The following information needs to be provided while calculating car insurance premium online for old and new cars with insurance calculator –
How to Calculate Insurance for New Car?
The new car insurance price depends on the type of plan that you are buying. If you opt for a comprehensive policy, the new car insurance cost will consist of two parts – third-party premium and own damage (OD) premium. The third-party premium for all cars is decided by the IRDA. However, the own damage premium is calculated with the help of the following formula:
OD Premium of a new car = Insured Declared Value (IDV) of the new car X insurer rate of premium + Add-on covers – Discount
Besides using the formula to calculate the new car insurance price, one can use a car insurance premium calculator to determine the premium of your new car.
Details required for insurance calculated for a new car:
- Car details and the name of the car manufacturer
- Make and model of the car
- Type of the car
- Date and the state of registration
- City & RTO
- Fuel type
- The year of manufacture
How to Calculate Insurance for Old & Used Cars?
- Type of the car
- Fuel type – CNG, Diesel or Petrol
- Claim history
- Depreciation value
- Details of the last policy
- For second-hand cars, details of the owner are required
Car Insurance Premium Renewal
Customers who have already brought an insurance policy for their cars need to renew the policy at regular intervals to get all benefits. Each of the policy is designed with predetermined expiry dates, after crossing that particular date; customers need to get renewal for the insurance policy. One can easily renew the policy online.
Many buyers make premium rates the sole criteria of choosing a car insurance policy. However, this is not a right move. There are other features and benefits in a plan to look out for. If you are getting a better coverage at a slightly higher premium rate, you should prefer it over a lower coverage plan.
