation claim for physical disfigurement.
• Compensation for loss of earnings due to disability that prohibits from working.
• A compensation claim can also be filed by the dependents of the third-party if he/she passes away due to the accident. This claim is based on the ground of the income lost due to death.
• In the case of a claim filed for damages to the third party, IRDA has capped the compensation ceiling at ₹7.5 lakhs for insurance companies. However, in case the claim exceeds the capped amount, then the deficit has to be paid by the car owner.
• There’s no regulated cap on compensation claims filed for injuries and death.

What is the Claim Process under Third Party Insurance?

Now that you’ve familiarized yourself with the nitty-gritty of third-party car insurance, here is the complete process on how to buy third-party car insurance online and claim 3rd party car insurance if you are the aggrieved one:

Third-party motor insurance compensation claim in case of disability, injuries or death

• File an FIR with the police immediately after the accident and take a copy of the same.
• Obtain the third-party motor insurance details of the car owner.
• Take a copy of the charge sheet filed by the police against the car owner.
• Hire a motor claims lawyer and file a compensation claim case in the Motor Accident Claims Tribunal. Remember, such cases do not fall under the jurisdiction of civil courts. The claim has to be filed in the tribunal court of the area where the accident has occurred or in the area where you (the claimant) reside.
• In many cases, the car owner would suggest an out-of-court settlement, wherein a mutually agreeable amount is settled upon. Although this process is legally permissible, however, it’s best to get the authorities involved in case of an accident.

Third-party car insurance compensation claim in case of property damage

• Property damage is inclusive of damage incurred by your vehicle and your personal property, including your house.
• In the event of such damage, you need to file an FIR and get a copy of the same along with a copy of the charge sheet filed by the police against the offender.
• The claim needs to be filed in the local tribunal court, where the compensation will be decided or rejected after taking into account the submitted documents as well as the story from both sides.
• The maximum limit of compensation in case of property damage is capped at ₹7.5 lakhs.

Documents Required to Raise a Third-Party Insurance Claim

To claim third-party insurance, these are the documents you need-

1. FIR: The copy of the first information report
2. Insurance policy documents for the vehicle
3. Driving licence of the persons involved in the accident
4. Vehicle RC or registration certificate
5. Details of your third-party insurance policy

What You Can Not Claim Under a Third-Party Insurance?

Let us look at the claims that are not covered under third-party liability coverage-

6. Any damage caused to your own vehicle
7. Any injury to the driver or owner of the car
8. Loss or theft of personal belongings during the accident
9. Accidents occurred in excluded areas or while driving under the influence of alcohol
10. Any intentional damage (in case the driver harms someone deliberately).

FAQs

1. How long does third-party claim settlement take?

The process varies from case to case and can take a few weeks to a few months.

2. Can I file a third-party claim if the other driver does not have insurance?

Yes, if you have third-party insurance, it covers the damage and injury to the other driver.

3. Is third-party insurance sufficient for a vehicle?

Third-party insurance protects only other people, their vehicles, and their property during an accident. You should buy comprehensive car insurance online to cover your vehicle.

4. What if the third party refuses compensation?

If the third party refuses compensation, the insurance company may take legal action. The insurer or the policyholder can approach the Motor Accident Claims Tribunal (MACT) or a court to resolve the dispute.

Conclusion

Although these steps might seem easy, getting a satisfactory 3rd-party car insurance claim settlement can be a tough road to walk on. As a car owner, it’s best to secure comprehensive car insurance to avoid huge financial liabilities draining your savings. It is the right way to provide your vehicle a complete safety net.

Disclaimer: The information provided in this blog is for educational and informational purposes only. It may contain outdated data and information regarding the Insurance industry and products. It is advised to verify the currency and relevance of the data and information before taking any major steps. ICICI Lombard is not liable for any inaccuracies or consequences resulting from the use of this outdated information.

If you’re driving across Whitefield in Bangalore or around Marine Drive in Mumbai, there is a high possibility that you’ll come across these 3 things - traffic that takes an eternity to disperse, a jaywalker who has to make his way through the traffic, and a reckless driver who has to overtake every other vehicle on the road. Add to this the degrading conditions of the roads of our country, and being a driver becomes quite a task.

The year 2017 saw the death of 1.49 lakh people due to road accidents which roughly counts for the entire population of Shillong, the capital of Meghalaya. Accidents or their causes cannot be predicted but one can take certain precautionary measures; having a motor insurance plan will definitely help you drive worry-free and forget about the what-ifs.

What constitutes car insurance?

