Thursday, December 23, 2010

Factors Affecting Car Insurance Premium in India

Retail consumer products than offered by general insurance companies, car insurance premiums have an impact on the final number of variables that in the case is complex. Online car insurance aggregators provide an easy to use interface where users like car insurance premiums charged by different insurance companies are working on can compare.

Car insurance premiums 3 components of the damage itself, which in most cases the premium, third party and personal accident cover is 90%.

Now, we factor that car insurance premiums charged to have a look at some of the set.

Location: Motor Insurance Act, two areas of the country - was divided into the top 8 metros and rest of the country. Registered in the top eight metros premium for the car a little more than the rest of the country as the perceived risk is higher for the top eight cities of Delhi, Mumbai, Kolkata, Chennai, Hyderabad, Pune, Bangalore and Ahmedabad. Even today, the general insurance companies follow the same classification, some companies have refined this further. For example, some companies higher premiums if the car in Punjab or Delhi, where theft and accidents is registered in charge of the event is over.

Engine CC: higher engine displacement (cc) of premium cars with a high component part of the third party. It is classified in terms of <1000> 1500 cc (2500 RS)

Vehicle Age: Insurance companies with the age of the vehicle to allow for a depreciation. Vehicle increases as the age, value reduces wear and damage itself to reduce the premium component is

No Claims Bonus: insurance companies who claim the policyholder or less want to reward claims. If there have been no claims over the years, insurance companies own damage component of the premium to 50% discount offer

Car Manufacturer: Insurance companies close track their claims ratios to establish patterns that make a vehicle model to another model / may have had more than one claim per try. They factor in pricing and vehicles which are prone to more accidents for the premium load. For example, assume all other things being the same, the premium for a Mahindra Scorpio may be more than a Honda City.

Profession and age: Some companies offer a 5% discount if the policyholder a teacher Central Government servants, CA, etc. Similarly, some companies have different premiums based on age of the driver. Western developed markets has a bearing on the premium car paint.

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