Buying Car Insurance Online Vs Offline - Which Is Better

If you own a car, you need to have car insurance to be able to drive it on Indian roads, because car insurance is mandatory as per the Motor Vehicle Act of India. According to the act, having at least a third-party car insurance is compulsory for every car owner in India.

Previously buying car insurance was so tedious. you had to visit the car insurance company during its working hours, contact the insurance agent, fill up the form, make the payment through cheque or cash, wait for it to get processed and receive the insurance policy by post. It would take almost a week to get the policy. Digitization has made buying car insurance very easy. All you need is an internet connection, a mobile or computer and you can buy it online at any time.

Purchasing Insurance for your Car

Car Insurance protects the car owner against financial losses when unforeseen events occur, be it an accident with another vehicle or any object, theft, or damages due to natural and manmade calamities. There are two main types of car insurance; third party car insurance that covers only third-party liabilities and comprehensive insurance which covers third party liabilities as well as own damage liabilities.

The premium of car insurance depends on various factors like the value of the car, type of coverage, the area in which you live, etc. Though online and offline, both forms of buying insurance exist, most people prefer buying car insurance online. So let us see the benefits of online purchase of insurance vs the offline method and why most people prefer this method:

Buying Car Insurance Online Vs Offline

Minimum Documentation: Buying car insurance offline entailed filling long forms, giving the copies of identification, address etc. But online purchase does not demand any documentation. You just need to enter your basic details in the online form provided by the insurance company in their platform and provide KYC document soft copies.Saves Time: Nowadays time is precious for everyone. The online process saves a lot of time. Technological advancement has made it possible for you to be able to buy insurance online at any time of the day from anywhere, from your mobile phone or laptop with an internet connection. Payment process is also convenient, safe and transparent. The whole process is done within minutes and you get the policy instantly in your email.Affordable Prices: In the offline mode, the operational cost of maintaining the physical office, staff and resources is more, which is passed on to the customer causing an increase in the premium. In the online mode, the operational costs are less so the customer benefits with a lesser premium. As intermediary fees that insurance companies have to pay to their agents are not involved in online methods, you can buy car insurance at lesser rates.Benefit of Comparing Policies: The most important benefit of buying car insurance online is the ability to compare the policies of different insurance companies online. Imagine going to different insurance company offices, collecting the quotes and comparing the prices, in the offline method. It would be so tedious and time consuming.

All insurance companies nowadays provide information related to     the different types of insurance policies on their online platforms. They also provide calculators to calculate the premiums. By comparing the policies online, you can choose the policy best suited to your needs with respect to the features, price, and coverage.

Informed Decisions: In the offline method, the chances of being influenced by the agent to buy a policy recommended by the agent are more, resulting in you buying an expensive policy not in line with your requirements. For example, the agent may recommend add-ons not really needed for your car, which will increase your premium. But when you buy car insurance online, you are more in control as you can choose the policy most relevant to your needs and not be influenced by others’ opinions. You can make an informed decision with regard to the purchase of the insurance policy.Prompt Service: In the online process, the service is prompt while buying, renewing and also when you need to file the claims. The customer service team of the insurance companies are available round the clock and attend promptly to your queries and complaints. This is especially useful when your car is involved in an accident. You just have to call their customer desk and help is sent promptly within minutes. This service is valuable during such stressful times.Ease of Renewal: Renewal of the car insurance policies online is also easy. In the offline method, you had to contact the insurance agent, take the quote, visit the office and fill out long renewal forms, make payment through cheques, cash. Everything was so complicated and time consuming. Online renewal saves not only time but provides the ease of renewal at affordable cost.Easier Filing Claims: In the offline method, whenever an accident occurred, the insurance inspector would visit you and physically examine the damages to the car and send for approval. Only after the approval was received could you file the claims. In the online method, you just have to call the insurance company and tell them about the accident.

In the online process, claims can be registered online by uploading photos of the car highlighting the damages to the car along with the RC book of the car, driver's license of the driver and ID proofs. The claims are also processed faster. With the cashless facility where the insurance company pays directly to the mechanic or service center for the repair charges, it has become more helpful to the car owners whenever an unfortunate event occurs involving the insured car.

Which is Better-Online or Offline?

From the comparison points listed above, it is obvious that buying car insurance online is better than buying it offline. Even when you buy a new car, it is advisable to compare the car insurance policies online and choose the one best suited to your needs instead of buying the one recommended by the sales agent. But persons who are not tech savvy or feel the agent-based method is more comfortable, would prefer the offline method though they have to forgo the benefits of the online method.

Some may feel checking various policies makes them confused and also find it difficult without the required facilities like internet connection and smart phone. For such people offline buying through an agent is well suited. But whether you choose the online method or offline method, it is imperative to have your car covered with a suitable insurance cover. Because emergencies cannot be predicted and also as it is mandatory as per the law of the country.

 

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