Based on the coverage, there are two types of motor insurance - third party liability policy and comprehensive car insurance policy. The third-party liability coverage pays for the losses or damages caused by your car to any third party during a mishap. On the other hand, a comprehensive policy, along with the third-party liability also covers the losses or damages caused to your own car in case of an accident.

A comprehensive motor insurance plan provides coverage for the damages inflicted to the policyholder’s vehicle, arising out of accidents, vandalism, riots, natural disasters and calamities, loss due to theft and personal accident. A comprehensive motor insurance hence provides an all-around protection to the insured person and his/her vehicle, and thus, enabling them to drive their car stress-free.

What is the need for car insurance?

With expanding formal sector employment, increasing disposable income and easy financing solutions, owning a car is no more a distant dream for the Indian households. Vehicle density seen on Indian roads is greater than the carrying capacity of our current road network. Along with this increased vehicle density, the chances of mishaps and accidents have also increased, thereby, increasing the need for car insurance.

Adherence to the law

As per the Motor Vehicle Act of 1988, a minimum of third-party liability cover is mandatory for every vehicle plying on Indian roads. The third-party liability cover is the arrangement between the insured and the insurer wherein the insurer promises to cover the costs of damages or losses incurred to any third party (in lieu of a price called the premium) arising out of the mistake or negligence of the policyholder or first party.

Takes care of your liability

The mandatory third-party motor insurance essentially guards a car owner from the legal, financial, and medical liabilities that he/she can incur in case of an accident or a collision. The third-party liability cover policy takes care of the liability you owe to the aggrieved party, in case of a loss or damage to the property, bodily injury, or disability caused at your fault. However, the third-party insurance does not cover the policyholder for any loss or damage to his/her own car or property in case of an accident or theft.

Reimburses the damage

While a third-party insurance covers the damages inflicted to the third party, a comprehensive car insurance  takes care of the damages and losses to your own vehicle as well as damges caused to third party.

The same 'pal' who took you and your family on memorable trips, who helped during the children's school-drop routine, whose photo is probably posted on social media websites with friends seated on the bonnet.

However, putting sentiments aside, you might be headed for a tough last ride with your vehicle. Ensure to keep following points in mind to keep your car in good shape.

Absence of service records, irregular maintenance, poor looks

If you've neglected to safeguard all your car servicing records, over the years, it may well be a costly lapse. A potential new owner would like to feel that the vehicle he's looking to buy has been single-owner driven, serviced at regular intervals and generally been treated with care. Nobody wants to be seen with a used car which loudly proclaims that it's a 'used' car.

Driving in tough city conditions, say, monsoon rains and poor roads must have an effect on your vehicle. If you were a careful driver and not succumbed to ego-clashes on the road, chances are you'd have preserved the looks of your car.

If you weren't really a careful driver, given to a bit of bravado, and didn't mind the odd nicks and scratches, you should be prepared for a lesser value on your car. Repairing the dents and scratches as far as feasible will help. Also, boisterous children in the back or generally untidy usage reflected by seat stains for instance, can lower the value of your car.

Customizing your car

Imaginative innovations may have been part of the in-thing some time ago, but tend to have a negative impact i.e. wear-and-tear. Also, the new owner might have misgivings about the impact of such installations (a new, larger fender for example, might not really suit the car).

The mileage factor

Generally speaking, the more the kilometers done, the lesser the value of the car. All of 100,000 kms may be a landmark you will recall fondly including the several inter-State trips, but it's unlikely to bring a smile to the face of the new buyer or dealer who's doing the re-selling.

A popular way people get scammed in our country is by buying fake insurance policies and not realizing they have been conned, until they make a claim. Save yourself from such a shock by avoiding the fake policy trap with these smart tips.

• Rely Only on Credible Sources

It’s not easy to tell if a policy is genuine or fake by merely looking at it, thereby making it important to deal with only credible sources. It’s always safer to buy an insurance policy directly from an insurance company and to eliminate the middlemen, because any dealer or agent can easily print and give out a fake policy.

• Buy the Policy Online or Pay by Cheque

In this day and age, buying an insurance policy online is the way to go. It’s not only convenient but also avoids all risk as the payment is made directly to the insurance company. In case you are buying it offline, make sure to make the payment by cheque. Ensure that the cheque is in the favour of the insurance company and not in the favour of any individual.

• Read the Policy and Verify Using the Verification Link

It’s essential to take a few minutes and read the policy thoroughly. Most insurers now offer a policy verification link on their website, which you can use to confirm the validity of your car insurance policy. In case of further assurance or to clarify details, you can also contact the customer service of the insurance company.

