What are the 4 types of coverage?

• Term Life Insurance.
• Whole Life Insurance.
• Universal Life Insurance.
• Variable Life Insurance.

• Third-Party Liability Only Cover.
• Collision Damage or Own Damage (OD) Cover.
• Personal Accident Cover:
• Zero Depreciation Insurance:
• Comprehensive Car Insurance:

• Liability coverage. Protects you if you cause damage to others and/or their stuff. ...
• Collision coverage. Covers your car if you hit another car, person or non-moving object (like those darn ornamental rocks cousin Todd has at the end of his driveway). # ...
• Comprehensive coverage.

What are the 7 main types of insurance?

7 Types of Insurance are; Life Insurance or Personal Insurance, Property Insurance, Marine Insurance, Fire Insurance, Liability Insurance, Guarantee Insurance. Insurance is categorized based on risk, type, and hazards.

What are liability coverages?

Liability coverage pays for property damage and/or injuries to another person caused by an accident in which you're at fault. This coverage is required by most states to legally drive your vehicle. Liability coverage is broken down into 2 parts: property damage and bodily injury.

What is IDV insurance?

What is Insured Declared Value (IDV)? The term 'IDV' refers to the maximum claim your insurer will pay if your vehicle is damaged beyond repair or is stolen.

What is comprehensive coverage?

Comprehensive coverage helps cover the cost of damages to your vehicle when you're involved in an accident that's not caused by a collision. Comprehensive coverage covers losses like theft, vandalism, hail, and hitting an animal. ... Comprehensive coverage is an optional coverage you can carry to help protect your vehicle.

How many major insurance coverages are provided under CL?

A comprehensive motor insurance policy typically has two insurance covers bundled together –the third party insurance and the own damages cover. Some also come with a built-in personal accident cover.

What Is insurance & its types?

Insurance policies can cover up medical expenses, vehicle damage, loss in business or accidents while traveling, etc. Life Insurance and General Insurance are the two major types of insurance coverage. General Insurance can further be classified into sub-categories that clubs in various types of policies.

What are the 5 main types of auto insurance policies?

What are the 2 types of life insurance?

There are two major types of life insurance—term and whole life. Whole life is sometimes called permanent life insurance, and it encompasses several subcategories, including traditional whole life, universal life, variable life and variable universal life.

What is difference between collision and comprehensive?

Collision coverage helps pay to repair your car if it's damaged in a collision with another vehicle or object, such as a fence. ... Comprehensive is a separate coverage from collision. It helps cover different types of losses that are usually not the result of driving the vehicle, such as theft, hail or fallen trees.

What is collision and comprehensive coverage?

Comprehensive provides coverage for events outside your control that are not caused by a collision, like weather, vandalism and theft. Collision coverage is for damage resulting from an accident with another vehicle or object.

What does collision mean in insurance?

Collision coverage helps pay for the cost of repairs to your vehicle if it's hit by another vehicle. It may also help with the cost of repairs if you hit another vehicle or object. That means you can use it whether you're at fault or not. Unlike some coverages, you don't select a limit for collision.

What is NCB value?

Definition: No-claim bonus (NCB) is a discount in premium offered by insurance companies if a vehicle owner has not made a single claim during the term of the motor insurance policy. ... The value of the discount depends upon the insurance claims you have made in that particular year.

How is NCB calculated?

The NCB is calculated only on the own-damage component of the premium and not the third party damage component of the insurance premium. ... So if your car insurance premium is Rs. 1000, your NCB will be calculated only on Rs. 800, which is the premium minus the third-party damage component.

What is NCB in car insurance?

It's called a No Claim Bonus (NCB). NCB is essentially a discount on your insurance premium that you can avail when you renew your policy. If you do not make any claims for a few years consecutively, you can accumulate up to 50% discount on premiums!

What is standalone CPA cover?

The standalone CPA policy came into effect from January 2019, wherein the insured can opt for this policy instead of choosing CPA as a cover within a Motor Insurance policy. This policy compensates you or your beneficiaries against accidental death or disability caused while driving the Insured vehicle.

What do the three insurance numbers mean?

Reading auto insurance numbers is easy, the numbers 25/50/10 define the insurance coverage limits. The first number refers to the bodily injury for one person, the second is for bodily injury liability for all persons and the third is for property liability damage. Many states mandate these three types of coverages.

What's the difference between full coverage and liability?

There's a big difference when it comes to liability insurance vs. full coverage. ... Liability covers you for accidents you cause, but full coverage protects you in other important ways as well. If you own your car outright, the choice can be up to you to set the coverage limits that best protect you and your family.

How many types of insurance are there?

Broadly, there are 8 types of insurance, namely: Life Insurance. Motor insurance. Health insurance.

Is the full form of IRDA?

Insurance Regulatory and Development Authority (IRDA) Act, 1999 spells out the Mission of IRDAI as: “... to protect the interests of the policyholders, to regulate, promote and ensure orderly growth of the insurance industry and for matters connected therewith or incidental thereto......”