Thread by @myfinology

Your car insurance is about to get cheaper 🚗

P.s: Not if you are a rash driver!

Read this thread to find out 👇

The insurance regulator IRDAI has introduced the New Car Insurance Plan, where insurance premium will be based on your usage & driving behavior.

#personalfinance

The plan includes the following concepts for motor's own damages (OD) cover as Add-ons:

• Pay as you drive
• Pay how you drive
• Floater policy for multiple vehicle types

• Pay as you drive

The policy is valid for a pre-specified distance & the premium will be lower than standard plans for those who use their vehicles less frequently.

• Pay how you drive

Here, the insurance premium depends on the way the person drives his/her vehicle; i.e. the premium is lower if he/she uses the vehicle in a better, safer & more efficient way.

Thus, vehicle owners can now buy cheaper insurance policies based on their driving behavior, general upkeep of vehicle, mileage and usage pattern.

#car

But the question is.. How will they get to know about your driving style? 🤔

Through telematics (a mix of telecommunications and informatics) used to keep track of driving-related data, including storage, transfer of information and monitoring driving habits.

#technology

• Floater policy for multiple vehicle types

A person who owns more than one vehicle can purchase an add-on motor cover on a floater basis.

The ‘floater policy’ will allow the vehicle owner to get a single policy for multiple vehicles including two-wheelers.

The objective of such add-ons is to make motor insurance more affordable, especially for those customers who primarily opt for only third-party covers and ignore the benefits of OD covers.

#insurance

Due to regulatory compulsion, people take up car insurance. But many are still ignorant about insuring their life & health, which should be a higher priority!

Do you have adequate life/health insurance coverage? 🛡️

Check out now: Recipe.finology.in/app/prosperity…