• Buy the Policy from Licensed Insurers

Currently in India there are 33 recognized and accepted general insurance companies. To eliminate the risk of buying a fake policy, you must buy your insurance policy only from one of these 33 insurance companies. You can check the list of these licensed companies on the website of the Insurance Regulatory and Development Authority (IRDA).

Con artists, however, find a way to duplicate the logo of these companies and still manage to sell fake policies. This calls for an additional safety measure, which is checking the existence of the motor insurance policy. You can do this by simply visiting an official branch of the company in your city or going to their website or writing to them.

• Make Use of the QR Code

For all insurance policies sold from December 2015 onwards, the IRDA has made printing of a QR code mandatory on them. The basic purpose of this QR code is to help you verify the genuineness and legitimacy of your policy. You simply have to scan the QR code on an app in your phone and it will present to you the details of your policy and of the insured vehicle.

With these smart ways you can now avoid falling into the trap of fraudsters and protect yourself against buying fake policies.

Why should you check if the insurer is genuine?

It is important to research and buy your four-wheeler insurance from a trusted insurer because of the following reasons:

• To ensure your car is truly protected: A fake car insurance policy offers no real coverage. In case of accidents or damages, you won’t be able to claim any benefits, leaving you financially vulnerable.
• Legal compliance and peace of mind: Driving with a fake insurance policy is equivalent to driving without insurance — it’s illegal and can lead to fines, penalties or even legal action.
• To avoid financial scams: Fraudulent agents may disappear after collecting payment, leaving you with no policy and a lost premium. Verifying the insurer helps you avoid these scams.
• Claim process transparency: Only genuine insurers provide clear, streamlined claim procedures — especially important for comprehensive car insurance, which covers a wide range of damages and incidents.
• IRDAI-backed protection: Legitimate insurers are registered with the IRDAI, ensuring they follow regulations and offer valid car insurance products with proper customer support.

Conclusion

Buying car insurance is a simple but important step that takes care of your vehicle and finances as peace of mind. You can ensure you are protected from potential scams by putting in a few extra minutes. You can research on your own or get in touch with the customer care department of the insurer to answer all your queries before locking in a policy.

Disclaimer: The information provided in this blog is for educational and informational purposes only. It may contain outdated data and information regarding the topic featured in the article. It is advised to verify the currency and relevance of the data and information before taking any major steps. ICICI Lombard is not liable for any inaccuracies or consequences resulting from the use of this outdated information.

The significance of anti-theft devices in vehicles

According to National Crime Records Bureau (NCRB), in 2015, with more than 32,000 stolen vehicles, Delhi topped the list for vehicle thefts in the country. Uttar Pradesh (UP) and Maharashtra came in a close second, with a vehicle being stolen every 13 minutes in UP. These figures are only rising year on year.

The arrests made by the Delhi Police and other state police forces in 2016 reveal how new-age gangs take the help of stolen data, laptops and female members to steal high-end luxury cars. After spending a fortune on your dream vehicle, these numbers across metropolitans and other Indian cities can be startling. Therefore, it is important to check if your vehicle is really secure, beyond the mere lock and key.

Anti-theft Devices and How They Help

With the advance in technology, it is possible to adopt a proactive instead of reactive approach to protect your car. While it is quite unlikely that you can prevent your car from being stolen, there are several warning systems that you can employ to reduce the likelihood of such an event. This is where anti-theft devices play a significant role. The installation of an anti-theft device that is approved by the Automobile Research Association of India (ARAI) not only enhances the security of your vehicle, but also lowers your car insurance premium.

These days, most car manufacturers in India provide in-built anti-theft devices. However, you can also install them at a later stage; the cost would be determined by the technological advancement of the device. Basic mechanical systems will cost less as compared to intelligent computerised systems.

What Type of Anti-theft Devices Do You Need?

• Mechanical Immobilisers

These are the least expensive anti-theft devices in the market. Being visual, these should be enough to ward off amateur car thieves. It is recommended to include an immobiliser in conjunction with other anti-theft devices.

Types of mechanical immobilisers include steering wheel lock, hood lock, tire lock, gearshift lock, ignition/steering wheel column and crook locks, etc.

• Electronic Immobilisers

Many vehicles today come with standard car keys and fobs that protect their cars via electronic immobilisers. These built-in transponders or microchips send signals to the ignition and fuel pump system. The ignition will work only if it receives the correct signals or it remains static.

