10 Factors to Consider While Buying a New Car Insurance Policy

A car insurance plan is a boon for the car owner. It allows you to protect your asset from loses. It is a great financial tool mainly because of its affordability factor. A good car plan offers a lot of benefits. This is why you should get the best cover when you buy a new car. Take a look at this article to know all about the components of a new car insurance plan.


Factors to remember when buying car insurance


1. Type of cover: Car insurance is available in two types – third party and comprehensive. You need to understand what each type of cover offers. Car insurance prices will vary, depending on the type of cover you choose. So, choose the right type of cover based on what your insurance requirements are.

2. Scope of cover: The scope of cover refers to the extent of cover the motor insurance policy offers. Different policies have different levels of cover. You need to see this before you make a purchase and then get the plan with the widest possible scope of cover. Car insurance comparison helps here as you can see the features of the different plans together and then decide.

3. Basic Comprehensive cover: Go through the terms and conditions of the comprehensive plan to see what basic covers your chosen car plan offers.

4. Add-on covers: If you are not satisfied with the basic cover and feel it is insufficient, you can opt for some add-on covers. Also known as riders, these add-on covers offer added protection, albeit at an added cost. The car insurance quote increases if you buy a few riders, but the benefits of the plan increase too.

5. Available discounts: If you feel the car insurance prices are too steep, look for the available discounts. There are many available discounts in car insurance such as the No Claim Bonus. You can also get discounts if you are a member of a registered automobile association.

6. Car insurance quotes: A car insurance quote is the money asked for the cover. You need to assess the quote to see whether it is affordable. You also need to see whether or not the quote is suitable for the covers offered.

7. Importance of comparison: Car insurance comparison is vital. You must compare different plans as only then will you get to know about the different plans, their prices and features. This will help you in choosing your ideal cover.

8. Online options: Do consider buying your car insurance plan online. The online plans are much cheaper and you get to have a fantastic cover at a very economical rate. Car insurance comparison is also easily available when you buy the plan online.

9. Claim information: Before you buy a car plan, go over the claim process. Understand the process. If you feel it is too complicated, look for a plan from an insurer who has an easier claim settlement process.

10. Premium payment: Last but not the least, make the car insurance premium payment a priority. Your car insurance cover won’t commence till the premium is paid. So, pay the premium diligently and enjoy the cover.




You need to choose your car insurance cover very carefully. Not only is it a legal requirement, but buying a car plan is an important investment as well. Your insurance cover will protect you from many dangers and allow you to drive your favorite vehicle with the desired mental peace.


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