The ‘Pay As You Drive’ insurance product is a comprehensive own damage (OD) plus third party (TP) policy. There are two basic types of ‘Pay As You Drive’ policies — one is based on the kilometers driven and the other is the number of days the insurance policy is on, said experts. ​Who should opt for ‘Pay As You Drive’ insurance? ET Wealth Online explains

The manufacturer, model, and attributes of the car are some other criteria that affect the cost of auto insurance.

In order to allow the policyholders a wider choice, IRDAI has proposed to permit all general Insurers to offer long-term motor insurance policies — a) 3-year in respect of private cars co-terminus with motor Third Party Liability cover, b)5-year in respect of two-wheelers co-terminus with motor Third Party Liability cover.

If the app remains inactive or is switched off for a continuous period of 24 hours, the customer will earn one day as a reward. However, in the event of a claim, reward days and cashback will not be applicable

The motor floater insurance plan provides own damage cover, third party cover and the no-claim benefit.

According to the Motor Vehicles Act of 1988, anyone who owns or operates a motor vehicle in India must have third-party insurance coverage.

Customers can complete the entire process within five minutes using video pre-inspection and get the policy in less than 30 minutes.

Pay-as-you-drive policies allow buyers to set a mileage limit for their car and offer them discounts over the normal premium. The lower the limit, the bigger the discount over the normal premium. The insurance is valid only up to the limit chosen by the buyer. One insurance company offers three slabs of 7,500 km, 5,000 km and 2,500 km.

“As a step towards facilitating technology-enabled covers, Irdai has permitted general insurance companies to introduce tech-enabled concepts for the motor own damage (OD) cover,” the Insurance Regulatory and Development Authority of India (Irdai) said in a statement.

Car Insurance is must this monsoon for you to avoid any financial damage due to unexpected circumstances