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What you must not do while buying car insurance

 

When it comes to buying any kind of insurance policy, most of us wish to gain the maximum benefit out of the premium paid every year. If you do not file a claim, you do not get any returns on the premium you paid to the insurance company. In India, most people have a habit of filing a claim periodically to see the worth on their premium. Besides filing a claim, you can actually negotiate on the premium that you pay on an annual basis. If you are continuing with the same insurance company year after year, you must have accrued no-claim bonus which you can use to save on the premium. According to some experts, one must ensure that you adjust the no claim bonus against your premium amount generated in the upcoming year. 

You can find a really good deal on car insurance​ if you have done your research thoroughly. You may have seen insurance agents going till any extent to crack a deal. There are several tricks and gimmicks involved in what they say and what you hear. The agent can conveniently play with the facts and confuse you. However, it is your duty to stay cautious and pay attention to the fine print before signing any document. Remember, when you are given a highly tempting deal, make sure you check everything thoroughly before arriving on a conclusion. The deal should be attractive but at the same practical and realistic.

Did you know that there are higher chances of getting misled in a deal with an insurance agent? An insurance agent will do anything to hook you as a client. If you negotiate aggressively, the insurance agent will alter their calculations and lower the buyer’s car which will eventually lower his insurance cover. You may not realise it now but you will be at a big loss when you actually file a claim and receive a lower return.  

Hence, you must check your car’s insurance declared value before going ahead with the transaction. Remember, your deductible and your premium are inversely related. If you negotiate on the premium, the agent will reduce the premium but that will eventually raise the deductible amount. 

In case of an accident or a mishap, the car policy holder has to keep a fat money bag ready. You may get a genuinely good deal if you are looking for a new insurance company and you haven’t filed a claim with your previous insurer.

The current insurance company will do a thorough assessment with your previous insurance company to check the records. If there is any discrepancy, the current insurance company can reject your policy.

A good car insurance policy will cover the driver and co-driver present at the time of the accident. Do not avoid these covers to lower your premium.