FASTag- Uses and Benefits
FASTag- Uses and Benefits
![FASTag- Uses and Benefits FASTag- Uses and Benefits](/images/default-source/car-insurance/fastag-uses-and-benefits.jpg)
FASTag promotes digitisation and transparency in toll collection, reducing leakages and ensuring proper accounting of toll revenues. It also contributes to environmental sustainability by reducing fuel consumption and emissions associated with long waiting times at toll plazas. Ensure you have a car insurance policy, as it will save you from trouble. The premium on insurance policies is determined through the car's IDV. FASTag is a reloadable tag which can be used at toll plazas; it enables automatic deduction of toll fees and allows you to pass through without you having to wait for any kind of cash transaction. The tag uses Radio Frequency Identification Technology and is affixed on the windscreen when the tag is active. Currently 420+ toll plaza across the nation are implementing FASTag solution. More toll plazas will be brought under FASTag program in future. However one needs to have a valid MOTOR INSURANCE at all times.
What is FASTag?
FASTag is an electronic toll collection system introduced in India to facilitate smooth and cashless transactions at toll plazas. It uses Radio Frequency Identification (RFID) technology to automatically deduct toll charges from a prepaid or linked account as vehicles pass through toll booths. FASTag is affixed to the windscreen of vehicles and is linked to the vehicle's registration number.
The introduction of FASTag has several benefits. Firstly, it helps reduce traffic congestion at toll plazas by enabling faster and more seamless toll collection. Vehicles with FASTag can use dedicated FASTag lanes with higher throughput than cash lanes. It also eliminates the need for drivers to carry cash or stop at toll booths, making the journey more convenient.
To obtain a FASTag, users must register with a participating bank or online payment platform, provide vehicle and owner details, and recharge the FASTag account. The FASTag can be linked to a prepaid wallet or a bank account for automatic top-ups. Users can monitor their account balance, recharge the FASTag, and view transaction history through online portals or mobile apps.
Remember to get a CAR INSURANCE policy , as you never know when tragedy might strike. MOTOR INSURANCE will help save you from legal and financial trouble.
Benefits of FASTag
FASTag offers several benefits to road users. Some of the key advantages of using FASTag are:
1. Convenience
FASTag enables smooth and hassle-free passage through toll plazas without carrying cash or stopping for toll payments. It saves time and effort for drivers, allowing for a seamless travel experience.
2. Faster Transactions
With dedicated FASTag lanes at toll plazas, vehicles equipped with FASTag can pass through quickly. The electronic toll collection system ensures faster transaction processing, reducing congestion and waiting times at toll booths.
3. Cashless Payments
FASTag promotes digital transactions by eliminating the need for cash payments at toll plazas. Users can link their FASTag to a prepaid wallet or bank account, allowing for automatic deduction of toll charges without the hassle of carrying and handling cash.
4. Online Recharge and Account Management
FASTag users can conveniently recharge their accounts online through various payment options, including net banking, credit/debit cards, and mobile wallets. They can also monitor their account balance and transaction history and manage their FASTag account through online portals and mobile apps.
5. Cost Savings
FASTag users may be eligible for certain benefits and discounts toll operators offer. These can include cashback offers, loyalty programs, or reduced toll rates for vehicles with FASTag. Such incentives can lead to cost savings for regular road travellers.
6. Environmentally Friendly
With reduced waiting times and smoother traffic flow at toll plazas, FASTag reduces vehicle emissions and fuel consumption. It promotes environmental sustainability by minimising idling time and congestion caused by manual toll collection processes.
7. Nationwide Acceptance
FASTag has been implemented nationwide and is accepted at all toll plazas on national highways, state highways, and select city roads. It ensures seamless travel for vehicles equipped with FASTag, irrespective of their location in India.
Uses of FASTag
Just how motor insurance offers multiple utility, FASTag can similarly be useful for every car owner. Apart from electronic toll collection, FASTag is also being tested to become useful for other purposes by the government. Hyderabad International airport has tried out pilot on parking payment via FASTag. Other places will also soon be conducting a pilot project to test the usage of FASTags at local parking lots to deduct parking fees from these tags. The benefits of FASTag is simply not limited to toll collection, it is also envisaged to extend its usage for other vehicular payments such as fuel payment, e-challan and various other payments at wayside amenities. The use of Fastag in future will make it a multi-utility payment tool for vehicles outside of highways.
Importance of Indian vehicle insurance for FASTag
Indian vehicle insurance is important for FASTag users due to the following reasons:
1. Mandatory Requirement
As per Indian regulations, it is mandatory for all vehicles to have valid MOTOR INSURANCE coverage. This requirement applies to both private and commercial vehicles. Therefore, valid vehicle/motor insurance is essential to use FASTag and comply with the law.
