Understanding the Importance of Engineering Insurance

Manufacturing and heavy engineering companies have to procure numerous machines, which suffer a lot of wear and tear on regular usage. Moreover, heavy engineering companies are the epicentre of the manufacturing industry of an economy. Hence, it is essential that the machines be well-maintained so that the production rate can be at par. In order to help manufacturing and heavy engineering companies, insurance companies offer commercial insurance policies that cover the expenses incurred on repairing the damage that heavy machineries undergo due to regular usage. Sometimes, machines suddenly malfunction and extensive expenses are incurred on repairing the damage. Without a commercial insurance policy, your company will have to bear heavy expenses to repair the machines. Additionally, if the repairing is not done swiftly and on time, it can halt production. Hence, if you are the owner of a heavy engineering company, then it is essential that you procure a commercial insurance policy that offers coverage of expenses incurred on repairing heavy machineries.

Importance of Insuring Machines
If you are looking to purchase machinery loss insurance policy and be assured of profit,then it is advisable that you purchase the policy only from a reputed insurance company. This will ensure that you receive prompt service when it comes to claim assistance. When you purchase a machinery insurance policy, ensure that you keep the following factors in mind:

• The sum insured should cover not only the expenses incurred on repairing the machine, but also the replacement of parts of the equipment and setting up of the equipment.
• The premium is calculated based on the type of the machine being insured, condition of the machinery, and its capacity. Depending on all of these factors and especially the condition of the machine, the premium rate will be fixed.
• The insurance policy will have to cover accidents and unforeseen circumstances that may halt the production and usage of the machine being insured.

Thus, it is essential to evaluate all aspects of the commercial insurance policy and then purchase the one that meets all your company’s requirements. Once you are done with evaluation, go ahead and purchase the insurance policy.

Top Tips to Find the Best Medical Insurance Policy

The costs of medical treatment have increased substantially in India. Getting hospitalized even once is more than enough to wipe out yoursavings and cause you some major financial woes. Hence, it is necessary that you buy the best medical insurance policy, so you can bear the cost of any medical treatment without feeling the pinch.

Here are some tips to select the best policy, so you can be prepared for unplanned medical expenses:

Select a plan with the right coverage
It is important to prepare for any medical eventuality. Hence, opt for a plan that offers enough coverage and sum insured for any treatment. Account for inflation, as it impacts healthcare costs as well.

Family floater plan is apt for families
If you go in for individual health insurance for each member of your family, it will be expensive. Instead, go for a family floater plan that covers every member of your family, including your elderly parents. This way, you will be able to pay affordable premiums to geta higher sum insured.

Select the sum insured with care
Make it a point to choose a sum insured depending on your age and marital status. When you are single and young, you will have minimal risks for health issues. However, as you age, the risks will increase. So, select your health insurance with care, taking into consideration your and your spouse’s healthcare needs.

Choose a plan with minimal waiting period for pre-existing health conditions
If you have a pre-existing health condition, look for a healthcare plan that has a smaller waiting period. Typically, plans have a waiting period of two to four years, before the insured person can put in a claim for the treatment of pre-existing diseases. However, there are plans with shorter waiting periods that you can consider if you have a pre-existing condition.

Look for maximum age for renewal
When you are young, you may not have many health issues. However, as you grow older, you might end up with age-related and lifestyle-induced health problems. With life expectancy increasing in India, it is important to look for a medical insurance policy that allows you to renew your plan, even at an older age. The best idea is to pick a plan that offers lifetime renewability.

While there is an array of health insurance providers, opt for one who has a high claim settlement ratio. This will give you peace of mind, knowing that your claim will not get rejected without a valid reason.

The Benefits of Car Insurance in India

If you don’t have car insurance, you are taking a big risk. You are risking your financial wellbeing and peace of mind. Above all, you are testing the law and going against it. If you think car insurance is an unnecessary financial burden, think again. Here are some benefits of having car insurance that you should be aware of.

1.Benefits to Survivors of Accidents:  Private car insurance covers medical costs and legal fees (if any) in the event of an accident. This goes a long way in helping you during such a situation. Being stressed about monetary and legal hassles is not good when you may already have injuries and other damages to contend with. Your auto insurance will cover the fees of defending you against lawsuits, if the accident was your fault (depending on the coverage chosen).

2.Covers Vehicle Repair: In the event of an accident, your auto insurance will cover the costs of repair. It goes without saying that different insurance policies will have different caveats and the extent of repairs that you can opt for. However, you can have peace of mind that you will not have to dig deep into your savings to fix your vehicle after an accident.

3.Coverage for Passengers: Certain car insurance policies also have provisions for covering medical expenses of the passengers, in the event of an accident. For this clause to kick in, the policyholder would have to be behind the wheel at the time of the accident. So, if you regularly drive your kids and family members around, this option in your car insurance is a good backup to have.

