Discounts You Must Avail at the Time of Buying a Car Insurance

Like the purchase of any other commodity, buying car insurance is also an expense. However, you can make this expense light on your pocket by availing of various discounts available with it. Often, people are not aware of these discounts and end up paying a hefty price for insuring their car. Thus, with this article, we aim to free you from the hassle of searching the internet or consulting experts to know about the discounts available with car insurance.

Car Insurance Discounts Which You Must Avail

There are many ways to reduce the car insurance premium amount. Below are the most useful tips which can help you save a good proportion of the premium:

1. Anti-theft Devices Discount

If your car is protected via an ARAI (Automotive Research Association of India) approved anti-theft device, you can get a discount of 2.5% (up to Rs. 500) on the own-damage premium of your car insurance policy. This is because these anti-theft devices make your car less liable to theft and other such risks. This in turn reduces the risk borne by the insurance company for your car and thus helps you lower your insurance premium amount.

2. AAI Membership

Members of the Automobile Association of India are eligible for a discount on their car insurance premium amount. So, if you belong to the AAI, you can get a significant amount of discount by mentioning your membership at the time of purchasing a car insurance policy.

Also Know: How is Car Insurance Premium Calculated

3. No Claim Bonus

Insurance companies reward car owners for safe driving via a No Claim Bonus (NCB). As stated, NCB is a type of discount given to you on your own-damage premium for every claim-free year of your insurance policy. NCB discount ranges from 20%-50% and you can get it transferred from one insurer to another at the time of car insurance renewal.

4. Car Owner’s Occupation/Age

Several car insurance companies offer discounts on the premium amount to the professionals like doctors, chartered accountants, defense personnel etc. Some insurance companies also offer insurance policies at discounted rates to individuals belonging to certain age groups.

A car insurance plan insures you for financial liabilities which may arise due to unfortunate happenings involving your car. It is always advised to compare and evaluate different insurance plans before choosing a suitable one. While filling up the proposal form, always ask your insurer about the discounts and make an informed decision.

For further reading:

Best Car Insurance Policy for People in Their 30s

Disclaimer: This article is issued in the general public interest and meant for general information purposes only. Readers are advised not to rely on the contents of the article as conclusive in nature and should research further or consult an expert in this regard.