Self-Driven Or Not, Car Insurance is Here To Stay

By BankBazaar | January 17, 2017


Planning on getting a real-life Lightning McQueen? Sounds like a great idea. You could drive back in your own car even if you were drunk. But what if your self-driven car rammed into another vehicle? Will self-driven cars need insurance? Will Car Insurance become obsolete?

Not really. Self-driven or not, Car Insurance will be around in some form or another.

There are several theories doing the rounds. While most of them state that self-driven cars will disrupt the auto industry, some weigh more on the logical side. Here are a few reasons why Car Insurance won’t go extinct any time soon:

  • Far Fetched Technology

The first generation of self-driven cars will not be completely automated. It will still require humans to be at the wheel. This could mean reduced risk, which translates into lower rates for Car Insurance.

  • Market Penetration

It is going to be quite long before self-driven cars become a worldwide phenomenon. Let’s suppose self-driven cars will hit the marketplace by 2020, it will take at least seven more years to reach 50% of the world market. The market will have a good mix of manual cars, perhaps more of manual cars than automated ones in the coming years. Therefore, there is no chance of Car Insurance being wiped away anytime soon.

  • Vendor-Insured Cars

Undoubtedly, the demand for Car Insurance will go down when self-driving cars come around as the number of accidents would reduce drastically. Research suggests that in case of an accident, the car will be completely to blame. Therefore, the vendor will require to sell the car along with insurance, which will automatically drive up the price of the car. This will be an indirect cost.

  • Repair Costs

An automated car will still need repairs. Let’s not forget that the self-driven car is after all a machine.

The Insurance industry is huge. While Car Insurance is just a small part of the industry, it is as important as any other branch like Health Insurance or Home Insurance.

Why Get Car Insurance?

Imagine you got a brand new car and in an unfortunate event, another vehicle rammed into your tail light! Wouldn’t that break your heart? Well, it’d also break your bank because repair expenses are not petty change.

Here are a few reasons why you should get Car Insurance:

  • Cover Accident Costs

You should get Car Insurance because it would help you cover any kind of damages and repairs your vehicle may need, if it has been in an accident. Plus, some insurance policies even have cover for the passenger/driver.

  • Illegal

Did you know driving a car without any insurance is illegal? If you were caught without insurance, you could end up paying more than a premium’s worth of fines and penalties. You could end up in jail and your vehicle could be confiscated as well.

  • Car Safety

A Car Insurance policy will actually provide financial aid if your car is lost, stolen or damaged by a fire or other calamities.

What Car Insurance Should I Get?

A policy usually depends on the kind of car you have and the type of devices you have installed in your car. Here are some of the most popular policies that offer great deals:

This Car Insurance policy offers a cover of up to 7.25 lakh for third-party damage. Their services are available across 1600 network garages that offer cashless claims. They also offer special discounts based on age and profession. You could also avail a good rebate if you are a member of the Automobile Association. A personal accident cover of Rs. 1 lakh per person is also available on this policy. The depreciation cover gives you a 100 percent repayment while settling the claim.

The most attractive feature about this policy is that it offers cashless claims at over 4000 network garages around the country. And if you don’t get a cashless claim at your preferred garage, you receive 75 percent of your account payment! There are amazing discounts if you opt for Voluntary Excess and an additional discount if you have an anti-theft device installed in your car.

With features like the zero depreciation cover that protects your No Claim Bonus and personal accident covers, the Tata AIG Car Insurance is a trusted policy. All third party damages including physical disputes are covered by the policy. You can enjoy cashless claims at all the 2000 plus network garages.

This is one of the few policies that offers cover on own damages, which means if you damaged your car yourself, they will cover the expenses. You will also qualify for a discount on your own damages if you agree to pay a premium of Rs.10, 000 for each claim. The policy also protects you vehicle from damages via natural calamities.

When you opt for voluntary excess on this policy, you get a 35% discount on your Own Damage Premium. What’s more? The policy also offers protection against any kind of baggage lost or damaged in the insured vehicle in case of an accident.

There are several add-on covers that you could add to your policy for extra protection.

Don’t have a car yet? Get one today! Apply for a Car Loan now.

All information including news articles and blogs published on this website are strictly for general information purpose only. BankBazaar does not provide any warranty about the authenticity and accuracy of such information. BankBazaar will not be held responsible for any loss and/or damage that arises or is incurred by use of such information. Rates and offers as may be applicable at the time of applying for a product may vary from that mentioned above. Please visit for the latest rates/offers.

2 thoughts on “Self-Driven Or Not, Car Insurance is Here To Stay

  1. Pingback: Car Insurance Roundup, January 18, 2017 | InsuranceCanvas

  2. Pingback: Car Insurance Roundup, January 19, 2017 | InsuranceCanvas

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