Top 7 Myths About Comprehensive Car Insurance

For some, insurance is an unfamiliar concept. Thus, it is natural for them to have doubts. What adds to these doubts are the myths that are associated with insurance policies. These myths are fueled by hearsay and add to the existing confusion.

Car Insurance

The following are top 7 myths that are associated with Comprehensive Car Insurance. Let’s have a look at these myths and find out the truth.

Myth 1 – Availing Comprehensive Car Insurance is a tedious process

Reality

Few years ago, when the entire insurance business was conducted on paper, it would’ve been right to consider availing Comprehensive Insurance Car Insurance as a tedious process. Now, in the digital age, purchasing a policy has become extremely easy. Information is provided in an easy-to-understand manner on websites and the purchasing process is similar to online shopping sites that people are used to.

Also, the inclusions and exclusions of the Comprehensive Car Insurance Policy are clearly mentioned in the policy document. The plan is presented in a structured way. It can also be purchased through the App on your phone. Insurance companies have made efforts to make their products transparent and their processes convenient.

Myth 2 – Comprehensive Car Insurance Policy does not cover Third-Party Liability

Reality

Availing a Third-party Liability Insurance is mandatory by law. It is a basic insurance policy that one can avail to stay on the right side of the law and protect the interests of various third-parties that might be affected by an accident caused by your car. Comprehensive Car Insurance is termed as ‘comprehensive’ as it covers the basic, Third-party Liability insurance, as well as provides Own Damage cover.

Thus, a Comprehensive Car Insurance Policy includes a Third-party cover. It also protects the insured from financial losses in case of damages to the car or any injury to self. Co-passengers can also be insured with the help of Add-ons that offer extra coverage.

Myth 3 – Comprehensive Car Insurance only covers accidents

Reality

Comprehensive Car Insurance Policy not only covers accidents but also provides insurance cover against risks such as theft, calamities, etc. This policy offers wide insurance coverage. Third-party Liability and Own Damage are covered, and there are several other Add-ons that further enhance your car’s insurance cover.

Myth 4 – Only new drivers should go for Comprehensive Car Insurance

Reality

This myth stems from the thought that new or first-time drivers might need more cushioning, thus they should opt for a Comprehensive Car Insurance. No doubt it is beneficial for first-time drivers to enhance their insurance cover however, continuing with it when they gain more experience is a wise decision instead of degrading to just a Third-party Liability Policy.

Gaining experience as a driver can help one enhance their driving skills but experience does not provide financial protection against major threats. It does not have any relation to threats such as fire, calamities and theft. As a Comprehensive Car Insurance Policy provides a wide cover, experience drivers should also opt for it.

Myth 5 – Old cars do not need Comprehensive Insurance

Reality

More than the age of the car, the need for Comprehensive Car Insurance will depend upon the usage of the car and the way it is driven. If an old car is used extensively and driven in a rash manner then it goes without saying that it needs Comprehensive Insurance. If the car is in the parking spot for most of the time and the owner plans to sell it in the near future, then the need for Comprehensive Car Insurance needs to be assessed accordingly. Even in that case, the car is vulnerable to risks such as theft and damage due to natural calamities.

Myth 6 – In case of an accident, we have to compulsorily pay first to get the car repaired

Reality

Top insurance providers have tie-ups with garages. Whenever there is an accident, it is advised that the insured car is taken to a partner garage. The expenses are adjusted between the insurance company and the garage internally. The owner of the insured car has to just pay the deductible amount.

If the car is repaired at a garage that is not a part of the insurance company’s network of garages, then the insured has to first pay the expenses for repairs and then get it reimbursed from the insurance company.

Myth 7 – Purchasing insurance online is not safe

Reality

Purchasing insurance online is as safe as buying any product online. Insurance companies take great care to ensure that their payment gateways are secure. While transacting, make sure that the website or the mobile app through which the transaction is conducted is official.

What’s the Conclusion?

Purchasing a comprehensive car insurance will give you wide insurance coverage. Make an informed decision keeping in mind, your car, driving technique, and majority risks that you are exposed to. Also, it is suggested to go for Add-ons that are most-suitable. Such Add-ons will further enhance the insurance coverage offered by your comprehensive car insurance policy.

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