Here’s Why You Should Buy Comprehensive Insurance for Your Electric Car

Posted on: Aug 13, 2024 | 3 mins | Written by: HDFC ERGO Team

Here’s Why You Should Buy Comprehensive Insurance for Your Electric Car

The contemporary Indian auto market is following the global trend and showing a steady increase in the demand for electric cars. Irrespective of the type of four-wheeler you are owning, you need to maintain car insurance for it compulsorily to abide by the legal norms. It can be a basic third-party plan or a more elaborate comprehensive car insurance. However, electric car insurance should preferably be a comprehensive cover.

Since the EV market is still in its developing phase in the country, several people still wonder about the availability of suitable electric car insurance. But, you can be rest assured that competent insurance companies have already launched several suitable plans ideal for EVs.

What is electric car insurance?

With the increasing demand and popularity, car manufacturers are launching new EV models almost every day throughout the world. India is also no exception to this trend. Because of this increasing trend, insurance providers are also developing new electric car insurance plans to cater to these changing circumstances.

Similar to conventional car plans for fuel-powered vehicles, electric car insurances are specially crafted for EVs. The basic purpose of EV insurance is also identical, i.e., providing coverage for damages due to accidents, natural and manmade disasters, third-party damage cover, etc., according to the terms of the specific plan chosen.

In this context, it must be mentioned that a third-party plan will never cover your EV damages and will exclusively cater to the third-party damages done by your vehicle. Therefore, to ensure protection for your EV, it is best to opt for comprehensive electric car insurance.

Benefits of insurance for EVs

Maintaining car insurance is mandatory not only to meet the legal standards but also to ensure the safeguarding of your vehicle. Accidents and other mishaps may happen at any point to your vehicle, be it electric or a conventional fuel-powered one. Therefore, it is best to stay prepared beforehand by wisely investing in competent comprehensive car insurance.

Some of the most highlighting advantages of having electric car insurance for your beloved EV are as follows:

• Ensure third-party protection coverage:

In the case of any unfortunate scenario, where you have accidentally caused damage to a third party by your vehicle, this coverage will allow protection against such third-party liabilities.

• Avoid legal penalties:

As comprehensive car insurance includes mandatory third-party coverage, you will automatically get the coverage protection benefit against non-compliance legal penalties concerning vehicle insurance plans.

• Avoid repair costs:

Having electric car insurance saves a lot of out-of-pocket expenses incurred while repairing a damaged EV. This is because a standard comprehensive cover plan allows Own Damage Cover protection too. It allows coverage for damages caused by natural calamities like floods, earthquakes, storms, etc.; and manmade disasters like riots, strikes, etc. along with theft coverage, as per the plan terms.

• Personal accident coverage:

With the compulsory Personal Accident Cover, you receive financial coverage benefits against accidental death, physical injuries, partial or total temporary or permanent disability(ies) due to accident. However, you must note that you need to purchase this coverage separately with your basic comprehensive plan.

How to buy electric car insurance?

You can buy electric car insurance both online and offline.

Online

In the case of online purchases, you need to follow these few simple steps:

• Visit the official website page of your chosen insurance provider, provided you have zeroed in after careful comparative study among various competent plans.

• Enter the relevant details as asked for

• In the case of plan renewal, you need to enter certain details of your previous insurance plan

• Select the befitting riders for the basic plan

• Pay the total premium due using any reliable online mediums like debit card, credit card, e-wallet, UPI, etc.

• Once the payment is complete, you will shortly receive the policy papers to your registered email address.

Offline

In the case of offline policy purchase, you need to follow these steps:

• Visit the nearest branch of your chosen insurance company

• Consult the officials to get the insurance renewal/purchase application form

• Enter all the relevant details and submit it along with other necessary documents like address proof, identity proof, etc.

• Make the premium payment using either cheque, DD or online mode

• Once the process is complete, you will receive the policy papers at your registered address within a short span.

Inclusions

Although the list of inclusions may vary from one insurer to another, certain standard inclusions are:

• Third-party damage cover

• Accidental damage cover

• Damages to the car occurred due to any fire or explosion

• Accidental injury or death of the driver or the owner coverage

• Damages caused due to natural disasters like floods, earthquakes, cyclones, tsunamis, etc.

• Damages due to manmade disasters like vandalism, riots, strikes, etc.

• Theft coverage

Exclusions

Similar to the list of inclusions, the list of exclusions may also vary from one plan and insurer to another. However, certain standard exclusions of electric car insurance are:

• Damages caused due to mechanical or electrical failure

• Damages caused by natural wear and tear due to regular usage

• Damages caused due to irresponsible driving habits like failing traffic rules, driving without a valid DL, speed driving, illegal overtaking, intoxicated driving, etc.

Conclusion

We have aptly highlighted the importance of having comprehensive coverage for electric car insurance. However, before purchasing a plan, you need to consider certain significant factors like the premium price, coverage span, riders offered, claim settlement procedure, etc.

Some of the most popular riders available with electric car plans are Roadside Assistance cover, Outstation Emergency cover, Zero Depreciation cover, Return to Invoice cover, NCB Protection cover, Key Replacement Cover, Personal Accident cover, etc.

After careful consideration and comparative analysis, you must make your choice.

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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