‘जितना चलाओ-उतना चुकाओ’ से बचा सकते हैं बीमा के पैसे: गाड़ी कम चलती है तो किलोमीटर के हिसाब से दें प्रीमियम, जानें क्या है प्लान

A large number of people in India have started opting for ‘Pay as you Drive’ vehicle insurance. In this, the insurance premium is decided according to how much your vehicle will run in a year. ‘Pay as you drive’ can be beneficial for people who use their vehicle less. However, it is not beneficial for people who drive more than 10,000 km in a year.

Beneficial for whom: College students, the elderly, people who travel a lot in public transport or people who own multiple vehicles but take the car out occasionally. These include hybrid employees and people who travel short distances in small cities. According to a study, 35% of these insurance buyers do hybrid work, that is, they work from the office only 2 or 3 days a week.

Calculation of Premium: Pay as you drive insurance has three pre-defined slabs: 2500 km, 5000 km and 7500 km. The slab has to be chosen while buying the coverage. The premium is calculated based on the car make, model and driver’s profile in addition to the slab chosen.

How much will you save: If the total premium in general insurance is Rs 10,000, choosing the 2,500 km slab can help you save around Rs 4,500 in premium, Rs 3,500 if you choose the 5,000 km slab, Rs 2,500 if you choose the 7,500 km slab and Rs 2,000 if you choose the 10,000 km slab.

Top up when your mileage is high: If you drive the car for the prescribed number of kilometers, then the insurance company gives you some kilometers as grace. If you use up those kilometers as well, then it is necessary to get a top-up done. Otherwise, if you become a victim of an accident, your claim will not be considered. Your claim will be valid only if you have already done the top-up.

Telematics device will be installed: Insurance companies install telematics devices to track the running of the car. But no money is charged from the customer for that. Before the expiry of the period, the customer has to send a picture of the meter showing his kilometres to the company.

Insurance regulator IRDA issued instructions
In its master circular issued in June this year, the insurance regulator (IRDAI) has directed insurance companies to offer additional options like Pay as You Drive as a primary choice to the customers.