In a world, where everything is customized to meet user's preferences and desires, Motor Insurance doesn't seem to be an exception. Most of the vehicle insurance companies are coming up with lucrative and customer-centric plans that can help them make most out of their investments. But, with new features, these companies are also adding up some additional benefits that may seem helpful, but are actually just a fluke. In a highly competitive world, where each of the insurance offeror has different plans and benefits listed in their catalogues, you will require having a smart sense to judge what is beneficial and what's not. Read below to know about some of the crucial factors that you can rely upon to ensure that your car is properly insured when you hit the roads:
1. Determine the Car's Model
It is always imperative to consider that the insurance premium amount depends on Insured Declared Value (IDV) or market value of your vehicle. It simply means that the more expensive the car would be, the higher the premium you will pay. For instance, models from premium brands or higher class vehicles (SUVs or TUVs) will have more premiums as compared to budget cars or hatchbacks.
2. Depends on Fuel Type
The next big thing on which your car insurance premium depends upon is its fuel type. If you're considering buying a diesel model, then you should prepare yourself to pay a few more amounts, when compared to the one that goes in while insuring a petrol based car. In addition to this, year of manufacturing and the registration date is also taken into account while determining the insurance premium for a vehicle. Experts' recommends considering the fact that if your vehicle's spare parts are rare or expensive, then you can expect a little increase in its insurance premium.
3. Purpose/Usage of the Vehicle