Reasons to Buy a TATA Car Insurance Policy
Purchasing a new car takes a lot of financial planning. Once you go ahead with it, you want to do everything to keep your four-wheeler protected. It's a
good idea to buy car insurance for this purpose. This insurance product acts as a safety net if your vehicle is involved in an unforeseen incident. An accident, natural disaster, human-made calamity, or theft can occur anytime.
Here are some reasons to purchase a
TATA car insurance policy:
Third-party insurance is a legal requirement
To comply with the Motor Vehicles Act of 1988, car owners in India must have third-party liability car insurance, irrespective of their vehicle's make and model. With this insurance, the policyholder has protection against third-party legal liabilities. Third-party insurance covers the costs arising from the insured TATA car injuring a third party or damaging their property/vehicle. In the first case, the insurance plan pays the medical expenses of the injured third party. In the case of third-party property/vehicle damage, the insurance policy bears the cost of repair. The insurer also takes care of accident-related legal matters.
Coverage against damage to the insured vehicle
Natural disasters such as typhoons, floods, earthquakes, hailstorms, cyclones, lightning, and the like can severely damage your TATA car. Own-damage insurance financially protects the policyholder against damage to the vehicle due to such unforeseen events. Moreover, own-damage insurance also provides coverage against losses/damages caused to the car because of human-made calamities (acts of terrorism, riots, vandalism, strikes, and the like). It also covers inundation, thefts, self-ignition, fires, explosions, and other unfortunate incidents.
Saves money later
When your TATA car suffers losses/damages due to unpredictable events, the consequential repair/replacement costs can cause a dent in your finances. You can save yourself and your family from such hefty expenses in the future by directing a small amount towards car insurance premiums. Since the insurance market is brimming with various policies, finding an insurance plan suitable to your requirements isn't as hard. Consider opting for
comprehensive car insurance as it provides both third-party and own-damage coverage. You can also make the policy coverage scope more extensive by buying add-on covers.
In the aftermath of an accident, you must complete various tedious and time-consuming processes like getting the insured car repaired and resolving the matter with the third party involved. The insurer negotiates with the third party and pays for the repair costs of your vehicle. Many insurers also get the car towed to a network garage for repair. Just make an insurance claim, and your insurer will get cracking on these tasks for you, saving you time.
A good car insurance policy also helps you have peace of mind. Any damages or losses affecting your TATA car will not burn a hole in your pocket.
Types of Car Insurance Policies
car insurance policy with adequate coverage is crucial. If you lack this, it's equivalent to not having insurance coverage at all. There are two main types of TATA car insurance policies you can invest in—third-party liability and
comprehensive car insurance.
Third-party TATA car insurance
As mentioned earlier, third-party liability insurance is a
legal mandate for car owners in India to drive their four-wheelers. With this type of insurance, the policyholder has financial safety if they injure a third party or damage to the latter's property/vehicle in an accident. When dealing with third-party insurance, you must know the following terms:
First party: The policyholder or the insured individual
Second party: The insurance company or the insurer
Third party: The person who demands compensation for injury or damage caused to them or their property/vehicle by the first party.
A third-party policy is also known as an act-only or liability-only policy. It covers the legal and financial liabilities when the third party seeks compensation for any injury or damage to their property in an accident. Third-party insurance premiums are affordable and uniform across insurance providers.
Comprehensive TATA car insurance
If you're looking for a single policy that offers extensive coverage, opt for comprehensive car insurance. Such insurance covers financial and legal liabilities resulting from a third party injury or damage in an accident. Additionally, you will get financial protection against damage to your TATA car due to accidents, natural disasters, human-made calamities, thefts, fires, and the like.
The main advantage of
comprehensive car insurance is the holistic coverage it offers. Although you may shell out extra for this kind of policy compared to a standalone third-party insurance plan, it provides better protection.
Repairing or replacing the components of your TATA car may be expensive. Comprehensive car insurance helps you avoid such a blow to your finances if your four-wheeler gets damaged.
Both third-party and comprehensive TATA car insurance policies are available with a validity of one year. Non-renewal of your insurance plan before the deadline results in you losing your policy coverage. Driving with an expired insurance policy is a legal offence—you may have to pay hefty penalties due to this. The Insurance Regulatory and Development Authority of India (IRDAI) mandated multi-year third-party insurance policies for car owners as a remedial measure against this problem. No matter the type of
car insurance you plan to buy, carefully read the policy inclusions and the fine print before purchasing to know the exact coverage you have.
