Getting insurance for a car is an important task and a necessity because it is a protection plan and a mandate by law. But how? Get an agent, visit an insurance company, or do it yourself online! The third option might seem scary, but we are here to help you with it.
This blog is for people who think online insurance operations or insurance shopping is a difficult task. It is not! If anything, it is convenient, easy, and quick. Any other way will consume a lot of time, energy, and money from you.
We are going to discuss the 5 important stages and phases of purchasing car insurance online. All it takes is a few clicks on your laptop, and you will have a brand new policy in your hand or in your mail!
5 Phases of Purchasing Car Insurance Online
- Extensive Research
This research should include all the aspects of a car insurance policy. With online facilities, it has become extremely easy to gain information about things like insurance policies and factors that affect the decision of choosing one.
Research all the types of policies, add-ons, riders, covers, exclusions, and benefits you can potentially receive if you choose a certain motor car insurance policy. There are various important concepts like renewal, policy lapse, switching providers, insured declared values, coverage, deductibles, endorsements, etc. Understanding these terminologies will help you in the long run.
- Comparing Policies
After researching all the necessary information, you can begin with the comparison of different policies. Before, you would’ve had to travel from one office to another, one agent to another, to find the best possible coverage and policy.
But when you buy car insurance online, with the blessing of technology, the internet is a friend in our procedure to compare policies. You can use a car insurance premium calculator to compare various plans and compare costs with different combinations of add-ons and covers.
Comparison of plans is necessary because it helps you find the best coverage at a cheap cost. However, without comparison, you might make the wrong choice and choose an expensive plan that hardly offers any good coverage.
- Type Of Policy
There are 2 major types of policies when you purchase car insurance online: comprehensive and third-party liability. Third-party liability is the most basic type of coverage that covers third-party finance in case of an accident. It is also mandatory by law. A comprehensive policy is when the plan covers damage for third-party liability as well as own damage.
Your usage, driving, financial planning, and requirements will determine the type of policy you need. This is an important decision and also an easy one. If you want the least type of coverage, you can go for the mandatory coverage, third-party liability. But if you want various benefits, add-ons, and complete-comprehensive coverage, you can opt for the comprehensive insurance plan.
- Deciding Sum Assured
There is a certain way of finding out the ideal insured declared value or sum assured for a car. There is a formula that you can find on the internet. You can also use the premium calculator to see what amount suits you better according to your financial plan because this amount directly affects the amount of premium you will pay for the policy tenure and on renewal of the policy.
This is the amount that you receive on raising a claim, so be sure not to lower it too much. Without zero depreciation car insurance coverage, the IDV will be counted according to the car’s age. So, you need to make sure it is somewhere around the market value.
- Issuing The Policy
You visit the website of the insurance company you have chosen, fill out the application form with all the necessary details, and pay the application fees with the premium amount.
Issuing the policy is the last stage you pass to get car insurance online. You need some necessary documents to complete this step, like identity proof, driver’s license, registration number, engine number, chassis number, make and model of your car, bank account number, preferred insurance type, add-ons (if required), etc.
The insurance company carries out the remaining procedure of surveying and inspecting your car, and then your policy is assessed and accepted.
Once you receive your policy, you can drive your car stress-free. If you get into an accident, you can contact your insurance company for the necessary help. For that, your policy needs to be active and to keep your policy active, you will have to renew your policy.
With the help of the internet, each and every function mentioned above is available online, and you can do it seamlessly. Be sure to make good use of the internet when it comes to your car insurance policy!