Switching to a 3-year car insurance online plan can make life easier and save you money. Since 2018, new vehicles must have a 3-year third-party policy, helping you avoid fines and rising costs. This comprehensive plan is ideal for busy individuals, families, and vehicle owners seeking hassle-free coverage. With useful add-ons and discounts, a 3-year policy keeps you protected and stress-free. Compare options and choose the one that suits you best.
Introduction
Are you renewing your car insurance every year without giving it much thought? You’re not alone—most vehicle owners stick to annual policies out of habit. But what if there’s a smarter, more cost-effective way?
A 3-year comprehensive car insurance plan offers long-term savings, fewer hassles, and continued protection. In a world where convenience and financial planning go hand in hand, this could be your next smart move.
What is a 3-Year Policy?
Until September 2018, car insurance policies in India were renewed every year. But then came a major change. The Supreme Court stepped in and made it mandatory for all new cars to have third-party insurance valid for 3 three years right from the start.
So, what does that mean for you?
Well, while your basic third-party cover continues for the first three years after car purchase before you renew it again, you still have options when it comes to own damage (OD) insurance.
You can choose from:
This change aims to ensure continuous protection and streamline the claims process for both vehicle owners and accident victims.
Remember that under the Motor Vehicles Act, you must have the mandatory third-party insurance for the car’s life or until it is allowed to ply on the road.
What’s Covered
With a 3-year comprehensive car insurance policy, you’re protected against:
What’s Not Covered
While the plan is quite broad, there are a few things it doesn’t include:
These are the advantages that make investing in 3-year car insurance plans worth considering:
1. Savings on Premium Hikes
The Insurance Regulatory and Development Authority of India (IRDAI) regularly revises premium rates, usually increasing them due to inflation and claims data. By opting for a long-term policy, you lock in today’s premium rates and shield yourself from inevitable future hikes. A 3-year plan lets you pay once and forget the stress for a long time, helping you plan your finances more efficiently and protect your vehicle.
2. No Annual Renewal Hassle
Renewing insurance annually means setting reminders, digging through paperwork, and making payments—every single year. A 3-year plan eliminates this hassle altogether. Pay once and enjoy three full years of uninterrupted protection. No more panicking about deadlines or scrambling for documents.
3. Continued Compliance with Law
Driving with expired insurance is illegal and can result in hefty fines or even vehicle seizure. With a long-term plan, you remain compliant with motor insurance laws
4. Attractive Discounts and Benefits
Insurers offer upfront discounts on 3-year policies. Additionally, by minimising yearly administrative costs, they pass the savings to you. Some providers also offer bundled deals, combining own damage and third-party cover, at rates lower than the combined cost of three annual renewals. It’s a win-win situation — insurers reduce operational overhead and you save more money on quality protection.
A 3-year motor insurance policy can be a smart choice for many. Here are the people who can benefit the most from it:
1. New Vehicle Owners
For new cars and two-wheelers, the IRDAI already mandates long-term third-party coverage. Bundling it with long-term own damage cover is a smart step.
2. Busy Professionals
Professionals juggling hectic schedules often overlook annual renewals. A 3-year policy frees you from that recurring task, offering lasting peace of mind.
3. Senior Citizens or Families with Multiple Vehicles
Managing multiple vehicles? Coordinating renewal dates can be overwhelming. A long-term policy simplifies the process and reduces stress for senior citizens and large families alike.
4. EV Owners
These plans are great for electric and hybrid car owners. Since batteries cost 40-60% of an EV’s price, repairs are expensive. The 3+3 plan offers extra financial protection, making it easier and safer to cover costly repairs or replacements.
Switching to a 3-year motor insurance plan can save time, reduce costs, and ensure legal compliance without yearly stress. If you're tired of repeated renewals, next time when purchasing car insurance online, ensure you opt for a three-year insurance policy. It’s a smart, future-ready choice that keeps your vehicle protected and provides peace of mind.
Disclaimer: The above information is for illustrative purpose only. For more details, please refer to policy wordings and prospectus before concluding the sales.
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