Road trips are fun and let you travel far and beyond with the convenience and luxury of your own car. While Indian highways now have every facility available, from your favourite burger place to medical stores and garages, to ensure a smooth ride you need to be well-prepared. Impromptu or a well-planned trip, ensure the following before driving off for a memorable experience:

Check Tyre Pressure

Too much pressure reduces grip and increases average, while too less will give you a better grip but reduced fuel efficiency. Check the tread of your tyres to analyse their health. In addition, it is not advisable to drive with worn out tyre treads as it can seriously impact the handling quality of your ride.

Fill-up All Fluids

Ensure that the levels of the engine oil, brake fluid, power steering fluid, coolant are at an optimum level. These increase the life and performance of the car engine, thereby reducing the chance of breakdowns.

Upgrade Your First Aid Kit

A first aid kit is your first line of defence against emergencies and life threatening situations that may happen at any time. Be prepared with a first aid kit that contains specific medicines for particular medical conditions that your passengers may be prone to such as asthma, allergy, antibiotics and painkillers.

Carry Spare Tyre, Puncture Repair Kit and Tools

Tyres are exposed to the most wear and tear, which makes it essential to bring along a spare tyre, tool kit and puncture repair kit. Pre-planning can save you from being stuck in middle of nowhere without a spare tyre.

Charge Battery

Check if your battery is properly charged and won’t cause a problem during your trip. Double check for corrosion on terminals, clean it with baking soda, water and a toothbrush to ensure better conductivity.

Fix Washer Fluid and Wipers

Your windshield should be clean from debris and build-ups. Make sure your wipers are clean and working properly. Maintaining the levels of washer fluid and water will ensure a longer life for your wipers and avoid your windshield from being scratched.

Ensure the Safety of Co-passengers

Seatbelts are often considered as an inconvenience. However, studies have shown that people have an exponentially higher rate of survival in case of an accident if seatbelts were on.

Go for a customised seatbelt in case you are uncomfortable or get extenders that ensure you are safe and not suffocating. Although not mandatory, children should never ride in the front passenger seat. Strap them in the back seat, and if possible, get a car seat for toddlers and infants.

If your car has a central door-locking mechanism, ensure you have the child lock feature on. In addition, make sure all your doors are closed properly before you start your car.

Avoid Drinking and Driving

This one is a no-brainer. When you drive under the influence of alcohol or other substances, it compromises your alertness and sense of judgement. This can cause harm to you as well as others around you. Don’t do it.

Light up Appropriately

This includes headlights, high beams, fog lights, brake lights, indicators and reverse lights. A bad light can easily cause an accident during night-time.

If you are one of those people who have more than one car at home, or have multiple cars registered on the same address, then you would understand the problems that crops up where insurance is concerned. Having multiple cars mean keeping tab of their premium payment dates, renewal dates and going through a lot of paperwork. But, there are car insurance plans available in international markets that provide comprehensive coverage for a minimum of 2 and a maximum of 5 cars.

These insurance policies are known as multi-car insurance, and though they are not yet available in India, we take a look at some of the pros and cons that they come with.

Advantages

• Discounts: This is among the biggest benefits of purchasing a multi-car insurance policy. The insurance company is willing to give better deals if there are more cars being insured under the same policy. A great bargain can be had as most insurers are open to discounted rates in view of the long-term association with customers. Further, it is always beneficial to offer discounts and sign up the whole family, rather than have a single policyholder’s car insured with them.
• Different Drivers: In this policy there is a main driver, and there are named drivers - people who drive the car other than the main driver. It doesn’t matter from the insurance aspect as long as any one of these drivers is in the driver’s seat. The only criterion is that the car should be registered at the same address.
• Paperwork Simplified: With multi-car insurance, it is easier to manage the insurance policies for multiple cars, as they all come under one policy. You only have to remember one renewal date, and make one premium payment for all your cars. The result is less hassle and less paperwork.

You belong to the elite club of owners for whom cars are an extension of their identity, a prized asset, a reason worth spending money, often for overhauling.

While complex repairs should be left to the technical experts, you can surely carry out some effortless preventive maintenance yourself. Here are some do-it-yourself tips to keep your car in great condition:

Car Tires

Pressure: Checking the tire pressure regularly is important as ideal pressure conditions have a bearing on fuel efficiency and driving comfort.

Cleaning: The tire treads should be regularly cleaned with water and sponge. Heat and static electricity generated in moving tires pick up dirt and grime from the road. Cleaner treads enhance the tire life.

