Have you just bought a new bike and aren’t sure which insurance policy to get? Alternatively, do you have standard Third Party Liability insurance and want to upgrade your coverage?
It’s logical that as a bike owner, you’d want the finest possible coverage for your vehicle. Aside from the necessary Third Party Liability insurance, you have the option of purchasing Standalone Own Harm or Comprehensive Two-Wheeler Insurance to protect your bike from damage.
Don’t worry if you couldn’t decide which one to pick! We’ve analyzed the features, costs, and benefits of both Own Damage and Comprehensive two-wheeler insurance packages so you can make an informed choice.
What is Own Damage insurance?
Own Damage insurance protects your vehicle in the event of damage, theft, or loss. If you currently have third-party insurance on your vehicle, this type of insurance plan is advantageous.
You should purchase OD coverage for your car because third-party insurance only covers third-party injuries, death, or property damage. Own Damage insurance protects you if your car is damaged in an accident, natural disaster, or man-made disaster, for example. Total loss and theft of the insured vehicle are also covered under the policy.
Comprehensive insurance for cars
When you purchase comprehensive car insurance, you are getting a combination of third-party and OD coverages for your vehicle. As a result, you can relax about any and all liabilities, whether they are related to third parties or your own vehicle.
Difference between Own Damage (OD) and Comprehensive insurance
The coverage provided by OD and Comprehensive insurance differs significantly. An OD policy protects the insured vehicle from damage, loss, and theft, among other things. It does not, however, cover third-party liability.
A comprehensive policy, on the other hand, combines Own Damage and Third-Party Liability coverage. As a result, it protects your car from damage, loss, or theft, as well as third-party liability.
Benefits of Comprehensive car insurance
The following are some of the reasons why many individuals purchase a Comprehensive Policy for their automobiles.
1. Financial safety against third-party liabilities
One of the reasons why car owners buy insurance is to comply with The Motor Vehicles Act of 1988. Third-party car insurance is required by law to pay losses if your vehicle causes injury, death, or property damage to a third party.
Comprehensive insurance has the benefit of including Third-Party Liability coverage. As a result, you can lawfully drive your vehicle in India while remaining financially protected from third-party traffic accidents.
2. Coverage against damages/loss of your car
Third-party coverage alone isn’t enough to safeguard your car from harm. However, there may be a number of circumstances beyond your control that cause your car to be damaged or lost.
A comprehensive policy protects the insured vehicle from unanticipated events. As a result, you are protected against damage to your vehicle caused by natural catastrophes like as earthquakes and cyclones. Furthermore, this policy covers automotive damage caused by man-made disasters such as riots, etc.
3. Compensation in case of total loss or theft
Aside from all the disasters, this type of policy also covers you in the event that your car is stolen or damaged beyond repair. As a result, you won’t have to endure the financial burden of a car theft or total loss in such circumstances.
4. Customisation of add-on covers
Another benefit of comprehensive auto insurance is the opportunity to tailor it with add-on coverage. You can include additional coverages for your car based on the availability of add-ons.
Engine Protection Cover, Roadside Assistance Cover, Zero Depreciation Cover, Consumables Cover, and so on are some of the commonly available add-on covers.
5. Cost-effective insurance
Purchasing comprehensive insurance is a cost-effective option. You can combine all of the necessary services, perks, and coverages into a single insurance. Furthermore, being able to customize a plan assists you to avoid overspending on insurance.
When and who needs Comprehensive car insurance
At the time of policy renewal, Comprehensive auto insurance will be a great upgrade from Third-Party insurance.
This policy is appropriate for anyone who need financial coverage for damages to their vehicle or losses suffered by the vehicle, in addition to third-party liabilities. It saves time and effort by avoiding the headache of purchasing multiple coverages separately.
When and who needs Own Damage insurance
If you currently have a Third-Party Liability insurance policy in place, purchasing Own Damage insurance separately rather than a Comprehensive plan may be a better option.
In a word, OD insurance protects your car from damage, theft, and loss, whereas Comprehensive insurance combines OD protection with third-party liability coverage.