Car insurance premium differs across different regions of India

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Car Insurance Online
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Car insurance premium differs across different
regions of India
After buying a new car, you bought a
comprehensive car insurance plan and have been
staying financially protected by paying premium
every year. But, did you ever think what factors
impact the calculation of car insurance premium?
Read on to unveil the secret. How premium is
calculated for car insurance plans in
India? Some typical parameters determining the
premium of a car insurance in India are Age Fuel
type (petrol or diesel or LPG) Cubic capacity Car
type (private or commercial) IDV (This is the
maximum sum insured that you can claim on your
car insurance plan)
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City of registration helps decide premium
amount Aside from these usual factors, the zone
where the car is registered also plays an
instrumental role in working out the premium of
motor insurance plans. Zone A includes 8
major cities in India and the rest of India comes
under zone B. Zone A cities like Chennai, Mumbai,
Hyderabad, Bangalore, Kolkata, New Delhi,
Ahmedabad and Pune are considered as locations
with higher risks due to higher population
density,
Particularly, criteria like the cubic capacity
and the age trigger varied premium of the same
car in different zones. In India, there are two
such zones.
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The incident of car theft is also higher in these
cities. So, if your car is registered in Zone A
cities you have to pay higher premiums for
your car insurance online cover. Similar to
different zones, the premium of the car insurance
plans also affected by different slabs of key
parameters like cubic capacity and age of the
car. Both these factors come with three different
slabs. Current car insurance premium rate in
two zones in terms of cubic capacity and
age Zone A The premium rate of car insurance
plans in zone A cities differ on the basis of the
age and cubic capacity of a specific car. Lets
keep different age-bands as constant to see how
varied cubic capacity affects the premium.
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Conclusion Calculation of car insurance premium
keeps all the above-mentioned factors into
consideration for arriving at a final amount.
Hence, two cars with same cubic capacity bought
at the same time in two different zones will
trigger two different premiums for
insurance. There are billions of car owners in
India. But, a very tiny percentage of them
actually know how the premium of their car
insurance plans are calculated. If you are one of
those, you should understand by now how the
premium for your car insurance cover has been
worked out. Sourcehttp//blog.gibl.in/car-insur
ance-premium-differs-across-different-regions-of-i
ndia/
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