Private Car Insurance
The Right Cover For The Car You Drive
Private car insurance protects your car against accidental damage, fire and theft, and covers your legal liability if you injure someone or damage their property. Third-party cover is compulsory in India; a comprehensive policy adds protection for your own car. The difference between two quotes often lies in the IDV, the add-ons and the insurer’s garage network. MILES compares these for you, explains the fine print and helps you through the claim when it matters.
What A Comprehensive Car Policy Covers
Own Damage Cover
Repairs or replacement after an accident, fire, flood, storm, riot or other insured event, up to the car's IDV.
Theft Protection
If the car is stolen and not recovered, the insurer pays the insured declared value, subject to policy terms.
Third-Party Liability
Covers your legal liability for death, injury or property damage caused to others, as required by the Motor Vehicles Act 1988.
Owner-Driver PA Cover
Compulsory personal accident cover for the registered owner-driver, paid on death or permanent disability in a car accident.
No Claim Bonus
A discount of 20% to 50% on the own-damage premium for claim-free years, which moves with you when you switch insurers.
Useful Add-Ons
Zero depreciation, engine protection, return to invoice, roadside assistance and consumables cover can be added to the base policy.
What is private car insurance?
Private car insurance is a motor policy for cars registered for personal use that covers damage to the car and your legal liability to other people. A comprehensive policy combines own-damage cover with the third-party liability cover that the Motor Vehicles Act 1988 makes compulsory for every vehicle on a public road.
You can choose between three structures. A third-party only policy meets the legal minimum. A comprehensive policy adds cover for your own car. A standalone own-damage policy covers only your car and can be bought where you already hold valid third-party cover, which is common for new cars sold with long-term third-party cover.
What is covered
Damage to your car
Accidental collision or overturning, fire, explosion, self-ignition, lightning, flood, storm, cyclone, earthquake, landslide, riot, strike, malicious damage and damage while the car is being carried by road, rail or water. Theft of the car is also covered.
Liability to others
Death of or bodily injury to third parties, and damage to their property, arising from the use of your car. This part of the policy is explained in more detail on our third-party motor insurance page.
Personal accident
Owner-driver personal accident cover is compulsory unless the owner already holds qualifying cover elsewhere or does not have a driving licence. Cover for passengers and paid drivers can be added for a small extra premium.
What is not covered
- Normal wear and tear, and mechanical or electrical breakdown.
- Damage while the driver has no valid licence or is under the influence of alcohol or drugs.
- Use of the car outside its permitted purpose, such as hire or reward in a private car.
- Depreciation on replaced parts, unless you buy a zero depreciation add-on.
- Consequential loss, such as the cost of a taxi while your car is in the workshop.
How the premium is decided
The own-damage premium starts from the Insured Declared Value (IDV), which is the manufacturer’s listed selling price adjusted for the car’s age. It then depends on the make and model, engine capacity, fuel type, city of registration, add-ons chosen, any voluntary deductible and your No Claim Bonus. The third-party premium is notified by IRDAI and does not vary between insurers for the same vehicle class.
The NCB ladder rises from 20% after one claim-free year to 50% after five consecutive claim-free years. It belongs to you rather than the car, so it can be transferred to a new car when you sell the old one. Setting the IDV too low reduces premium but also reduces what you receive for theft or total loss.
Add-ons worth considering
| Add-on | What it does | Best for |
|---|---|---|
| Zero depreciation | Pays claims without deducting depreciation on parts | Newer cars, higher-value models |
| Engine protection | Covers engine damage from water ingress or oil leakage | Flood-prone cities |
| Return to invoice | Pays the gap between IDV and invoice value on total loss or theft | Cars in their first few years |
| Consumables | Covers oils, nuts, bolts and fluids used in repairs | Most drivers |
| NCB protection | Keeps your NCB after a limited number of claims | Drivers with a high NCB |
| Roadside assistance | Towing, flat tyre and battery help | Frequent highway travel |
Eligibility for each add-on, such as the maximum age of car, varies by insurer.
How MILES helps
- We compare several insurers on premium, IDV, add-ons and cashless garage network in your city.
- We check the IDV and NCB so you are neither overpaying nor underinsured.
- We explain exclusions in plain words before you pay.
- We track renewals so your policy and NCB never lapse.
- We support claims, from intimation and survey to settlement.
How a claim works
- Inform the insurer as soon as possible after the accident or theft, and let us know.
- For theft, injury to a third party or major damage, file a police report.
- Take the car to a cashless network garage where possible, or to a garage of your choice for reimbursement.
- The insurer appoints a surveyor to inspect the damage before repairs begin.
- Submit the claim form, RC, driving licence, policy copy and repair estimate.
- After repairs, pay the deductible and any amounts not covered, and the insurer settles the rest.
Explore our full motor insurance range, including two-wheeler insurance for the rest of the household.
Cover, exclusions and premiums depend on the insurer’s policy wording and underwriting. MILES Insurance Brokers Pvt. Ltd. is an IRDAI-licensed direct broker (Life & General, Reg. No. 954); the insurance is issued by the insurer. Insurance is the subject matter of solicitation.