TATA Car Insurance Policy Inclusions
TATA car insurance policy typically offers:
Third-party liability coverage
Injury to a third party
If your TATA car injures a third party in an accident, the insurance provider pays their medical bills (unlimited liability). The Motor Accident Claims Tribunal uses its discretion to decide the compensation the third party receives.
Demise of a third party
If an accident involving the insured four-wheeler results in the death of a third party, the insurer compensates their family with a certain amount.
Damage to third-party property or vehicleIf the insured TATA car causes damage to third-party property due to an accident, the insurance company compensates them up to Rs. 7.5 lakhs. The insurance policy also provides compensation for damage caused by the insured four-wheeler to a third-party vehicle.
The motor insurance provider handles accident-related legal liabilities involving the insured TATA.
Your own-damage insurance policy
bears the cost of repairing or replacing parts of the insured car damaged in an accident. Many insurers also get the insured four-wheeler towed to an authorised network garage for repair.
Natural disasters such as earthquakes, storms, lightning, floods, landslides, cyclones, and the like can severely damage your TATA car. Own damage insurance extends financial protection against losses or damages the insured vehicle suffers due to unforeseen events.
With own-damage insurance, you also have coverage against damages/losses caused to the insured four-wheeler because of strikes, vandalism, riots, acts of terrorism, and the like.
If your TATA car gets stolen and remains untraceable, the insurance provider gives you a compensation amount matching the insured declared value (IDV) mentioned in the policy document.
You also have financial protection if the insured car suffers damages/losses due to fires, self-ignition, explosions, and the like.
Damage caused while shifting the car
The insurer bears the cost of repairing or replacing car components damaged while the vehicle is in transit by road, air, rail, or elevator.
Damage caused by animals
If animals cause damage to the insured four-wheeler, the
TATA car insurance policy covers the consequential repair costs.Engine protection cover (bears the cost of repairing any engine, gearbox, or differential parts damaged due to causes other than accidents)No claim bonus (NCB) retention cover (keeps your accumulated NCB intact even if you file a claim)Key protect cover (pays for repairing or replacing your car keys and lock)Personal accident cover for co-passengers and paid driversZero depreciation cover (prevents the deduction of depreciation from the claim amount for repairing̉/replacing car components damaged due to an accident)
To make the policy coverage more comprehensive, purchase optional (or add-on) covers such as:
Remember, some optional covers are only valid if the insured vehicle is less than three years old. The
car insurance exclusions stated in the policy documents help determine the covers applicable to your TATA car.
TATA Car Insurance Policy Exclusions
No matter which type of
motor insurance policy you buy, it will exclude coverage for certain risks or events. Read these exclusions when purchasing a car insurance plan to avoid claim rejection later. Although
car insurance exclusions vary by the insurer, some standard ones include:
Driving without a valid licence
You must have a valid licence to drive a car legally on Indian roads. Because of this, your driving licence is one of the first documents the insurance provider verifies when you file a claim. For instance, a minor can damage the car in an accident. In such a case, the insurance policy won't cover the cost of repairing or replacing any car components.
Damage due to drunk driving
Driving under the influence of alcohol or other such intoxicating substances is a punishable offence. The insurer won't cover any damages to the insured TATA car if the driver has been intoxicated. Although you could avoid a penalty imposed by the police, your insurance claim won't get settled.
Normal wear and tear and depreciation
Car insurance policies exclude cover for any routine losses, such as normal wear and tear, affecting the vehicle due to regular use. Similarly, it will not cover malfunctioning of components, mechanical or electrical breakdown, rusting of parts due to weather conditions, and the like. Thus, insurers deduct depreciation from the claim amount.
Damage due to war
Car insurance doesn't cover car damages because of war, biochemical attacks, civil wars, nuclear explosions, invasion, mutiny, and the like.
The insurer doesn't pay for any losses/damages affecting the insured four-wheeler due to actions of the policyholder or a third party. For instance, if the engine of your TATA car gets damaged because you tried to start it in a flooded area, you will have to bear the repair expenses. The reason for this is simple—it was your actions that led to the damage, not natural causes. Similarly, if you drive the insured vehicle on the wrong side of the road, you may cause an accident and damage it. You will have to pay out of pocket for its repairs.
