Motor Insurance
At Bima Vista, insurance isn’t just protection—it’s empowerment with vision.
We deliver clear, modern solutions that secure your life, health, and future.
Frequently Asked Questions
1. What documents are needed to buy a motor insurance policy?
For new vehicles: RC or invoice details. For renewals: previous policy and RC. Some insurers may ask for basic ID proof. Driving license is not required at purchase, but is needed if a claim is made.
2. Can a policy be bought online?
Yes. Most insurers offer online policy purchase and renewal. Soft copies of documents may be uploaded and payments made digitally. The policy is issued instantly in most cases.
3. Is physical inspection of the vehicle required?
For new vehicles or regular renewals, no inspection is needed.
If there is a break in policy (i.e., it lapsed without renewal), an inspection may be required before a new policy is issued.
4. Can the policy be transferred when a vehicle is sold?
Yes. Motor insurance can be transferred to the new owner. The insurer must be notified, and documents like sale agreement and RC transfer proof must be submitted. A small fee may apply.
5. What is a No Claim Bonus (NCB)?
NCB is a discount on premium for not making any claims during the policy period. It starts at 20% and can go up to 50% over time.
NCB belongs to the person, not the vehicle, so it can be transferred when buying a new car.
6. How is a claim filed after an accident or theft?
For accidents, inform the insurer, get the vehicle surveyed, and submit documents like RC, license, and claim form. For theft, file an FIR first, then notify the insurer and submit the required papers. Claims can be settled cashless at approved garages or through reimbursement at any garage, depending on where repairs are done.
7. What happens if the policy lapses?
Driving with a lapsed policy is illegal and can result in fines or imprisonment. Also, there is no coverage during this period.
If a policy has lapsed, renew it immediately. If the lapse is significant, inspection may be needed and NCB may be lost.
Protecting You, Your Vehicle, and Everyone on the Road
Motor insurance isn’t just about following rules, it’s about protecting yourself, your vehicle, and others on the road. With rising road accidents, thefts, and legal liabilities, insurance offers a vital financial safety net for vehicle owners.
While it can’t prevent incidents, motor insurance helps reduce the financial impact of accidents, theft, or legal claims.
Why It’s Mandatory
Under the Motor Vehicles Act, 1988, it is mandatory for all vehicles on public roads in India to be insured for third-party liability. This ensures compensation for third-party injury, death, or property damage caused by the insured vehicle.
A valid Certificate of Insurance must be carried in the vehicle at all times.
Types of Motor Insurance Policies
- Third-Party Insurance (Act Only Policy)
- Mandatory by law
- Covers:
- Bodily injury or death of third parties
- Damage to third-party property
- Does not cover damage to the insured’s own vehicle
- Liability for injury or death is unlimited (there is no cap on compensation, the insurer pays the full court-awarded amount)
- Comprehensive Insurance
- Optional but strongly recommended
- Includes third-party liability, plus:
- Own vehicle damage (due to accident, fire, calamities, etc.)
- Theft or total loss
- Optional add-ons (e.g., zero depreciation, engine protection, personal accident)
What Is Covered
- Accidental damage to the insured vehicle
- Theft or total loss
- Fire, explosion, natural disasters
- Third-party legal liability
- Optional covers: personal accident, roadside assistance, etc.
What’s Not Covered (Exclusions)
Motor insurance policies do not cover:
- Regular wear and tear
- Mechanical or electrical breakdowns
- Consequential loss (e.g., losses following the accident, not directly caused by it)
- Driving under the influence of alcohol or drugs
- Driving without a valid license
- Misuse of the vehicle (e.g., using a private car as a taxi)
Sum Insured & Premiums
- The sum insured is known as the Insured’s Declared Value (IDV) — the estimated current market value of the vehicle.
- In case of theft or total loss, the claim is settled based on the IDV.
Premium Calculation Depends On:
- Insured’s Declared Value (IDV)
- Engine cubic capacity
- Geographical location (zone)
- Age of the vehicle
- Type of policy and add-ons selected