Skip to main content

How to bring down your auto insurance cost ?

Invest Mutual Funds Online

Download Mutual Fund Application Forms


The insurance regulator has hiked the third-party motor insurance premiums in line with its decision last year to review the rates annually. Some insurers are also planning to revise their 'own damage' rates. Put these two pieces of news together and it is a fair guess that your overall premium will go up when you buy or renew your motor insurance. Don't lose hope though. There are many ways to keep the total premium on the comprehensive motor policy under control.

Let go of smaller claims

You are entitled to a no-claim bonus (NCB) for every claim-free year. If you don't make any claim for a few years, the NCB can reduce your premium cost by as much as 50%. So, don't rush to make a claim for fixing every small dent on your car. Sometimes, what you spend on repairs could be less than the amount you stand to lose as no-claim bonus. Weigh whether the damage is worth filing a claim for or is it smarter to wait for another claim-free year.

Opt for a higher deductible

You can also opt for a higher deductible amount in the policy. This means that you will pay the initial 5,000-10,000 of the repair bill and the insurance company will pay the balance. The higher the deductible, the lower is the premium. However, don't opt for too high a deductible just to bring down the cost of insurance. You might end up paying more than the amount you stand to save.

Share more information

Many insurers offer better rates these days to customers who are willing to share personal information, such as age, gender, marital status, occupation, claim history and driving track record. For instance, Berkshire Insurance, which distributes Bajaj Allianz's motor insurance policies, offers a discount of 5% to those who provide details about themselves by answering the questions in the forms. The premium for a young male who smokes will be higher than that for the same amount of cover for a young, nonsmoking female. The details help in the correct calculation of premiums and also in getting discounts of 10-25.

Be careful about add-on covers

The add-on features like depreciation cover, roadside assistance, emergency expenses, and hospital cash, may have immense utility value, but some agents try to push unnecessary covers as well. Tally the policy features with your needs before buying the add-ons. This will ensure that your premium is not inflated for options you may never use.

Sign up with auto associations

Becoming a member of the Automobile Association of India (AAI) or its affiliates gives you a discount on the premium rates from some insurers; the discount could be lower of 5% or 200 on the own damage premium for private cars. Similarly, if you install an anti-theft device approved by the Automotive Research Association of India, you could claim a discount of 2.5%, subject to a maximum of 500.

Stick to the mandated part of cover

As per the prevailing law, you have to buy a minimum cover of 6,000 to compensate third parties for any property damage. Sure, you have the option to buy a higher cover, which may come in handy if there is a huge payout, but remember that your premium will also rise. If you want to keep the premium low, opt only for the mandatory cover.

Transfer no-claim bonus while selling a car

If you are planning to upgrade your car, you can bring down the insurance cost by transferring the no-claim bonus of your old car. If you have been a careful driver and have a 40-50% no-claim bonus, get it transferred when you sell your car. The insurer will issue a no claim certificate, which will get you the discount on the new car's insurance. If the insurance of the new car works out to 15,000, a 50% no-claim bonus will reduce it to 7,500. This no-claim certificate is valid for three years from the date of issue. Termination of the insurance means your old car is without a cover. Since a buyer typically assumes the car comes with insurance, make things clear while striking the deal. In most cases, buying new insurance for the old car may still be cheaper.

 

---------------------------------------------

Invest Mutual Funds Online

Transact Mutual Fund Online

 

Download Mutual Fund Application Forms from all AMCs

Download Mutual Fund Application Forms

 

Best Performing Mutual Funds

    1. Largecap Funds:
      1. DSP BlackRock Top 100 Fund
      2. ICICI Prudential Focused Blue Chip Fund
      3. Birla Sun Life Front Line Equity Fund
    2. Large and Midcap Funds
      1. ICICI Prudential Dynamic Plan
      2. HDFC Top 200 Fund
      3. UTI Dividend Yield Fund
    3. Mid and SmallCap Funds
      1. Reliance Equity Opportunities Fund
      2. DSP BlackRock Small & Midcap Fund
      3. Sundaram Select Midcap
      4. IDFC Premier Equity Fund
    4. Small and MicroCap Funds
      1. DSP BlackRock MicroCap Fund
    5. Sector Funds
      1. Reliance Banking Fund
      2. Reliance Banking Fund
    6. Gold Mutual Funds
      1. Relaince Gold Savings Fund
      2. ICICI Prudential Regular Gold Savings Fund
      3. HDFC Gold Fund

 