Tire Rotation: Exchanging the tires every 8,000 km will balance the wear rate of tires, at the same time ensure improved car performance. Tire rotation is also vital for achieving an even tread wear and a long tread life.

Time to Let Go: Check the tread wear indicator on your tire to know if it is time to replace your tire. A worn out tire poses severe hazard on the road, to you as well as others.

Car Body

Wax and Polish: To maintain the painted surface of your car, opt for good quality wax and polish. A polished car is not only good to flaunt but also serves you for a longer life.

Cleaning: Always remember to clean bird droppings from the car immediately, as they contain acidic fluids that corrode the surface leaving a visibly dull patch. Also avoid body stickers, as the adhesives can damage the paint.

As per the new directive laid out by the Supreme Court and enforced by Insurance Regulatory and Development Authority of India (IRDAI), it is now compulsory for vehicle owners to buy a long-term third party Car Insurance policy. Earlier, you would get a one-year cover from your motor insurance policy but now, as per the order, the mandatory third party insurance cover for cars is three years and for two-wheelers it is five years.

So, if you have purchased a car or two-wheeler post September 1, it is compulsory for you to buy three-year and five-year third party liability covers respectively. Companies have already started selling these products. But, before you purchase any policy make sure that you compare the premiums and discounts.

A comprehensive motor insurance package consists of a third party liability cover, and an own damage component along with different, optional add-ons like zero depreciation and engine protection. Though initial costs of new vehicles would increase, a long-term policy brings several advantages.

Increase in Initial Premium Payment

For private cars, the long-term premium for three years will be approximately 3 times the one-year premium amount, whereas for two-wheelers the premium for the period of five years will be approximately 2.4 to 5.5 times that of the one-year premium amount.

This translates to a one time insurance premium outgo of ₹24,000 compared to ₹7800 for a private car exceeding 1500cc. In the case of bikes with an engine capacity of more than 350cc, the premium would go up to ₹13,000 compared to ₹2300 that is the norm.

Long-term motor insurance policies will be advantageous because as vehicles age and depreciation increases, many people tend to skip renewals or simply forget about renewing the policy. This initiative by the Supreme Court and IRDAI will help improve the penetration of insurance and bring more vehicles under the ambit of insurance.

Don’t Forget Discounts on NCB

Since the tenure of the motor insurance policy has increased to three years for cars and five years for two-wheelers, the annual benefit that NCB offered can no longer be passed onto the customer. The NCB benefit will only be available on expiration of policy tenure. Since the NCB discount is only applicable after the policy expires, insurers are offering upfront discounts on premiums to counter this loss to the customer.

“Customers can get dual NCB benefits in long-term. First, upfront NCB discount in price and secondly, higher NCB discount benefit as against existing NCB grid during renewal after three years. We are awaiting for the regulator’s approval.” says Sanjay Datta, Chief, Underwriting, Claims and Reinsurance of ICICI Lombard General Insurance.

Go For the Appropriate Combination

As the risk of accidents are high in case of two-wheelers, it makes sense to go for a long-term comprehensive cover. The advantage here is that the renewal rates are also extremely low. On the other hand, car-owners should dive deeper to pick the right combination of motor insurance cover. The overall cost of a long-term package will be cheaper in this case, but you have to consider the large one-time outgo on purchase.

The recent Kerala floods caused catastrophic damage not only to human and animal life but also to buildings and cars. In fact, it was estimated that cars worth ₹1000 crores were submerged during the floods.

While such natural disasters don’t come with a warning sign, we can do our best to stay prepared for the aftermath, like purchasing motor vehicle insurance to take care of any expense that may arise due to natural disasters. Water damage can destroy everything from your car’s interiors to your wheels. Read on to find what to do if your car is flooded with water.

Step One: Call Your Vehicle Insurance Provider

Much like any other accident, the first step in your checklist should be to call your vehicle insurance company in case your car is flooded.

Step Two: Do not Try to Start the Engine

While your first instinct when your car is flooded would be to try to restart the engine, resist this temptation. If water has already entered your car engine, trying to start your car can destroy the engine.

Step Three: Assess the Damage

Survey the extent of damage before you take the next step. Debris and mud create a waterline around the interior as well as exterior of your car.

• Water level above the dashboard: Your motor vehicle insurance company will consider the car has been totalled and will require a professional assessment from a mechanic.
• Water below the bottom of the doors: Move to Step Four

Step Four: Open the Doors

If your car is flooded, its interiors, if left unattended, can allow mould to grow. Once you open the doors and roll down the windows, do the following:

• Place towels on the floor
• Get the car to a higher ground

Step Five: Disconnect the Battery

Before you check the other parts of your vehicle, disconnecting the battery can protect you from electric shocks.

