Homepage  > Motor Insurance > Car Insurance >

Standalone Car Insurance

Get Expert Advice

Get Expert Advice

Easy Navigation

Standalone Car Insurance Plans

If you currently own a car, chances are you consider it one of your most valuable and prized assets. Most car owners try to cover their four-wheeled best friend from every damage possible but do not know how to do so. This is exactly where standalone car insurance plans come in handy! These plans are made keeping the damages that a car can receive during an unfortunate mishap, accident, natural disaster or man-made event in check.

This article will go over the standalone car insurance plans.

What is a Standalone Car Insurance?

Let’s start with the basics. Car insurance can be described as a legal contract between an insurance provider and a policyholder where the former offers comprehensive coverage to the insured car while the latter provides regular premiums in return for the coverage.

Now, standalone car insurance plans offer coverage against all the losses and damages sustained by the insured car during any accident, natural disasters like flood, fire, etc or man-made catastrophes like riots and theft.

However, it needs to be noted that this insurance plan does not cover any third-party liability which arises from the damages caused by the insured car during an accident, which is mandatory for every car to have when driving on Indian roads.

Why should I Buy Standalone Car Insurance?

Here are the reasons why you should consider getting standalone car insurance for your car:

1. Financial Safeguard
There are always two parties involved in an unfortunate traffic accident. While the third-party liability car insurance pays for all the legal liabilities arising due to damage caused by your car in the exchange, you still have to get your car fixed separately. Standalone car insurance policies cover all the damage sustained by your vehicle and help you reduce costs to a great extent. It also helps you to tend your four-wheeled beauty better when it needs it the most.

2. Low Premiums
There is a very common myth going around the car insurance market for quite a while that auto insurance is expensive. However, in reality, it really isn’t. Car insurance is very reasonably priced to help policyholders cover their cars more comprehensively. Apart from that, it is important to note that car insurance plans always depend on the model of the car you are insuring as well as its condition and modifications. So, make sure to get it checked by the insurance provider to get an estimation of the premium rate before purchasing a plan.

Who needs Standalone Car Insurance?

A standalone own-damage car insurance plan is essential since it offers coverage against all the losses sustained by the insured vehicle, which can be highly expensive, based on the type and reason of the damage.

This stand-alone insurance coverage is designed to assist you in covering the costs of unintentional damage, natural catastrophes, human-made events, theft (total loss), as well as vandalism to your vehicle. As a result, anybody who experiences a loss as a result of the aforementioned damages to his or her four-wheeler should get standalone own-damage car insurance cover for their own benefit.

It is also recommended to obtain our own damage auto insurance policy if you are just protected by a base third-party insurance contract, as this will not compensate for any damages to your automobile. Furthermore, if you desire to safeguard your automobile but you do not have to commit to a comprehensive auto insurance plan for whatever reason, you may acquire a standalone own-damage car insurance plan as long as you possess existing third-party liability coverage.

Why should I Buy Used Car Insurance?

Here are reasons why you should consider getting used car insurance:

1. Legal Obligation
As mentioned before, every car being driven on Indian roads needs to be covered by at least a third-party liability insurance policy, as mandated by the Motor Vehicles Act of 1988. Therefore, the traffic police can impose a hefty amount of penalty on you if you are caught driving without a legal insurance plan. So, it is highly recommended to get car insurance for your old car to save both your time and money while driving.

2. Low Premiums
Most people have the misconception that car insurance policies are insanely expensive. But, it’s just the opposite, especially in the case of second hand car insurance plans. Since the insured vehicle has already some kilometres to it, the premium cost should be generally lower. Apart from that, the model of the car and other things also have an impact on the premium rates.

3. Financial Safety
The main advantage of having used car insurance for your pre-owned car is that you will get financial assistance when you need it the most. The insurance policy provides a pay-out for the third-party claims and the damages sustained by the vehicle in an accident, natural disaster or man-made calamities. This compensation comes really handy in times of need.

