National Insurance Company, one of the premier insurance firms in India, offers a third-party liability policy and a comprehensive car insurance policy. The company also offers benefits like cashless claims settlement, discounts, etc., to customers.
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National Insurance Company Limited (NICL) is a fully central government owned general insurance company based in India. The company headquartered at Kolkata was established in 1906 and nationalised in 1972.
Features | Specifications |
Third Party Cover | Upto 7.5 L |
Incurred Claim Ratio* | 121.67% |
Net Earned Premium* | 5008.23 |
The company lists over 15,000 skilled employees in its rolls, with 1,340 offices and 373 business centers across India, and is operational in Nepal too. The company has been recognized as 'Best in Service' in the Motor and Health classes of the insurance business which comprise of 63% of the Indian non-life insurance market. In terms of Motor Insurance, the company has extensive tie-ups with leading automobile makers including Maruti, Tata Motors, Nissan, Honda, etc. When it comes to insurance in India, NIC is definitely a leading choice.
The Motor Insurance policy from National Insurance Company (NIC) is highly pro-customer and brings in a range of features that provide 100% protection to your cherished set of wheels. With regular features such as protection against unintentional loss or damage caused to your car, theft, or the involvement of your vehicle in accidents that could have caused injury, loss of property or death of a third party, a network of experts who give new meaning to the concept of customer support and the simplicity of purchasing the policy online, make the private car insurance from NIC a hearty proposition.
Insuring your car is mandatory in India as per various motor vehicle laws enacted by both state and central governments. Two types of coverage options are available under National car insurance:
The coverage for your cherished vehicle will depend upon the manufacturer's listed selling price, while subtracting the depreciation factor for each year or the Insured Declared Value (IDV). Herein, the IDV is the max amount payable in the event of a claim raised in relation to the total loss or theft of the vehicle.
Third Party Liability | This covers situations wherein your vehicle was involved in an accident that caused loss, damage to property (payable upto Rs.7.5 lakhs) and/or injury, death to a third party |
Own Damage Cover |
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Personal Accident Cover | As part of the overall motor insurance, and in accordance with the Motor Vehicles Act, NIC provides personal accident cover in the event of your unfortunate accident while driving. This accident cover can also be extended to passengers, whose number equals the maximum permissible occupancy in the vehicle. |
Coming from one of India's oldest insurers, the questions of reliability and operational competence takes care of itself. The Motor Insurance from the National Insurance Company is tailor-made for those who seek a simple, all-inclusive, robust and scalable insurance policy to protect their investment on their chosen set of wheels. Breathe a sigh of relief, and be protected against a range of natural and man-made calamities with Motor Insurance from NIC.
NIC was the first Indian insurance provider to get into strategic partnerships with automobile industry giants such as Hero MotoCorp and Maruti. These alliances brought about landmark reforms in the method of service delivery in the automobile industry.
NIC was also the pioneer in establishing Bancassurance relationships with the largest banks in the country. The company has been accredited with stellar ratings and have received several awards for its innovative reforms, consistent performance in the investment space, and strong market presence.
Depreciation is the loss in the value of a car over a period of time. The rate of depreciation is applicable from the time a car is purchased. The insurance company calculates the Insured Declared Value (IDV) of the vehicle based on its depreciation. IDV is effectively the manufacturer's listed price of the vehicle minus the depreciation.
Depreciation is applicable to each part of the car, except that made of glass. In order to protect your vehicle from depreciation, you can opt for the zero depreciation add-on cover, also referred to as the nil depreciation cover. This add-on cover can be purchased from the insurance company by paying an additional premium. It can be added to the comprehensive motor insurance policy to amplify its coverage.
If the insured vehicle suffers a partial loss, and it was found that the damaged parts can be replaced at a workshop, the nil depreciation cover provides you the complete amount incurred for the replacement of parts. This add-on cover is not valid for total loss of the car. For luxury cars the cost of car parts would be very high; hence it is advisable to protect such vehicles with this insurance.
It is important to be aware of the depreciation element of your car as it would help you understand the impact it has on your car insurance. You can then avail solutions that offset the effects of depreciation and save considerably.
