Modifications affect Your Insurance. Here's how?
Are you a car enthusiast who’s forever seeking to improve their car’s looks and performance? If yes, then ‘modifications’ must be big on your mind.
Are you a car enthusiast who's forever seeking to improve their car's looks and performance? If yes, then 'modifications' must be big on your mind.
From getting extra headlightsto up your car's style quotient to fitting alloy wheels or air filters to better its functionality and performance, you love the idea of modifications. However, did you know that modifications don't just alter your car, but also its insurance cover?
Yes, every change that you make to the manufacturer's original vehicle amounts as a modification. Therefore, it is essential that you know more about how it affects your insurance to take better decisions.
Car Modification from Insurer's Point of View
While you know what the term means, but when it comes to understanding it with respect to insurance, then you might not be as clear.Car modification in insurance includes anything that makes your car look or perform differently, as compared to what it was when the brand manufactured it.
Modifications also include any add-ons that you may have bought from the seller. Some ofthese might come with the car itself, so you may not realize it,but you may be paying more premium because of that.
Car Modifications and Its Impact on Insurance Premiums
Insurance is very strongly connected withthe risk factor.So, when quoting for insurance cover, insurers consider all aspects related to risk. The two such aspects are as follows-
1. Risk of Theft: Some modifications like getting phone kits or performance-oriented ones make your car slightly more vulnerable to getting stolen or being broken into.
2. Risk of an Accident: Some modifications related to change in look and performance of the car increase the chances of an accident. For instance,some of you may get changes done in the suspension, gear transmission, brake control and get tinted glasses, body kits, etc. However, later,these modifications may be considered as a possible cause behind the accident, which is actually the case at times. Therefore, insurers always take modifications as a possible cause in advance. Hence, they charge a higher premium for the same.
What Modifications Impact Your Car Insurance?
1. Modifications to Engine and Mechanics
Many of you get supercharger, or turbo added to your car's mechanics, to get 'faster acceleration' or 'sports car type feel' to your car's movement. However, such modifications are often seen to increase the risk of accidents. Therefore, insurers can charge a higher premium from you in such a case.
2. Suspension and Brakes
If you get your brakes or suspension modified, then its behavior on the road will most probably be altered. Therefore, this, too, must be declared to your insurer.
3. Wheel Modification
Any modification to the wheels of your car will significantly affect its handling. Whether you get wider wheels or alloy wheels or get them upgraded, you should mention about the same to your insurer.
Though getting your car repainted or adding racing designs may look like a harmless modification, but you still need to inform your car insurer about the same. So, next time, you think of changing the look of your car with some paintwork, consider the increase in insurance costs.
You may get your car's interiors like steering wheel, dashboard, seats, or sound system changed. This may alter your driving experience in different ways. Therefore, all such modifications are required to be shared with the insurer.
What Modifications Do Not Affect Your Insurance?
Although every modification will impact your insurance by increasing the premium to be paid, however, there are a few modifications that do not affect your insurance as they are considered to reduce the risk associated. For instance, getting parking sensors fitted in your car reduces the risk of collisions and crashes. The insurance companies will not consider thisas a modification and will thus, not charge any extra premium.
Simple modifications do not increase the insurance premium by a considerable amount. Only notable ones that cause a significant change in the car's performance make the insurance costs to go up.
Why Should You Declare Modifications to The Insurer?
It is essential that as a policyholder, you maintain maximum transparency between you and the insurer. Along these lines, inform the insurer about all the big and small modifications and let them analyze and decide. Not declaring about the changes may lead to claim rejection and your coverage may become void. This will lead to unnecessary hassles and worry when you need the cover amount.
If you buy a second-hand car and are not aware of the modifications, then get your vehicle evaluated from a mechanic. You can then let your insurer know about the changes. However, in any case, do not hide anything from the insurer.
Give Your Car the 'Safety Cover' It Deserves
Caring for your car also implies that you've covered it adequately against uncertain eventualities like accidents, crashes, etc. Having comprehensive fourwheeler insurance means ensuring that your car and you are able to deal withunexpected challenges, without facing a financial setback. Moreover, it is mandatory by law too, for every motor vehicle to have third-party insurance cover.
A comprehensive four wheeler insurance cover can provide coverage against loss or damage to your car, along with providing you coverage againstany third-party liability that may arise. Some insurers like Tata AIG General Insurance also offer as many as 13 add-on cover benefits for all-around protection. Such benefits include daily allowance when your car is under repair, reimbursement for repair of glass, fiber, rubber parts, etc. You can also get consumables cover and no claim bonus under such add-on benefits.
So, buy the rightfourwheeler insurance policy and enjoy all your drives without any worry!