How Can I Reduce The Amount Of Car Insurance Premium For My Plan?

Cars are an integral part of the overall vehicular traffic in India.  This has also resulted in an increase in the number of road mishaps in the country. The Government of India has made third-party insurance mandatory for cars to ply on roads making car insurance premiums an expensive affair.

Does this mean one has to settle for paying a higher car insurance premium? Even with such stringent norms, there are ways to reduce your car insurance premium.

Tips for Reducing your Car Insurance Premiums

• Do not go for small claims as these result in the nulling of NCB every time you make such small claims. On renewal of your car insurance policy every year, the NCB amount gets deducted from the premium price thus reducing the premium amount to be paid by you.
• Increasing the deductibles can help in reducing the car insurance premium for the policyholder. Deductibles are out-of-pocket expenses incurred by the policyholder while making a claim.  The ideal deductible amount should be lower than the No-Claim Bonus (NCB) amount which is entitled to the policyholder in the next year.
• Make sure that you transfer the accumulated NCB to your new car as the car insurance policy is in the name of the policyholder and not the vehicle. So, if you opt for a new vehicle, you can get such NCB transferred resulting in a lower insurance premium for the new car.
• Getting safety features like gear lock, anti-theft alarm or steering lock installed in your car will ensure protection to your vehicle from theft and also, help in reducing the insurance premium to be paid annually by around 5%.
• Compare insurance plans online, so as to get the best quotes at the click of a button. Online plans are paperless and are known to give better deals as compared to offline plans.
• Multiple insurance policies with the same insurance provider will help to reduce your car insurance premium.