2. Financial Protection
Vehicle/motor insurance provides financial protection in case of accidents, damage, theft, or third-party liabilities. It covers the cost of repairs, medical expenses, and compensations in case of accidents involving the insured vehicle. By having motor insurance coverage, FASTag users can protect themselves from unexpected financial burdens from unfortunate incidents.
3. Third Party Liability Coverage
Indian vehicle/motor insurance policies include third party liability coverage, which protects the insured against legal liabilities arising from damages or injuries caused to third parties. In the context of FASTag, this coverage is critical as it protects in case of accidents or incidents involving other vehicles or individuals on the road.
4. Peace of Mind
Vehicle or motor insurance brings peace of mind to FASTag users. They can travel on Indian roads with the assurance that they are financially protected against unforeseen circumstances. Insurance coverage allows them to focus on their journey and enjoy the convenience of using FASTag without worrying about potential risks and liabilities.
5. Compliance with FASTag Requirements
While FASTag primarily facilitates electronic toll collection, having a valid vehicle or motor insurance is essential to overall compliance with FASTag requirements. It ensures that the vehicle is legally authorised to be on the road and availing the benefits of FASTag.
6. Enhanced Security:
A car insurance policy often includes additional features such as roadside assistance, emergency services, and coverage for vehicle accessories. These add-ons provide an extra layer of security and assistance to FASTag users during their journeys.
Indian vehicle/motor insurance or a car insurance policy is of utmost importance for FASTag users as it fulfils legal requirements, provides financial protection, covers third-party liabilities, and offers peace of mind while using FASTag. It ensures compliance, security, and safeguards against unexpected events on the road.
Conclusion
FASTag has revolutionised the way toll payments are made in India. It is an electronic toll collection system that offers numerous benefits to vehicle owners. By affixing a FASTag to their vehicle, users can enjoy seamless and cashless toll payments, saving time and reducing congestion at toll plazas.
FASTag brings convenience and efficiency to the toll collection process, eliminating the need for cash transactions and allowing vehicles to pass through toll plazas without stopping. It promotes a smoother traffic flow, reduces waiting times, and enhances the travel experience.
FASTag offers various advantages, such as online recharge options, real-time transaction updates, and toll expense tracking. It also provides incentives through cashback offers and discounts on toll payments, making it a cost-effective choice for frequent travelers.
Frequently Asked Questions
Is FASTag Compulsory? Is it compulsory for any type of Vehicle?
Government of India has extended deadline for FasTag to December 15, 2019 from December 1, 2019. It is compulsory for all categories, kind, make and type of vehicle.
Who is looking after the program?
Indian Highways Management Company Limited (IHMCL) and National Payment Corporation of India (NPCI).
What are the charges for FASTag?
FASTag has a onetime fee of Rs 200. Refundable security depends on the type of vehicle.
What is the procedure to get FASTag?
You can visit any Point of Sale locations at Toll Plaza/Issuer Agency to get account created. You can also call at the contact centre of Issuer agency to know on details. There are several NHAI authorized service providers including HDFC, ICICI, Equitas. You can choose any of them.
What are the documents required to get FASTag?
The documents needed are Registration Certificate, Passport size Photograph, KYC documents which includes PAN Card, Aadhar Card, Driving License, Voter ID card.
Where is the FASTag put in the car?
FASTag needs to be affixed in the windscreen of the car in such a way that the toll gate sensor should be able to read it and the employees should be able to sight them easily. If you have multiple RFID tags on the car then the sensors would not be able to detect them properly.
Where do I Pay the Bill?
The issuer agency will deduct the fee from customer account that is linked with the bank/issuer. The customer needs to adequately fund the account that is linked to the FASTag.
How do i know the payment has been made?
You should get the confirmatory SMS within 5 minutes of crossing the tollgates. Also it is suggested that you check on your FASTag statement regularly to ensure the transactions have been correct. Any discrepancy can be taken up with NHAI, service provider.
Is there a minimum value for the top-up?
Yes, the minimum value is Rs 100
Can FASTag of one vehicle be used for another?
No, FASTag for a vehicle is based on the KYC documents submitted. Any attempt of doing such a thing can result in FASTag getting blacklisted.
What if I go to another city?
FASTag works on all enabled toll plazas. In event of change in city, you need to inform the Issuer agency.
In event of damage of FASTag could I get another one?
You need to approach the issuer agency who would then issue a replacement of FASTag.
The above information is for illustrative purpose only. For more details, please refer to policy wordings and prospectus before concluding the sales.
S. Gopalakrishnan recommends "HDFC ERGO for your vehicle insurance needs, it has always put customer's interest at the forefront, with round the clock assistance to deal with emergency breakdown issues and hassle free claims process. You can be assured of complete and reliable guidance through the whole process".
Disclaimer: The above information is for illustrative purposes only. For more details, please refer to the policy wordings and prospectus before concluding the sales.
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