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How Does The Vehicle Scrappage Policy Affect Your 20 Years Old Bike?
- Author :
- TATA AIG Team
- Published on :
In recent years, the government has taken several measures to counteract the harmful emissions from vehicles that are deteriorating the environment. They started offering incentives for the purchase of electric vehicles (EVs) and developed several policies. One such policy in this direction is the new scrappage policy.
Let us get into the details of what is the scrappage policy.
Why is the Motor Vehicle Insurance Important
If you are wondering why to buy insurance for your vehicle, the answer is simple. A car insurance policy is necessary because it provides financial security in the event you cause harm to another person's vehicle or harm them. Car insurance can also compensate for damage incurred by accident or another covered risk, such as fallen objects, arson, or theft.
You will be breaking the law if you do not have car insurance coverage for yourself and your car under the Motor Vehicle Act of India. Fines and licence suspension may be imposed if you are caught driving without a valid car insurance policy. The aim of obtaining car insurance for any car is to compensate someone else for damage inflicted by you and avoid having to compensate for expenses resulting from a car accident or another type of accident out of your pocket.
The advantages of motor insurance are not limited to what it can do for others, but it is highly useful for the self. This is especially true if we have comprehensive coverage. The benefits of a motor insurance policy are manifold if we have comprehensive car insurance coverage. Not only are you protected from taking financial liability in case you damage someone else’s car or property, but the insurance also covers any damage that has been inflicted on your car. The benefits of a motor insurance policy are not only limited to accidents in case of comprehensive car insurance for any car. It also helps you if your car needs repairs or you need any assistance on the road. Getting the most car insurance benefits depends on having the right car insurance policy.
You can buy Tata AIG’s car insurance policy online with ease. With us, you get a network of over 7500 garages and the ability to customise your comprehensive car insurance policy as per your preferences and requirements. Also, our car insurance claim process is simple and hassle-free, and you can get your claim amount in no time if your documents are in order. We also enjoy a high claim settlement ratio, increasing our customer satisfaction ratio. But, if you are still not sold on why insurance for your vehicle is important, here are some other pointers enumerating the importance of motor insurance.
Importance of Motor Insurance
If you are wondering why insurance for the vehicle is important, some of the most important advantages of motor insurance are given below for your perusal. These pointers will help you understand how insurance can help you and why having car insurance is mandatory.
Takes care of your car in case of any damage- It is impossible to eliminate the possibility of your car being damaged in an accident. In addition, repairing a car is a costly proposition that may tear through your budget. Buying a car insurance policy eliminates such out-of-pocket payments because your insurance company will cover a large portion of the repair costs.
Safeguards you from financial responsibility- In India, purchasing a TPL or third-party liability insurance coverage is required by the Motor Vehicles Act. This form of insurance plan limits your liability if you commit an accident. However, the insurance company is responsible for damaging third-party assets or harming third-party individuals. Furthermore, you are protected from legal consequences if a case is brought against you. This is one of the major benefits of motor insurance.
Protects from disasters- A comprehensive vehicle insurance policy also protects you financially from natural disasters like floods, earthquakes, gales, thunderstorms, and windstorms, to name a few. In addition, it also provides protection against man-made events like terrorist attacks, arson, and riots. This is one of the top car insurance benefits that you must consider.
Looks after your family- The death of the owner of the car is by far the most tragic event of a traffic accident. After the bread-earning insured person has died, their family may find it difficult to maintain their everyday lives. On the other hand, car insurance coverage can assist in covering the family's expenses following the terrible event. This is among the most important car insurance benefits and why most people choose to buy a comprehensive cover.
It is mandated by law- Every car on Indian roadways must have insurance, primarily third-party liability coverage. A significant penalty can be imposed if you do not have insurance coverage. Having car insurance also offers you ease of mind because you know you'll be covered if your vehicle is damaged. Therefore, car insurance for any car, no matter which one, is essential.
It is fairly inexpensive to buy online- Insurance costs are lower when purchased online, resulting in a less expensive policy. In addition, whenever a consumer conducts business online, the insurer incurs lower operational expenses and is willing to pass on what they have to pay to a broker to the customer. Other benefits of a motor insurance policy online include renewing the coverage in minutes and avoiding having to fill out extensive paperwork.
No Claim Bonus- The No Claim Bonus is a rebate on premium granted by the vehicle insurance provider to policyholders who drive responsibly and do not file for claims during the previous policy year. This helps in lowering the cost of motor vehicle insurance, and thus, you save money while renewing your policy.
Theft cover- If your car equipment is robbed, your comprehensive car insurance policy will cover the financial losses and refund you for the car's loss, restoration, or repair. In addition, in the event of a total loss or robbery of your vehicle, your insurance provider will reimburse you with the assured sum of your vehicle through a rapid and efficient settlement process. Thus, the benefits of a motor insurance policy are plenty.
Garage Network: When you have insurance from the right provider, like Tata AIG, you are provided with a large network of garages you can turn to in your time of need. Tata AIG provides you assistance with its network of over 7500 garages. Even better, these garages offer you cashless service, so you do not need to dip into your savings even temporarily to service your car.
Thus, as we have seen above, there are many benefits of motor insurance. If you purchase a comprehensive cover, you hand over all your car-related worries to your insurance provider and rest assured that you will be taken care of in the case of any mishaps. Also, driving with a third-party insurance cover is mandatory. So when buying insurance, remember it is going to stay with you for a long time and choose the right cover for you. Get your car insurance policy from Tata AIG today!
Disclaimer / TnC
Your policy is subjected to terms and conditions & inclusions and exclusions mentioned in your policy wording. Please go through the documents carefully.