4.Protection Against External Damage: In many cities and towns, garages are a luxury. This means that you will have to park your car at the side of the road most of the time. As a result, your vehicle is more susceptible to damages, theft, and burglary. However, with the right car insurance, you can ensure damage due to theft, burglary, or even natural forces are not something that you have to be constantly worried about.

5.Offers Peace of Mind: The most important reason to buy car insurance is peace of mind. When you compare and purchase the right auto insurance policy, you know that you will have peace of mind, should something happen to you or your vehicle. Even if you die in an accident, your loved ones will be compensated. While money cannot replace you, it will go a long way in ensuring their financial security when you are no longer there to provide for them.

Make sure that you choose your private car insurance after comparing different policies. If you purchase your auto insurance online, you will be able to save money. Insurance providers operating online have lower operating costs and they pass on these savings to their customers. You can also renew the policy online with minimal or no paperwork.

An Overview of Commercial Vehicle Insurance

Vehicles plying on the roads are classified as private or commercial and basis the classification the rules and regulations governing their maintenance as well as on road permissions also vary. Insurance is another important aspect that is different for commercial and private vehicles and you cannot take a commercial vehicle on road without having proper insurance for the same. So, let’s try to understand the scope of commercial vehicle insurance.

What is the difference between commercial and personal auto insurance?

A vehicle that has been registered as commercial and is used for profit generating activities like carrying passengers or goods needs to have commercial insurance and one that is used for personal use and not for any profit generating activity needs to have personal auto insurance.

While with a personal auto insurance only you are safeguarded from the liabilities arising out of an accident involving your vehicle, when you have commercial auto insurance in place, you and your business, both are safeguarded from such liabilities.

What are the specialized coverage plans that come only with commercial auto insurance?
When you are buying a commercial vehicle package policy, you can check for the following add on benefits:

Coverage for hired vehicles: A business owner may not always use or have his/her own vehicle for transportation of goods and may use a hired vehicle for the same. The commercial auto insurance should offer coverage even for the borrowed vehicle carrying your goods.

Coverage for destruction or theft of equipment in the vehicle: Commercial vehicles are mostly fitted with sophisticated devices like GPS trackers which if stolen or damaged may need you to spend extensively on the repairs. As such, you must go for an auto insurance that gives coverage for such incidents too.

Lease or loan defaults: Many a times, commercial vehicles to be used as cabs or delivery vans are bought on loan by individuals and their ability to repay the loan mostly depends on the kind of business they are getting using that vehicle. As such there could be many slack phases for such people. Therefore when buying commercial vehicle insurance, it is good to go for one that offers coverage for loan or lease defaults too.

What are the benefits of buying commercial vehicle insurance?

• Commercial auto insurances have limits that are way higher than the personal auto insurance policies. As such, they can effectively cover financial liabilities arising out of accidents involving a commercial vehicle.
• The commercial auto insurance not only pays for the damages caused to the vehicle o the third party, it also reimburses you for the damage caused to any equipment that you may be carrying in your commercial vehicle so you can replace or repair them as needed.
• The commercial auto insurance will also give adequate cover for your employee driving the vehicle in case he/she get hurt in an accident involving the vehicle.

When you have commercial auto insurance, you become eligible to take vehicles on lease from various lessees as with most of them your having a commercial insurance becomes a mandatory as well as primary requirement.

Therefore, now that you know all about the various benefits associated with having commercial auto insurance, never settle for personal auto insurance for your commercial vehicle as by doing that you expose yourself and your business to unnecessary risks.

Understanding the key benefits of two wheeler insurance

The demand for two-wheelers has always been high and apart from being economical, the two-wheelers are also considered to be the most convenient vehicle, as it helps in beating the heavy city traffic. Taking a bike out of the traffic is much more convenient than getting a car out.

If you compare the latest technology two wheelers with that of the two wheelers of the earlier times, you will see that there is a marked difference between the two. Just as the modern day two wheelers are technologically advanced, similarly even the modern day two wheeler insurance coverage is much more advanced than the insurance coverage given earlier.

If you get two wheeler insurance from a reputed general insurance company you will be entitled to get a number of benefits and if you want to know more about these benefits, you can go through the list given below:

• A reputed general insurance company makes sure that they provide you with cashless claim service and hassle-free inspection
• The insurance company provides coverage for a total or a partial damage to the vehicle that might be caused due to theft or an accident
• The third party body injury and third party damage is also covered under this insurance policy
• If you do not make any claims, then the insurance company makes sure to give a No claim bonus and this no claim bonus provides you with discounts on your insurance premium
• A reputed insurance company makes sure that they are able to settle the claims of a policy holder within 7 working days
• In case you lose your two-wheeler key, the insurance company also assists you to get a new key
• A reputed insurance company makes sure that they let the policy holder know about the depreciation of the parts which might need replacement due to the damage caused by an accident.
• They also provide excellent customer service even on Sundays and holidays in order to ensure an effective claim settlement procedure.