The rate of depreciation on car parts is as follows:
Age of the car | Percentage depreciation |
Not more than 6 months | nil |
Between 6 months and 1 year | 5% |
Between 1 year and 2 years | 10% |
Between 2 years and 3 years | 15% |
Between 3 years and 4 years | 25% |
Between 4 years and 5 years | 35% |
Between 5 years and 10 years | 40% |
More than 10 years | 50% |
Let us consider an example in which a car part made of fibreglass was replaced. The total cost of the repair work was Rs.10,000. As per the depreciation rules, the insurance company would pay you only 70% of this amount, i.e., Rs.7,000. This implies that you will have to pay Rs.3,000 for the repair work.
Consider that there was a paint job done on the car that costs Rs.15,000. If the cost of painting materials was Rs.4,000, the insurance company will pay only 50% of the cost of these materials, i.e., Rs.2,000. This indicates that you will have to pay the remaining amount of Rs.2,000 for the cost of painting materials.
It is possible to buy a National Insurance motor insurance policy from the insurer's website. This way, you can avail attractive premium discounts, in addition to the No Claim Bonus (NCB) that you receive for observing claim-free years.
You should note that providing incorrect information in the proposal form may jeopardise the validity of the coverage. Currently, National Insurance Company offers motor insurance policy to private vehicles that have Insured Declared Value less than Rs.25 lakh.
In case you are unable to access the insurance company's website to buy motor insurance, you can approach the nearest office of the insurer either directly or through an authorised agent.
You can renew your National car insurance policy online at the official website of the insurance company. In order to renew your motor insurance, you should click on the menu option that pertains to policy renewal.
This way, you can renew National car insurance policies that are due for renewal in the next 30 days. The website also enables you to renew car insurance from another insurance company in an effortless manner. In case you have any queries on the process, you can call the National car insurance customer care number for clarifications.
In order to raise a claim with National Insurance, you can follow these steps:
It is not necessary to file a claim when the loss has occurred due to natural calamities, such as earthquakes, floods, inundation, etc.
The customer care number of National Insurance Company Limited is 1800 200 7710. You can dial this number to get clarifications for your queries or for resolution of issues. You can also fill up an online form at the website of the insurer and get a customer service representative to call you back. Alternatively, you can initiate a chat with the customer service department through the facility available on the website.
You can click on the 'Our offices' menu option and get a list of all the branch offices of the insurer. You can search for branches based on city, state, or office code. In order to raise grievances, you can click on the corresponding menu option at the website and get all information regarding the same. You can also lodge a feedback by selecting the 'Feedback' menu option.
GST Update: GST of 18% is applicable on car insurance effective from the 1st of July, 2017
No Claim Bonus is a monetary benefit passed to the insured for not making any claims during the previous policy period. It is a mandatory rebate given by the insurer to the insured during the time of policy renewal for "zero"claims during the antecedent policy term.
The NCB starts at a minimum of 20% and can go up to 50% of the policy premium renewal value.
It is paramount that you keep the insurer informed on changes with regard to communication address and phone numbers, modification in name, alterations made to the car etc. It is done by means of an Endorsement by the insurer.
You can either call or visit one of the local offices of National insurance to gather more information regarding any modifications to the existing policy. Some of these changes may require support of relevant documents.
The Indian Motor Vehicles Act mandates that all vehicles in the country are insured with at least a minimum insurance cover, i.e., the third-party liability insurance. Since it is the law, you are expected to abide by it. You can approach National Insurance Company Limited to buy a liability-only policy for your vehicle that provides adequate coverage for your needs at a nominal cost.
The National car insurance premium calculator tool is a very useful proposition as it helps you in determining the amount you will have to set aside towards the premium on an annual basis. This is key in coming up with a realistic budget for your annual expenses.
If you are using the National car insurance premium calculator tool on neutral financial websites such as BankBazaar, you can also compare motor insurance plans between providers. This is useful in identifying the most cost-effective plan for your needs.
Yes, National Insurance Company offers car insurance for all private cars that have IDV less than Rs.25 lakh. You can get further details on this by contacting the insurer.
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