TATA car insurance plan doesn't offer coverage for any damage/loss caused to the insured four-wheeler because of the policyholder entering a contract (contractual liability). For instance, if you loan the car to someone who damages it, the insurer won't cover the repair costs.
Violation of the policy terms and conditions
You will not get financial protection against any damages/losses caused to the insured vehicle because of actions violating the policy wording. For instance, using the insured car, registered as a private vehicle, for commercial purposes breaches the policy terms and conditions and could lead to the insurer nullifying your plan.
Renew your insurance policy within the stipulated period to continue enjoying policy benefits. The insurance company will not cover any damages/losses the car suffers once the policy lapses. Your claim is likely to get rejected if you raise it with an expired policy.
Car insurance exclusions are not a cause for worry. Insurance providers offer some add-on covers to fill a few of such coverage gaps.
Add-on Covers for a TATA Car Insurance Policy
Add-on covers enhance the protection offered by your
car insurance by providing features a standard policy lacks. Various add-on covers are available to improve the coverage of your
TATA car insurance policy, such as:
Zero depreciation cover
Since your four-wheeler is a depreciating asset, its value is continuously reducing. A zero depreciation cover allows you to get components of your car (except tyres and tubes) repaired under an own-damage claim without deducting the depreciation. Get the vehicle repaired at an authorised network garage to benefit from this add-on cover.
Key protect cover
With a key protect cover, you don't have to bear the cost of repairing or replacing your car keys, lock, and lockset. The insurance policy covers this expense if the new accessories are the same as the lost or damaged ones.
Your car's screws, nuts, bolts, fuel filter, lubricants, engine oil, and the like make up its consumable parts. Repairing or replacing such components could lead to the accumulation of multiple minor expenses, possibly taking a toll on your finances. A consumables cover pays for repairing or replacing parts damaged due to any perils covered by the insurance policy.
Engine protection cover
With an engine protection cover, you can let go of any financial worry. You will not have to pay for repairing the engine, gearbox, or differential parts damaged due to water ingression, leakage of lubricating oil, or other such causes.
This add-on becomes active in the case of a theft or total loss of the insured TATA car. The total cover compensates you for the expenses you incur on the insurance premium, tax, registration fee, and other such charges imposed on the four-wheeler. The insurance provider pays the premium on a pro-rata basis for the unexpired policy period.
Daily allowance benefit
If your car gets severely damaged due to an accident, you must send it to an authorised service centre for repair. However, while the network garage repairs the four-wheeler, you may have to incur travel expenses. If the garage takes more than three days to repair, the daily allowance add-on reimburses you for your commute expenses.
NCB retention cover
The insurer gives you an NCB, a discount on the own-damage premium, as a reward for not filing any claims during a policy year. The NCB builds up over the years and can range between 20% and 50%. If you raise an own-damage claim, the NCB becomes zero. However, if you buy an NCB retention cover, your bonus will not change even if you file a claim.
EMI protection cover
An accident involving your TATA car can burn a hole in your pocket due to the consequential repair/replacement expenses. Having an EMI protection cover can ease some of this financial burden. This add-on pays up to three of your car loan EMIs if the network garage takes more than 30 days to repair the vehicle. The insurance company directly pays the loan provider.
Car insurance add-ons increase your insurance premium, so choose them carefully when buying or renewing your policy.
How to Buy and Renew TATA Car Insurance Online
Nowadays, thanks to technology, people can complete most of their tasks quickly from the convenience of their homes. To meet customer needs, the majority of insurance providers have an online presence now. So, customers can
easily buy or renew car insurance.
online car insurance purchase and renewal include:Time-savingZero to minimal paperwork requiredEasy comparison of insurance policiesNo involvement of an agentGenuine insurance policiesThe customer immediately receives a soft copy of the policy document.Best deals and discountsConvenient
Here is how you can buy a
TATA car insurance policy online:
Visit the website of the insurance company and click on the car insurance option.Type in the required car-related details, such as the registration number, make and model, cubic capacity, chassis number, and the like. The registration certificate (RC) book, issued for your four-wheeler by the local RTO, contains this data. You may also have to provide details such as your name, mobile number, email ID, qualifications, and driving licence validity.Enter your car age, and select your preferred type of insurance policy—a third-party liability policy or a comprehensive car insurance policy offering third-party and own damage coverage.Pick the add-on covers of your choice (total cover, zero depreciation cover, engine protection cover, NCB retention cover, and the like), if any. Make sure that the optional covers you choose suit your requirements as they add to the insurance premium.You must provide other information, such as your NCB and past claim experience, to estimate an own-damage insurance premium.Use the online premium calculator to get an insurance quote.Upload scanned copies of the required documents if any.Make the payment for the insurance premium and applicable service tax using a debit/credit card, internet banking, or any other online payment mode.You will immediately get a soft copy of the policy document on your email ID.
