The growing digitisation has been a boon for several industries and especially in the case of the commercial insurance sector. Gone are the days when buying an insurance included frequent visits to the insurance company or scheduling lengthy and tedious meetings with an insurance agent.
Commercial vehicles are used in a number of business activities, e.g., transportation, hauling goods, etc. The Commercial Vehicle Insurance policy is designed to provide financial protection for the loss of or damages caused to your commercial vehicle due to damages from either parties involved in an accident or is a natural disaster. It also pays for bodily injury and property damage resulting from an accident or natural disasters.
The online insurance buying experience has become highly efficient, with a minimum need for documentation. Nowadays, anyone can buy or renew an insurance policy with a few buttons. Purchased a new vehicle? Are you looking to buy a commercial vehicle insurance policy? Look no further. The following steps will help you buy a commercial vehicle insurance policy suitable for you and your vehicle with minimum hassle.
Before you buy a commercial vehicle insurance policy
Step 1 – Choose the Car insurance policy type
The most crucial decision you must make is selecting the correct type of policy suitable for your vehicle. Most commercial vehicle insurance companies offer many types of insurance policies, making your decision a bit difficult. As a result, to make the best decision, you should be aware of their characteristics.
The two main types of vehicle insurance policies offered by insurance companies are as follows:
- Third-party Insurance Policy – A third-party insurance is mandated by law. Under the Motor Vehicles Act, it is compulsory for all motor vehicles to at least have a third-party insurance to run on Indian roads legally. A third-party car insurance policy covers the financial losses incurred by the third party in the event of an accident.
- Comprehensive Insurance Policy – A comprehensive insurance provides financial cover for you and the third party in the event of an accident. It also provides a lump sum amount in case of vehicle theft. Although the premium rates of a commercial insurance policy are higher than those of a third-party insurance policy, it is still worth the investment to opt for a commercial insurance because of its better financial cover.
Step 2 – Select the different add-ons
Another great feature of a commercial vehicle insurance is its number of add-on features. Add-ons can be a great addition to your insurance; they act like riders and help you customise the insurance to suit your needs better.
Some great examples of add-ons offered by insurance companies are engine protection, no claim bonus, roadside assistance cover, personal loss cover, etc. It is essential to mention that too many unnecessary add-ons can lead to much higher premium rates. Hence, you need to be wary of the number of add-ons you choose.
Step 3 – Choose the Insurance Provider
Another advantage of online commercial vehicle insurance is comparing the premium rates offered by different insurance companies. There are a host of other online premium calculators which can help you pick the insurance company with the lowest premium rates and the best features on offer.
Step 4 – Check the policy documents
Once you have chosen your preferred insurance company, you should read through the insurance documents, ensuring that the documents mention all the features advertised by the insurance company. Make sure that all the add-ons are mentioned, and once you are satisfied, you can move ahead.
Step 5 – Provide basic information
While buying an online bike or car insurance, you do not need to produce any documents. However, some basic information is required, like the model number of the vehicle, purchase and manufacture dates, RTO, and chassis number. Make sure you correctly provide these details.
Step 6 – Make payment
Once all the requisite details are provided, then you can go ahead and make the policy payment. Most insurance companies accept online payments via VISA or debit cards. You can also pay via different UPI services.
Once the payment is verified, you can download a copy of the insurance . With this, you have successfully insured your vehicle.
Commercial vehicle insurance is a tailored insurance plan that provides coverage for the damage caused by or to the commercial vehicle. It provides coverage to both parties involved in the accident for injury or even death. Policy provides coverage for the loss or damage caused due to natural calamity, fire, man-made disasters, etc.