MulticalcUnderstanding Car Insurance Basics
Car insurance in India is composed of two main parts: Third Party (Liability) and Own Damage (Comprehensive). While Third Party is mandatory by law, Own Damage covers repairs to your own vehicle.
Key Terms Explained
IDV is the maximum sum assured you get if your car is stolen or totally destroyed. It is calculated as the Manufacturer's Listed Price minus Depreciation (based on age).
NCB is a reward for safe driving. If you don't make any claim in a policy year, you get a discount on the Own Damage premium for the next year, ranging from 20% to 50%.
Standard policies deduct depreciation on parts (plastic, metal, glass) when paying claims. A Zero Dep cover ensures you get the full cost of replacing parts without these deductions. It's recommended for cars up to 5-7 years old.
Disclaimer
This tool provides an estimate. Actual premiums vary by insurer, exact car model, city (RTO Zone), and specific underwriting criteria. Third Party rates are subject to change by IRDAI.