Remember to choose an IRDAI-registered insurer, carefully read the policy wording before paying the premium, and check whether the details in the final policy document are accurate.
Purchasing a good insurance policy and renewing it before the deadline are both crucial. To renew your
TATA car insurance policy online:
Go to the official website of the insurer and select the option to renew your car insurance plan.Provide your policy number, car registration number, and other details asked for on the website.Proceed to the next page, where you get to review the policy details and modify your add-on covers if required.Verify whether the premium amount displayed on the screen is accurate.After checking the car and nominee details and ensuring that the information is error-free, click on the Pay tab.Pay the premium via internet banking, debit/credit card, or any other online payment method accepted by the insurance company.The insurer will send an e-copy of the renewed car insurance policy to your registered email ID.
Non-renewal of insurance policy within the stipulated period leads to a break-in. You also lose your NCB and policy benefits if you don't finish the policy renewal within the 90-day break-in period. If this occurs, you must purchase a new insurance policy, typically issued after the TATA car undergoes a satisfactory inspection and the insurance company receives the necessary documents. You cannot file claims without a valid insurance policy.
How to Claim TATA Car Insurance and the Documents Required
Knowing how to claim car insurance will help you have a hassle-free claim settlement process. There are two categories of claims: cashless claims and reimbursement claims.
Take the cashless claim route to get the insured TATA car repaired at an authorised service centre without paying any repair costs. The only exceptions to this cover are the deductible, depreciation (if your policy lacks a zero depreciation cover), and other repair expenses outside the coverage. The insurer directly settles the repair bills with the network garage.
Here are the steps to raise a
Inform the insurer about the accident by calling their toll-free number, emailing them, using the Self-i app or website.
Collect information about the third party involved in the accident, including their vehicle number and contact details. Also, gather information about the witnesses involved, if any.
Go to the nearest police station to register a First Information Report (FIR) about the accident. Provide as many details as possible while reporting the incident. These include the accident location, the vehicle number and contact details of the third party, the witnesses, and the like. Keep a copy of the FIR with you.
File the claim online or offline by submitting a claim form, along with details of the accident and the relevant documents. To begin the offline claim process, visit a branch of the insurer.
Move the car to a network garage for repair or ask the insurance provider to tow it for you. At the garage, the vehicle undergoes an inspection. The garage then gives an estimate of the repair work to the insurance provider. The repair work starts upon the insurer's approval. The garage sends the repair bills to the insurance company, which verifies them before paying. You only have to cover the depreciation and deductible.
Reimbursement claims let you get the insured TATA car repaired at your preferred garage, even if it's outside the network list of the insurer. Settle the repair bills, then submit them to the insurance provider. You get reimbursed for the expenses incurred based on these repair bills. The steps to raise a reimbursement claim and a
cashless claim are alike. Here is how you can file a reimbursement claim:Follow steps 1 to 4 mentioned earlier.Shift the damaged car to a garage of your choice for repair.Clear the repair bills with the garage.Inform the insurance company about the repairs and send the original bills and receipts for reimbursement. The insurer reimburses you after evaluating them.
Claim approval hinges on you submitting appropriate documents, irrespective of the type of claim you file. The documents you need to raise a
car insurance claim after an accident are:The claim form, duly filled and signed by the insured individualThe policy document or cover note (proof of insurance) mentioning the policy numberAn RC copyAn RC book copyEngine and chassis numberAccident details, such as the location, date, and timeAn FIR copyMedical receipts (if you suffer physical injuries)The odometer reading of the insured carA copy of the driving licence of the person operating the car at the time of the accidentThe original repair invoice and payment receipt (the former suffices if it's a cashless claim)The original tax receiptA garage-issued estimate of the repair worka garage-issued Claims Discharge Cum Satisfaction Voucher that has your signature across a revenue stamp (if the insurer must directly pay the garage)
For a smooth and quick claim settlement process, make sure you keep these documents in an easily accessible place.