15 Mistakes to Avoid When Buying Car Insurance Online

Posted on: Jun 11, 2019 | 3 mins | Written by: HDFC ERGO Team

15 Mistakes to Avoid When Buying Car Insurance Online

Most people don’t give much thought to their car insurance until something goes wrong. By then, it’s usually too late to realise that a better plan, a small add-on, or simply reading the fine print could have made all the difference. Buying insurance online offers speed, yes - but it also leaves more room for mistakes. Not the obvious ones, but the kind that quietly cost you later. This blog looks at some of the common car insurance mistakes that often go unnoticed, especially when policies are purchased or renewed online.

15 Common Mistakes to Avoid While Buying or Renewing Car Insurance

Online car insurance has made things faster, but it has also led to some easy-to-make errors. Before you click ‘buy’ or ‘renew’, it’s worth knowing the most frequent missteps that could cost you more than you expect.

1. Choosing the cheapest policy blindly

Cheap policies often catch attention because of the price, but the trade-off usually shows up when you need to make a claim. It’s better to check what’s covered than be surprised when it matters most.

2. Not reading the policy document

Once the payment goes through, it’s tempting to move on without reading the full terms. However, those pages explain exactly what your insurer will and won’t cover. Skipping them could leave you with the wrong expectations when it counts.

3. Skipping add-ons without understanding them

Add-ons like engine cover or roadside help might seem unnecessary, especially if you’re watching your budget. Still, some riders can make a real difference depending on your car and how you use it. It's worth pausing to see what you might actually need.

4. Ignoring your car’s current value

The amount your car is insured for plays a bigger role than most people realise. If it’s set too high, you could end up paying more than necessary. If it’s too low, your claim payout might fall short. It makes sense to match the value to what your car is worth today.

5. Missing out on NCB benefits

No Claim Bonus is one of the few rewards for safe driving. If you’re switching insurers or renewing, check that the bonus is carried over properly; otherwise, you’re leaving money on the table.

6. Using outdated or incorrect information

Mistakes in your personal or vehicle details can delay claims or lead to outright rejection. It’s a small thing, but reviewing each field before you submit can save a lot of hassle later.

7. Not comparing multiple insurers

Every insurer offers different coverage terms. It pays to compare rather than settle for the first quote you get.

8. Relying only on aggregator sites

Comparison sites are useful, but they don’t always show every option. Visit individual insurer websites for full details.

9. Delaying policy renewal

A break in coverage can cost you more later and may even reset your NCB. Renew before the policy expires.

10. Overlooking claim settlement history

Insurers with poor claim settlement ratios may leave you stranded in emergencies. Research their track record before buying.

11. Choosing the wrong type of policy

Third-party insurance is mandatory, but it won’t cover your car. Comprehensive plans offer broader protection.

12. Forgetting to update contact details

Important policy updates and claim information might go to an old number or email. So, keep your records up to date.

13. Not checking network garages

Cashless claims are only possible at partnered garages. Make sure there’s one near you.

14. Skipping voluntary deductibles

Some people select high deductibles to lower premiums, not realising they’ll have to pay more during a claim.

15. Neglecting to verify the car policy online

Buying from unauthorised sites or agents is risky. Always use trusted platforms when selecting a car policy online.

Conclusion

It’s not just about getting a policy in place. It’s about getting the right one. Online platforms make it quick, but that speed can lead to small mistakes that become big problems later. Take a few extra minutes, ask the questions that matter, and don’t rely on price alone. In the end, the right car insurance is the one that helps when you need it, not just the one that is easy to click through.

Disclaimer: The above information is for illustrative purposes only. For more details, please refer to the policy wordings and prospectus before concluding the sales.

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