Step Six: Look Under the Hood

Do not start your engine if you see any of the following:

• Water droplets on the dipstick
• High oil level
• Water in the air filter

Step Seven: Change Oil and Air Filter

The next step to take if your car is flooded is to change the fluids. You can either carry out these repairs yourself or wait for a mechanic:

• Change the engine oil
• Change the transmission fluid

Step Eight: Check Other Signs of Damage

If you have an older vehicle, chances are the fuel system is not sealed. In this case, you’ll need to check out the following fluids:

• Braking fluid
• Clutch fluid
• Coolant
• Power steering fluid

However, if you are inexperienced and don’t know how to go about it, it is better to contact a professional car mechanic. Additionally, if your car is flooded, electrical components will be the first to get affected. A thorough check is recommended to ensure that all of them are functioning properly.

Step Nine: Check the Tyres

First, clean the tires with a hose to check for damage. Next, check the tire pressure. In case of high pressure, head to a petrol pump to get the pressure to an optimal level.

Step Ten: Total Loss

If your car is flooded and there is a lot of damage, which can create recurring problems, you should consider declaring your car as a total loss. This can potentially save you the hassle of getting it repaired every few days since issues caused due to a car getting flooded can manifest themselves several months or years, after the event.

Follow this detailed checklist in case your car is flooded to assess the situation. However, buying car insurance online is the best measure to protect your car and cover the losses in case of a natural or man-made disaster. Furthermore, a vehicle insurance policy also covers losses arising out of theft or third-party liability.

Frequent issues arising from car flooding

Flooding can lead to several serious issues in your vehicle, including:

• Engine damage: Water entering the combustion chamber can seize the engine.
• Electrical malfunctions: Wiring and sensors are highly vulnerable to water damage.
• Brake failure: Water in the brake lines can lead to inefficient braking or complete failure.
• Mould and odour: Damp interiors can breed mould and create persistent smells.
• Corrosion: Prolonged exposure to water leads to rusting of metal components.
• Airbag malfunction: Water can affect airbag sensors, making them unreliable in future collisions.

Being proactive with your car’s maintenance, opting for and knowing the right steps to take can save you from major financial losses after a flood.

Disclaimer: The information provided in this blog is for educational and informational purposes only. It may contain outdated data and information regarding the topic featured in the article. It is advised to verify the currency and relevance of the data and information before taking any major steps. ICICI Lombard is not liable for any inaccuracies or consequences resulting from the use of this outdated information.

A comprehensive motor insurance cover prevents your financial situation from getting severely affected in the event of your car getting involved in an accident. An accident can result in your car getting severely damaged or destroyed. There are also times when the car is damaged beyond repair and has to be declared a total loss.

When a car is declared a total loss or is stolen, then the motor insurance company pays the insured, the Insured Declared Value or IDV. In layman terms, IDV can also be called the current market value of your vehicle.

The Definition of IDV

IDV is the maximum amount that the insured can claim from the vehicle insurance company in the unfortunate event of his car being stolen or declared a total loss. The value is based on the manufacturer’s selling price and is arrived at by deducting the depreciation of the vehicle. Furthermore, the IDV is solely the value of the vehicle as well as the accessories fitted, and does not cover the cost of insurance or registration.

How Is It Calculated?

The vehicle insurance  company calculates the Insured Declared Value based on several data points. Most of these data points are found in the Registration Certificate of the vehicle. Information such as the city of registration, date of registration and type of registration can be found on this certificate; apart from other details of vehicle like the make, model, cubic capacity and ex-showroom price.

Percentage of Depreciation

As the age of the vehicle increases, the percentage of depreciation also increases. In fact, depreciation kicks in as soon as the vehicle leaves the showroom. The Insurance Regulatory and Development Authority of India (IRDAI) has stated that the maximum declared value of the vehicle cannot be more than 95% of its showroom price.

This means that depreciation takes away 5% from the showroom value of the vehicle, the minute it leaves the showroom, and this percentage stays till the vehicle is 6 months old. After that, the motor insurance company calculates the depreciation based on the following chart.

This is an age of technology and information. Our everyday routine depends on how much we can learn and adapt according to the changing technologies. Just like every other part of our lives, vehicles and the way they are managed and tracked are also transforming. One technical innovation that is helping in this regard is telematics, hardware and software that are used in tracking everything that is to know about a vehicle.

What is telematics?

