When it comes to insuring your vehicle, understanding the various types of car insurance policies available is crucial. Two common options in India are Comprehensive Car Insurance and Own-Damage Car Insurance.
Knowing the differences between these two can help you make an informed decision about which policy best suits your needs.
This blog will delve into the key differences between own-damage vs comprehensive insurance, helping you understand what each type covers and which might be the best choice for your car.
What is Own-Damage Car Insurance?
Own-damage car insurance provides coverage for damages to your vehicle due to accidents, theft, fire, natural disasters, and man-made calamities. It provides financial protection for repair costs or replacement of your car parts. However, it does not cover third-party liabilities.
We at Reliance General Insurance offer
Own-Damage Car Insurance at an affordable rate to protect your vehicle from various risks and perils. This policy is essential for safeguarding your investment from unforeseen incidents affecting your vehicle directly.
Features of Own-Damage Car Insurance
Natural Calamities Coverage
Protects against damages from floods, lightning, earthquakes, fire and more.
Theft and Malicious Acts
Covers losses due to theft or intentional damage.
Fire and Explosion Protection
Includes damages from self-ignition, explosions and related incidents.
Man-Made Calamities
Covers vandalism, riots, terror attacks, and other human-induced events.
Accident Damage
Covers your car and belongings inside the vehicle in case of an accident.
Transit Protection
Covers damages during transportation by rail, road, air or elevator.
What is Comprehensive Car Insurance?
Comprehensive Car Insurance is a holistic policy that provides extensive coverage for your vehicle. It covers third-party liabilities, damages to your car due to accidents, theft, natural disasters and man-made calamities.
You can further enhance the coverage by a choice of add-ons, such as Nil Depreciation, Roadside Assistance and so on.
Reliance General Insurance offers
comprehensive car insurance with broad coverage to protect your vehicle from various risks. This policy ensures complete financial protection by covering a wide range of potential risks and unforeseen events.
Features of Comprehensive Car Insurance
Own-Damage Coverage
It covers a wide range of incidents, including theft, fire, vandalism, natural disasters (like floods and earthquakes) and man-made incidents (such as riots).
Transit Protection
Covers damages during transportation by rail, road, air or elevator.
Third-Party Liability
Covers damages or death or bodily injury to a third party or damages to a third-party property by the insured vehicle.
Add-ons
Offers targeted coverage against specific circumstances with a wide range of add-ons.
Personal Accident Cover
Provides coverage to the owner-driver, up to ₹15 lakhs, for injuries, medical expenses and even death due to an accident in the insured vehicle.
Comprehensive Insurance Vs Own-Damage Insurance
|
Feature |
Comprehensive Car Insurance |
Own-Damage Car Insurance |
| Coverage Scope | Covers both third-party liabilities and damages to your vehicle. | Covers only the damages to your vehicle. |
| Premium Cost | Generally more expensive due to its extensive coverage.. | More affordable, as it offers focused coverage. |
| Third-Party Liability | Includes third-party liability coverage. | Does not include third-party liability coverage; must be purchased separately. |
| Personal Accident Cover | Personal accident cover included up to ₹15 Lakh | Personal accident cover not included |
| Add-Ons Availability | Offers a variety of add-ons like zero depreciation, engine cover, and more. | Fewer add-ons available compared to comprehensive insurance. |
| Customisation Option | More extensive customisation option | Limited customisation option |
| Ideal For | Suitable for those seeking extensive protection and peace of mind. | Suitable for new car owners or those who already have a third-party liability policy. |
Comprehensive Vs Own-Damage: Which One to Choose
Choosing between comprehensive insurance vs own-damage depends on various factors such as your car’s value, usage and personal preference. Here’s a quick guide to help you decide: Comprehensive Car Insurance is ideal if:
You want all-around protection for your vehicle.
You live in an area prone to natural disasters or theft.
You frequently drive long distances.
You want to enhance your policy with various add-ons.
Own-Damage Car Insurance is ideal if:
You already have a third-party liability policy.
You are looking for an affordable option with focused coverage.
You own a new car and want to protect it from damage.
You prefer a flexible policy period.
Why Choose Reliance General Insurance for Car Insurance
We at Reliance General Insurance offer different
types of car insurance coverages to meet your needs. We provide Standalone Own-Damage Car Insurance and Comprehensive Car Insurance plans. Both policies come with the reliability and assurance of Reliance General Insurance, ensuring peace of mind and financial protection. With us, you can benefit from a network of 10,000+ cashless garages, quick claim processes and multiple add-ons like Engine Protector, Key Protect, EMI protection, Nil Depreciation and more. You also get a No Claim Bonus of up to 50% and discounts of up to 80%. Our insurance policies are trusted by 3 crore+ Indians. We also pride ourselves on a 100% claim settlement ratio. So, trust Reliance General Insurance for comprehensive protection and peace of mind on the road.
Conclusion
Choosing between own-damage cover vs comprehensive car insurance depends on your specific needs and circumstances. Comprehensive insurance offers extensive protection, including third-party liabilities and personal accident cover. It is suitable for those seeking full coverage. Own-damage insurance is ideal for those who want to protect their vehicle within a budget. When making your decision, consider factors like coverage needs, budget, vehicle age, risk environment and personal preferences. By understanding these key differences, you can select the insurance policy that best suits your requirements. It will ensure financial protection and peace of mind on the road.
Frequently Asked Questions (FAQs)
Is own-damage car insurance mandatory?
No, own-damage car insurance is not mandatory. However, third-party liability insurance is required by law. Comprehensive insurance includes both own-damage and third-party liability coverage.
How does the No-Claim Bonus (NCB) work in both types of insurance policies?
Both comprehensive and own-damage car insurance offers a No-Claim Bonus (NCB). This bonus rewards policyholders with a discount on their premium for each claim-free year, up to a maximum of 50%.
Can I switch from own-damage Car Insurance to comprehensive car insurance?
Yes, you can switch from own-damage car insurance to comprehensive car insurance. It is advisable to do so at the time of policy renewal for a seamless transition.
If my car is used for commercial purposes, which insurance should I choose?
If your car is used for commercial purposes, you should opt for a commercial car insurance policy.