Here Is How You Calculate Your Car Insurance!

A car insurance calculator is a free online tool that guides you to purchase the right plan by comparing the available policies in the market. It aids you to get the right quote for car insurance premiums. It considers multiple factors such as car details, the timeline for the policy, amount of coverage, etc., to give you an accurate comparison of different policies in the market. With the click of a mouse, you can evaluate various car insurance coverage with a thorough comparison of insurance premium amounts and pick the one that suits your needs best. The calculated premium is a result of the following formula –

Premium = Own damage premium – (NCB + Discount) + Liability premium (fixed by the IRDA)

Traditionally, an insurance agent would advise you on the policies available, but gradually most people seeking insurance switch to a car insurance calculator. This is mainly because it requires less time and you have a transparent idea about the money involved without depending on another person. 

Following are some of the benefits of using an online car insurance calculator before purchasing the policy –

  • It is cost-effective and helps you save money.
  • It will help you reduce your car insurance premium. How? While using the insurance premium calculator, you’ll notice how certain changes in factors can increase or decrease your car insurance premium. Therefore, you can accordingly try different options and plans and make the best choice based on what works best for you!
  • It helps you make an informed decision that solidifies your car protection plan.

Car insurance calculators are meant to be user-friendly, where all you have to do is put in the information about yourself and the car. The ease and convenience of an insurance calculator are incomparable to any other method of comparing insurance plans. You can calculate the premium amount for both new and old cars by inputting the correct details in the various fields provided in the online calculator. For any car insurance policy, the premium amount is dependent on the age of your vehicle. Therefore, the car insurance premium for a new car may be higher than an old car. However, rest assured that your IDV and Sum Insured too will be higher since your car is brand new.

Cholamandalam MS understands your need to make an informed decision before purchasing an insurance policy for your dream car. Hence, it offers its umbrella protection car insurance that eases you from financial and mental stress!

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