Telematics is the latest buzzword that has piqued the interest of various industries. It covers all types of telecommunications, vehicular technologies, road transportation, road safety, electrical engineering (such as sensors) and computer science (such as multimedia and internet). It acts like a “black box” for your vehicle, keeping a record of all the data related to it in real time.

How does telematics work in a car?

In cars, telematics systems collect real-time data using GPS and onboard diagnostics (OBD-II) ports. This data includes speed, engine health, fuel consumption, braking habits and seat belt usage. The information is then transferred through a cellular or satellite network to a centralised cloud platform. Drivers and managers can keep track of this data through a user interface, helping them understand driving behaviour and vehicle performance.

Such data is not only useful for monitoring safety but can also influence the cost of third party car insurance. Insurers can analyse driving habits to offer usage-based insurance (UBI), rewarding safer drivers with lower premiums.

How does telematics software work?

Telematics software processes and presents the information of the vehicle in a way that helps owners and other interested parties understand vehicle usage and maintenance. When the data is collected, an analysis is run by the software, which then generates reports and stores the information. Whenever the owner wants, they can check this information related to vehicle location, maintenance alerts and even driving behaviour.

Applications of telematics

Telematics technology has broad and evolving applications:

• Auto Insurance Telematics

Telematics are increasingly being used in motor insurance, with the introduction of Usage Based Insurance (UBI). The idea behind this is a pay-as-you-go system. For example, a driver who is rash and reckless will be charged for future premiums more than a responsible driver. It also eases in direct customer interaction and validation of claims in case of an accident.

• Intelligent Vehicle Technologies

The evolution of telematics has led us to Intelligent Vehicle Technologies. IVT comprises of electronic, electromechanical as well as electromagnetic devices. These devices are used in conjunction with computer controlled devices and radio receivers to aid in artificial intelligence. This helps car safety systems for making rides safer for the users.

• Wireless Vehicle Safety Communications

This kind of telematics aid in car as well as road safety. Road hazards, location and speed of traffic are transmitted on short range radios. This keeps the drivers and home users updated about the most recent traffic conditions in your area, thereby greatly reducing the chance of accidents and traffic congestions.

• Tracking of Shipments

Telematics is also used to track freight containers using Global Positioning Satellites (GPS) for increased security and safety. This feature is becoming increasingly important as more shipping companies are modernising their business infrastructure.
 Similarly, tracking the movement and position of trailers can also be carried using a mobile network or geo-satellite communication. This software directly updates the tracking details through a PC or web-based software.

• Driverless Cars

Google was the first to present us with a working prototype of self-driving cars. Since then, there have been numerous driving tests that have been deployed. The future of this technology looks promising.
 However, there are a few kinks that need to be adjusted. Companies garnered a lot of heat in the news due to minor accidents caused by driverless cars. Regardless of these trivial issues, we are looking towards a bright and innovative future.

• Family and Friends Tracking

Telematics can also help you easily locate your friends and family. With the Internet of Things (IOT) on the rise, we can expect fine-grained control of the tracking features. This in turn will help provide assistance in case of emergencies as it has been observed that if help is given on time, it can greatly impact the survival rate of the victim.

Conclusion

Telematics not only works as a vehicle tracking system, but it is also one of the tools that has changed how people own and secure a vehicle. While one should be aware of the advancements in the industry, don’t forget to cover your bases & secure your car with suitable four wheeler insurance. Whether you're a fleet manager looking to improve efficiency or an individual seeking better rates on your third party car insurance, telematics promises better and useful information and control over your vehicle.

Disclaimer: The information provided in this blog is for educational and informational purposes only. It may contain outdated data and information regarding the topic featured in the article. It is advised to verify the currency and relevance of the data and information before taking any major steps. ICICI Lombard is not liable for any inaccuracies or consequences resulting from the use of this outdated information.

Whether or not you’ve named your car, we know it’s very dear to you. However, in the busy nature of life, the task of periodic car repair and checks can be a little unrealistic. But your car still requires frequent maintenance checks for reducing future repair costs, extending its life and increasing its performance.

With these five basic DIY car maintenance and car service tips, you can take good care of your prized possession without having to be a mechanic.

• Change the Wiper Blades
  Wipers must be changed at least once a year. Old wipers trap dirt and rub it into the glass, which if allowed to go on for too long can be dangerous. Eventually this will lead to a haze effect that will scatter sunlight, blurring vision. This is a safety hazard as it will compromise your view of the road while driving. Most wiper blades are easy to change and come in a varied price range.