Thus it is quite clear that there are many advantages of getting two wheeler insurance done from a reputed company, however, there are certain things which are not covered under insurance and given below is a list of such things:

• The insurance company does not cover depreciation, wear, and tear or any mechanical breakdown that may be caused to your vehicle
• Damage caused to the vehicle due to nuclear or war perils or due to drunken driving is also not covered under insurance
• The insurance company does not cover any claims which might arise due to contractual liability

So, it is very important that you get bike insurance from one of the most reputed general insurance companies. This will help you to get a policy at quite an optimum rate. Apart from providing you with insurance at a reasonable rate, a reputed general insurance company will also make sure that you are able to get a coverage which best suits your needs and purpose.

Understanding Accidental Insurance Plans

The accident insurance plans are policies that give a person financial assistance in the event of an accidental disability or accidental death. This type of policy covers accidents that are caused by violent, external and visible means which results in physical injury. It is important to note that accident insurance plans do not include illness or disease as well as nervous, emotional or mental disorders. The accidental insurance also dismisses self-injury, suicides, war and armed force operations etc. 

Listed below are some of the features of Accidental insurance:

• Just like medical insurance and term plan, accidental insurance is an annual contract that can be renewed every year.
• Depending on your income, few insurance companies give 60 to 100 times of your monthly income while others give 8 to 10 times of your annual income.
• Some insurance companies offer accidental insurance to dependents but have restriction in sum assured.

Benefits that a comprehensive accidental insurance policy offers:

This type of insurance is also referred to as accidental death insurance and thus, in case of death of an insured due to an accident, his/her nominees get 100% sum insured. 

In case a person meets with an accident and loses his body parts which may prevent him from working in future; then 100% sum insured is given to the insured person. The accidental insurance covers the following:

• Loss of one hand and foot or both hands or feet 
• Loss of a Limb along with an eye
• Total and permanent loss of both eyes’ vision 
• Total and permanent loss of hearing and speech

It is important to note that in case of permanent partial disablement i.e. loss of a finger or a toe, the amount that the insurance companies pay usually differs. So, it is important that you go through the policy documents thoroughly to understand what they will cover.

If the insured has met with a serious accident which has not resulted into any permanent loss but the doctor has recommended complete bed rest which can impact the earning potential for a small period, in such cases accidental insurance can compensate for this income loss. 

The accidental insurance can offer a few more benefits they can cover education fund for kids, emergency ambulance charges, family transportation, medical expenses, imported medicines etc.
These are some of the benefits that accidental insurance policies offer.
 

However, before you go ahead and invest in an accidental policy; it is important to note that premiums do not depend on the insured person’s age rather it depends on that person’s working conditions and work profile. Usually, there are three different levels on which the individuals are classified:

• Level 1: This includes people who work in offices and are in administration functions.
• Level 2: This includes people who work in various fields as labors.
• Level 3: This includes people who work in circus, mines and are considered as higher risk category.

If you work in a possibly risky occupation or engage in hazardous hobbies or sports then accidental insurance policy might be the best way to insure against a sudden accident.

Myths Related to Car Insurance That You Must Not Heed To

Just like any other segments, the insurance sector is also not left behind as far as myths are considered. But the problem is that people who believe in these myths get into more trouble as they are usually unrealistic in nature.

Mentioned below are some of the common myths along with the real facts associated with it that you should know before buying 4 wheeler insurance:

• Myth: A 4 wheeler insurance is not required for old cars
  The Actual Fact: According to the Motor Vehicle Act, 1961, to protect your vehicle, an insurance policy is mandatory for any car irrespective of its age. People often say that the resale value of an old car does not justify an insurance plan but it is important to remember that old cars have higher risk of theft as its parts tend to be difficult to get as they are high in demand.
   
• Myth: Car insurance only covers the accidents where the owner is not at fault
  The Actual Fact: If you have a valid car insurance policy it means that you are covered for all types of accidents. By availing the comprehensive car insurance, you can get coverage in case of damages, or theft, mechanical faults, terrorism, flood, riots, etc.
   
• Myth: Policy cannot be transferred to another insurer as this can result in losing the No Claim Bonus
  The Actual Fact: No Claim Bonus is actually given in case of a claim free year to the policy holder. So, even if you transfer your policy to another insurer then also you will be getting your No Claim Bonus; however, you will need to file it within ninety days from the old policy’s expiration date.
   
• Myth: The No Claim Bonus will go to the new car owner automatically once the car is sold The Actual Fact: No one has the right on your No Claim Bonus apart from you. So, even after you sell your car, the No Claim Bonus will not be transferred to the new car owner.
   
• Myth: In case of a driver, a separate policy must be taken
  The Actual Fact: Even if you have a driver for your car, you do not need to take a separate policy but what you can do is you can include the name of the driver in the policy. Also make sure that the driver has a valid license.

So, once you have a clear understanding about the policies you can go ahead and purchase 4 wheeler insurance online as these days several insurers have an excellent online interface to facilitate the buying and selling of insurance. In fact, filing a claim for the insurance has also become very easy with the advent of such insurance portals.