With so many car insurance plans and options available in the market, car owners often get confused in choosing the right insurance plan that suits their needs. Here’s where a car insurance premium calculator comes into play. This online tool is available on most of the car insurance company websites. By using this calculator you can get an estimate on your car insurance premium based on the details you provide. This will give you an understanding of how much you will pay towards the premium and the various components that will affect your premium.
When you use a car insurance premium calculator, the entire process is simple, error-free and transparent. You will be aware of all the components that go into the premium like Insured Declared Value (IDV), Add-ons, etc., and see how each of them affects your premium. You can assess these components and see what works best for you and choose a suitable plan.
Car insurance premium calculations depend on the information you provide. You need to provide the details accurately so that the estimate you get will closely match the original premium rate. The following are some of the factors that affect your car insurance premium.
● Policy Type - Your premium cost depends on the policy you choose. If you opt for a basic third-party policy, the premium will be low. But, if you choose a comprehensive insurance policy the premium will be relatively high as it offers you complete coverage for your car. ● Make, Model and Variant (MMV) Of The Car - The MMV of the car plays an important role in determining your car insurance premium. The higher the value of the car, the higher will be the insurance premium and vice-versa.
● Add-ons - If you wish to include add-ons such as zero-depreciation cover, return to invoice cover, hydrostatic lock cover, etc. for added protection, your premium would increase as each of these add-ons comes with a cost. ● Cubic Capacity - The cubic capacity or the engine capacity of your car directly influences the premium for your car. Engines under 1000cc have the lowest premium, followed by engines above 1000cc but below 1500cc. Engines above 1500cc attract the highest premium. ● Location - If you are residing in an area that is prone to accidents, natural calamities or vandalism your insurance premium is likely to be high compared to locations where the risk is low. ● No Claim Bonus (NCB) - If you have not made any claims in a policy year, you are eligible to claim your NCB discount. This will reduce your premium amount to a certain extent.
● Add-ons - If you wish to include add-ons such as zero-depreciation cover, return to invoice cover, hydrostatic lock cover, etc. for added protection, your premium would increase as each of these add-ons comes with a cost.
● Cubic Capacity - The cubic capacity or the engine capacity of your car directly influences the premium for your car. Engines under 1000cc have the lowest premium, followed by engines above 1000cc but below 1500cc. Engines above 1500cc attract the highest premium.
● Location - If you are residing in an area that is prone to accidents, natural calamities or vandalism your insurance premium is likely to be high compared to locations where the risk is low.
● No Claim Bonus (NCB) - If you have not made any claims in a policy year, you are eligible to claim your NCB discount. This will reduce your premium amount to a certain extent.
● Visit the insurance website and click on the car insurance calculator ● Enter your car details - make, model, variant, fuel type, registration number, etc. ● Enter your contact details - Name, email ID, previous policy details, etc. ● You will receive the quote by E-mail or SMS.
While it is important to keep a check on the premium rates, it should not be considered as the only criteria while choosing a car insurance policy. It is recommended to opt for a comprehensive insurance cover than a basic third-party cover as it offers complete coverage for your car.
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