• Maintain the Tyre Pressure
  Maintaining the right tyre pressure will not only keep you safe but it will also help you save some extra money. Both, overinflated and underinflated tyres, are a problem because they reduce the grip, work the engine harder and increase the chance of a blowout. Moreover, tyres with the right pressure will increase your car’s fuel efficiency and longevity.


• Check the Oil Level
  It’s essential to check your car’s oil level as frequently as recommended by the manual. Oil lubricates all the moving parts in the engine so they don’t wear and tear to a point of dysfunction. A lack of oil, or the presence of dirty oil, increases the risk of overheating and shortens the life of the engine. A well-oiled engine will significantly increase the car’s efficiency and life. So get into the habit of regularly checking your car’s oil level and go for a oil change when required.


• Keep it Clean
  Keep your car clean inside out. This may sound basic but it is very important. Your car is subject to sun, acid rain, grease, smog and insects. Initially their chemical compounds will eat away the paint and eventually they will attack the metal of your car. Give your car a good wash regularly, remove all the non-essential things cluttering your car and vacuum it on the inside on a frequent basis.

In India, about 75% of the annual rainfall is concentrated in 3-4 months of the monsoon season. This results in heavy discharge from rivers, causing widespread floods during this period. Floods are also the most commonly occurring disaster amongst natural calamities in India. With changing climate patterns and increasing instances of heavy rainfall in urban areas, it is crucial to protect your car from flood-related damage. A standard four wheeler insurance policy may offer limited coverage, but with the right add-ons, you can ensure better financial protection.

Best car insurance add-ons to protect against flood damage

Not all car insurance policies provide comprehensive protection against natural calamities. To safeguard your car specifically from flood damage, consider including these essential add-ons in your four wheeler insurance policy:

1. Zero depreciation car insurance:

This is one of the most recommended add-ons, especially in flood-prone regions. A zero depreciation car insurance policy ensures that you get the full claim amount without any deduction for depreciation on replaced parts. In the case of water damage to metal, rubber or plastic components, this can be a huge cost-saver.

2. Engine protect cover:

Floods can severely impact the engine — the most expensive part of your car. If water enters the engine, repair or replacement can cost a fortune. The engine protect cover ensures your insurer pays for damages arising out of hydrostatic lock or engine seizure due to water ingress.

3. Roadside assistance:

Being stranded in the middle of a waterlogged street is not just inconvenient but also dangerous. A roadside assistance add-on can help you with towing services, battery jump-starts and other emergency help when your car breaks down due to floods.

4. Return to invoice cover:

In cases of total loss or theft, this add-on ensures that you receive the invoice value of the car, not just the depreciated IDV (Insured Declared Value). If your car gets irreparably damaged in a flood, this helps cover the full purchase price, including registration and road tax.

5. Consumables cover:

Flood damage often affects consumables like lubricants, brake oil, engine oil and nuts and bolts. This add-on ensures reimbursement for such items, which are usually not covered under a standard policy.

Steps to overcome flood damage to cars

If your car is already exposed to flooding, here’s what you should do to minimise damage and increase the chances of successful claim settlement:

1. Don’t start the car:

Turning on the ignition after water exposure can cause more damage, especially to the engine. Avoid starting the car and disconnect the battery if possible.

2. Document the damage:

Take photos and videos of the waterlogged surroundings and the affected areas of your vehicle. This evidence will help support your insurance claim.

3. Inform your insurer immediately:

Contact your insurance provider as soon as possible. Most insurers offer quick claim registration and assistance through their apps or customer care services.

4. Arrange for towing through your insurer:

Avoid towing the car on your own. Use the towing service arranged by your insurer to ensure the claim is valid and damage during transit is minimised.

5. Visit an authorised service centre:

Have your car inspected and repaired at a network garage approved by your insurance provider. This ensures cashless repairs and quality assurance.

6. Check your policy coverage:

Before the rains arrive, review your car insurance policy. Ensure it includes vital add-ons like zero depreciation car insurance and engine protection cover to stay fully prepared.

Conclusion

Flood damage can strike unexpectedly, but with a four wheeler insurance policy and the right add-ons, you can protect your vehicle from financial and mechanical setbacks. Take a proactive step today and upgrade your car insurance to ensure peace of mind, no matter the weather.

Disclaimer: The information provided in this blog is for educational and informational purposes only. It may contain outdated data and information regarding the topic featured in the article. It is advised to verify the currency and relevance of the data and information before taking any major steps. ICICI Lombard is not liable for any inaccuracies or consequences resulting from the use of this outdated information.