Popular posts from this blog

Axis Mutual Fund NFO - Axis Fixed Term Plan Series 18

Axis MF has announced that the NFO period of Axis Fixed Term Plan Series 18 (15 Months) under Axis Fixed Term Plan Series 17 19 has been preponded from February 27 to February 24.        --------------------------------------------- Invest in Tax Saving Mutual Funds ( ELSS Mutual Funds ) to upto Rs 1 lakh and Save tax under Section 80C.   Invest Tax Saving Mutual Funds Online Tax Saving Mutual Funds Online These links can be used to Purchase Mutual Funds Online that are regular also (Investment, non-tax saving)   Download Tax Saving Mutual Fund Application Forms from all AMCs Download Tax Saving Mutual Fund Applications   These Application Forms can be used for buying regular mutual funds also   Some of the best Tax Saving Mutual Funds available ( ELSS Mutual Funds ) HDFC TaxSaver ICICI Prudential Tax Plan DSP BlackRock Tax Saver Fund Birla Sun Life Tax Relief '96 Reliance Tax Saver (ELSS) Fund IDFC Tax Advantage (ELSS) Fund SBI Magnum Tax Gain Schem...

Budget 2014 Highlights for Saving

Download Tax Saving Mutual Fund Application Forms Invest In Tax Saving Mutual Funds Online Buy Gold Mutual Funds Leave a missed Call on 94 8300 8300   The new finance minister Arun Jaitley has just presented his first budget. What measures does the budget contain that will specifically impact savers and investors? Here they are: 1. Housing loans exemption for self-occupied properties increased to Rs2 lakh: Earlier this amount was Rs1.5 lakhs. This move barely keeps pace with the inflation in asset values.   2. Investment limit under 80 (C) increased to Rs1.5 lakh: This is a good move again and offers some relief to taxpayers.   3. IT exemption increased to Rs2.5 lakh, Rs3 lakh for senior citizens. This comes as a minor relief for taxpayers.   4. Annual PPF ceiling to be enhanced to Rs1.5 lakh, from Rs1 lakh: This is in tune with the change in 80C.   5. Long term capital gains tax for debt funds has been rai...

Franklin India Taxshield

Invest In Tax Saving Mutual Funds Online Download Tax Saving Mutual Fund Application Forms Buy Gold Mutual Funds Call 0 94 8300 8300 (India)   This fund maintains a quality portfolio of large-cap orientation. The fund manager adheres to a bottom-up investment approach and looks for companies whose current market price does not reflect future growth prospects. Investments are in companies that can drive future earnings growth. Stocks are selected based on the company's financial strength, management's expertise, growth potential within the industry, and the industry's growth potential.   The portfolio is well-diversified across sectors and market capitalisation and follows a blend of value and growth style of investing. The fund follows a predominantly large-cap allocation of over 70 per cent, with small-cap allocation never exceeding 10 per cent since inception.   Performance The fund doesn't dev...

ELSS Funds for different Risk Profile

Match your Goals Risk Profile With ELSS Investment   DIFFERENT TRACKS Unlike funds with a clearly defined investment universe -- large-cap, mid-cap or multi-cap - Tax Saving Schemes do not specify investment focus If you are looking for an equity Linked Savings Scheme (ELSS) to pare your tax burden, the plethora of options may confuse you. Many investors simply opt for ELSS funds , also called tax saving schemes with the best return over a certain time period. However, this may not yield the best results. There are several types of ELSS funds and it requires a nuanced approach to pick the right one. DIFFERENT RISK PROFILES Unlike funds with a clearly defined investment universe -- large-cap, midcap or even multi-cap schemes in the ELSS category do not specify their investment focus. While these schemes have the flexibility to invest anywhere, most tend to follow a defined template. For instance, some funds take a distinct large-cap tilt with a limited exposure to mid or small-cap st...

Reliance Tax Saver Fund Online

Invest in Reliance Tax Saver Fund Online   ----------------------------------------------- Invest Rs 1,50,000 and Save Tax under Section 80C. Get Great Returns by Investing in Best Performing ELSS Mutual Funds Top 10 Tax Saving Mutual Funds to invest in India for 2016 Best 10 ELSS Mutual Funds in india for 2016 1. BNP Paribas Long Term Equity Fund 2. Axis Tax Saver Fund 3. Franklin India TaxShield 4. ICICI Prudential Long Term Equity Fund 5. IDFC Tax Advantage (ELSS) Fund 6. Birla Sun Life Tax Relief 96 7. DSP BlackRock Tax Saver Fund 8. Reliance Tax Saver (ELSS) Fund 9. Religare Tax Plan 10. Birla Sun Life Tax Plan Invest in Best Performing 2016 Tax Saver Mutual Funds Online Invest Online Download Application Forms For further information contact Prajna Capital on 94 8300 8300 by leaving a missed call --------------------------------------------- Leave your comment with mail ID and we will answer them OR You can write to us at PrajnaCapital [at] Gmail [dot] Com OR Leave a mis...
Related Posts Plugin for WordPress, Blogger...
Invest in Tax Saving Mutual Funds Download Any Applications
Transact Mutual Funds Online Invest Online
Buy Gold Mutual Funds Invest Now