Standalone Car Insurance Coverage

Here are the basic inclusions under a standalone own-damage insurance plan:

1. Damages sustained by the insured vehicle during an accident which is included in the policy coverage
2. Damages sustained by the insured vehicle due to lighting, ignition, etc.
3. The insured vehicle is lost or stolen
4. Damages sustained by the insured vehicle due to riots, terrorist attacks and other man-made disasters
5. Damages sustained by the insured vehicle due to hailstorms, floods, earthquakes and other natural disasters

Note: This is a generic list of inclusions of standalone car insurance plans, please refer to your policy provider for more details.

Standalone Car Insurance Exclusions

As with any other insurance plan, standalone own-damage insurance plans include their own set of exclusions. These exclusions are situations where the insurance provider will not be liable for compensation as per the policy coverage:

1. Third-party liabilities arising from losses and damages caused by the insured vehicle.
2. Consequential damages after an accident
3. Damages sustained by the insured vehicle due to negligence from the owner
4. Damages sustained by the insured vehicle due to breach of law
5. Damages sustained by the insured vehicle when the driver is not carrying a valid license
6. Damages sustained by the insured vehicle due to civil war or nuclear peril

Note: This is a generic list of exclusions of standalone car insurance plans, please refer to your policy provider for more details.

What are Standalone Car Insurance add-ons?

Here are the add-ons that you can purchase to increase the coverage range of your standalone own damage cover.

1. Nil Depreciation Cover
Your car starts depreciating the moment you drive it out of the showroom. This nil depreciation cover helps you counter the effect of depreciation on your vehicle so you can file higher claims.

2. Consumables Cover
The consumables add-on cover helps you compensate for the consumables like nuts, bolts, and others during the repair of your vehicle.

3. No-Claim Bonus Protect Cover
No-claim bonus is something that every policyholder enjoys for every claim=free period. This cover helps you protect your no-claim bonus against your claims.

4. Engine Protect Cover
The engine is among the most important part of a car. This cover protects the engine against basic damage. This is highly recommended for people living in areas of water logging.

5. Roadside Assistance Cover
The roadside assistance cover helps the owner-driver by offering important services in case your car gets broken down in the middle of the road.

6. Key and Lock Protect Cover
The key and lock protect cover provide the insured with an alternative key if the main car key is lost or misplaced.

How to file Standalone Car Insurance claims?

Here is a step-by-step breakdown of the filing of standalone car insurance claims:

1. Cashless Claim
○ Inform your car insurance provider as soon as the damage is received by the vehicle.
○ You must visit a network garage.
○ A surveyor would evaluate your automobile at the network garage before beginning the repair operation and would give you clearance depending on the garage’s assessment of the repair operation.
○ The workshop would conduct the necessary repairs after the pricing was authorised.
○ The invoices would be paid straight to the facility by the insurance provider.
○ In order to acquire ownership of the automobile, you must pay the remaining sum (which has not been authorised by the insurer).

2. Reimbursement Claim
○ Before the repair service is completed, submit a claim with your insurance carrier
○ A surveyor from the insurance company would check your vehicle at your house or in any non-network facility, or through videos or pictures using their mobile device, and so forth.
○ The inspector would then supply you with an authorised claim amount.
○ After your claim has been granted, you must have the repairs completed at any facility of your preference.
○ Pay for your vehicle’s repair in full upfront.
○ The claim application, as well as the actual repair invoices, your KYC papers, policy statement, and your bank account details, must then be sent to the insurance provider for reimbursement, together with the surveyor’s clearance.

Conclusion

If you are still in two minds about whether you should go for standalone car insurance or not, then think about all the benefits that you will get to reap from it as a car owner. From saving a lot of money from damage repair to getting better protection from add-on covers, standalone car insurance can help you out in ways that you can never imagine.
In the end, you might not be a car insurance expert, but it’s important to know what you’re buying. Standalone auto insurance plans are one of the many types offered by insurance companies but don’t necessarily work for everyone. Take your time shopping around for quotes and picking the best plan for your situation.

Frequently Asked Questions (FAQs)

No. Standalone own-damage car insurance plans are not mandatory on Indian roads.

third-party liability insurance and Standalone car insurance plans offer two distinct types of coverage. However, the former is mandated by Indian law while the latter is not. Apart from that, the better option depends on the requirements of the insured.

Yes. Standalone car insurance plans offer cashless claims as long as you are repairing your car in a network hospital.

Latest Blogs

Scroll to Top