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Why Do We Need an Insurance for Our Vehicle

Driving a car is not a luxury but a big responsibility. In fact, many people consider driving a car a status symbol, especially in a country like India where people believe in showing off. Nowadays, with increasing plate income, owning a car is not at all a big deal and people can easily buy bicycles and cars. This not only reflects the status of the people, but also improves mobility and thus saves time. Driving also eliminates dependence on public transport.

It is true that driving has made our life comfortable, but at the same time, it has also pushed us towards a dangerous life. As someone rightly said, “The horse race ends in the grave”. In the name of showing off, people not only risk their own lives, but also injure others by speeding their vehicles. Daily reports of accidents and deaths in newspapers are now a part of everyday life. People lose their lives in traffic accidents by violating traffic rules, and by not following driving etiquette, they also put the lives of others at risk. Plus, the high cost of parts and repair costs will put a strain on your pocket, proving that good auto insurance is essential these days.

Auto insurance is mainly taken for vehicles driving on the road, with the main aim of protecting the vehicle and the driver from physical damage in the event of an accident. There are many factors that make auto insurance important:

Required by Law: The number one reason to get car insurance is that it is required by law. According to the Motor Vehicle Law, taking out liability insurance is mandatory. The police have the right to check your vehicle documents such as PUC, driver’s license and insurance policy at any time. If you can’t provide any documents, you will be in trouble. Therefore, it is advisable to take out car insurance before leaving.

Vehicle Loss and Damage: We all know that people simply lack the driving skills and the kind of traffic management we have in our country, there is hardly a day that you don’t damage a vehicle. The main reason for having car insurance is to cover costs incurred due to loss or damage to your vehicle. So it’s always good to be on the safe side and get car insurance before taking your bike or car out on the road.

Reducing Your Liability: Third Party Liability Insurance (TPL) is mandatory in India to protect you from the legal consequences of an accident caused to you. TPL means that if you cause damage to other people and their property in an accident, the insurance company will pay for their treatment and protect you from legal consequences.

Hospitalization: Not every vehicle owner is lucky enough to sustain even a few cuts and bruises in an accident. Some accidents put you in a difficult situation and you have to be hospitalized. In this case, your auto insurance will pay your hospital bills instead of incurring high hospital and care costs out of your own pocket.

Compensation for Your Family After You Die: Some accidents are so horrific that they result in the death of the car owner, which is the most unfortunate consequence of a traffic accident. After the death of the supporting policy holder, it became difficult for his family to meet their daily needs. Therefore, car insurance helps families to cover expenses after an unfortunate event.