Motor Insurance Myths Busted: Don’t Get Scammed by These 5 Lies
Motor insurance is essential, but misinformation can cost you thousands of rupees in unnecessary premiums, denied claims, or inadequate coverage. Many drivers fall for common myths—often because insurers don’t clarify them.
In this eye-opening guide, we expose 5 dangerous motor insurance lies that could be costing you money or leaving you unprotected.
Myth #1: "The Cheapest Policy is Always the Best Deal"
The Truth:
A low premium often means hidden compromises—higher deductibles, limited coverage, or poor claim support.
How This Myth Scams You:
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Claim rejection risks – Cheap policies may exclude key protections (e.g., engine damage from flooding).
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Low IDV (Insured Declared Value) – Some insurers undervalue your car to offer lower premiums, reducing your payout if the car is totaled.
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Bad claim settlement ratios – Budget insurers may delay or deny claims more often.
What to Do Instead?
Compare coverage, not just price.
Check the insurer’s Claim Settlement Ratio (CSR)—aim for 90%+
Myth #2: "Comprehensive Insurance Covers Everything"
The Truth:
"Comprehensive" doesn’t mean all-risk coverage. Many situations are excluded.
Common Exclusions:
Drunk driving accidents – Most policies won’t cover damages if you were over the legal alcohol limit.
Wear & tear – Routine part failures (e.g., clutch breakdown) aren’t covered.
Unauthorized drivers – If someone not listed on your policy crashes your car, claims may be denied.
What to Do Instead?
Read the policy exclusions carefully.
Add (e.g., engine protection, zero depreciation).
Myth #3: "No-Claim Bonus (NCB) is Guaranteed for Life"
The Truth:
Your NCB (up to 50% discount) resets if you:
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Switch insurers without transferring the NCB.
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(unless you have NCB protection).
How This Myth Scams You:
Many drivers lose their hard-earned NCB by not renewing on time permanently.
What to Do Instead?
(set reminders!).
Consider NCB Protection Add-on (for a small extra cost).
Myth #4: "All Garages Accept Cashless Claims"
The Truth:
Cashless claims only work at network garages approved by your insurer. If you repair elsewhere, you’ll pay upfront and wait for reimbursement.
How This Myth Scams You:
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longer waits for surveys & approvals.
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if reimbursement is delayed.
What to Do Instead?
For faster service,quick response
Myth #5: "Older Cars Don’t Need Comprehensive Insurance"
The Truth:
While third-party insurance is legally sufficient, it leaves you with:
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Own damages (accidents, theft, natural disasters).
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Medical costs for injuries.
How This Myth Scams You:
Drivers of older cars often skip comprehensive coverage, then face huge repair bills after an accident.
What to Do Instead?
For cars under 10 years, comprehensive insurance is still worth it.
For very old cars, consider third party owner
Bonus: 3 More Sneaky Myths (Quick Fire Round)
False! Insurers don’t factor in color.
modification always avoid insurance – Only if undeclared. Report upgrades to avoid claim rejection.
Depreciation is deducted unless you have.
Final Checklist: Don’t Fall for These Scams!
✔ Never buy insurance just for the lowest price—check coverage & CSR.
✔ "Comprehensive" isn’t all-inclusive—know your exclusions.
✔ Protect your NCB—renew on time and transfer it when switching.
✔ Use cashless garages to avoid reimbursement delays.
✔ Even older cars need good coverage—don’t risk expensive repairs.
Conclusion
By busting these myths, you can:
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Avoid overpaying for inadequate coverage.
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Prevent claim rejections due to technicalities.
- buy best motor insurance https://online.theunitedinsurance.com/get-motor-insurance-now
