Car Insurance FAQs

What does a car insurance policy cover?

A Car insurance provides your car with financial protection in case of an accident. You can now buy car insurance online from IFFCO-Tokio. ✓Save up to 70% on your premium ✓Network of 4300+ Cashless Garages ✓24x7 Roadside Assistance ✓Zero Depreciation Cover

Which is the best car insurance in India?

This is something that every buyer will want to know considering having a third party car insurance policy is mandatory in order to be driving on the road. The best plan for you would be one that fulfills all your needs. For this, you should always focus on the features that a car insurance policy offers, such as 

  • Higher number of Network Garages.
  • Higher Claim Settlement Ratio.
  • Wide Choice of Add-ons.
  • Lower Premiums.

What are the exclusions under Private Car package policies?

There are certain exclusions when it comes to private vehicle insurance policies. Our car insurance policies do not cover any mechanical or electrical breakdown, normal wear, and tear, failure, or depreciation. Also, the car insurance policy will only cover 50% of the repair costs for damages that occurred to the tires or tubes of the vehicle. If a vehicle is damaged due to the driver being under the influence of alcohol or any other drug, the insurance policy will not provide coverage for the damages. Please note that the policyholder’s claim will not be approved if they did not have a valid license while driving the vehicle at the time of the accident, or even if they were using it for racing, motor trade, hire or reward. 

What if I lose my policy documents?

You can call on 1-800-103-5499, which is IFFCO Tokio’s toll-free number. You will get connected with one of our customer care executives who will help you out with a duplicate document of the auto insurance policy.

You should also know that if you have lost your physical copy of your policy document, you still have one copy of it which was emailed to you when you bought it, so you can always take a printout. 

What if there is an error in my policy document?

Give a call on IFFCO Tokio’s toll-free number – 1-800-103-5499. One of our customer service executives will assist you in getting an endorsement. Once you have made your endorsement request, IFFCO Tokio will clear the discrepancies and issue you a corrected car insurance or motorcycle insurance policy document. 

How do I renew my car insurance policy?

You can renew your car insurance policy by visiting any one of IFFCO Tokio’s branches. Just bring along your old policy documents and pay the premium amount for renewing the policy.

You can also renew your car insurance online, all you need to do is visit IFFCO Tokio’s website or download its app. Fill up your policy details and complete the payment. Once this is done, you will be sent an email containing your renewed policy documents. 

What is Car Insurance? - IFFCO-Tokio

A car insurance policy is what you can get from a car insurance company that will cover your car from certain risks such as thefts, accidents, or any third-party liabilities, depending on the particular insurance policy you have bought. This policy could be very important for you in times of emergency. 

Why do I need a Car Insurance policy?

It is always better to have insurance for car damages. Not just this, third-party insurance as we all know is mandatory for any vehicle owner. A car insurance policy is also very important to financially cover passengers, pedestrians, as well as fellow drivers. 

How to renew car insurance online?

Renewing car insurance online is easy. Make sure that you renew the policy within the maturity period to avoid any penalty. To renew the policy, you must follow the process mentioned below:

The first thing to do is to visit the insurance company’s website and click on the renew option. Next, fill up all the necessary details such as your vehicle registration number, policy number, personal details, and so on. Once this is done, review the different plans available and choose one that is suitable for you. You can even customize your policy by buying add-on covers. Upon choosing a policy you like, pay the premium for the renewed policy. Take a look at the policy documents to make sure everything is in place. Keep in mind the car insurance renewal date so that you can renew the policy before it matures.

Is it safe to renew car insurance online?

One of the main concerns of most policyholders is whether they can trust online modes to renew car insurance policies. You should know that most of the insurance companies have a secured payment gateway, and this is why your financial transactions would be safe. 

What is the process for car insurance renewal online?

This process is really simple. All you need to do is visit our website where you will be able to make the payment for policy renewal. You can even compare car insurance policies and pick one that you find suitable. 

How do I register for a car insurance renewal online?

You just have to visit our website and renew the policy by completing the payment. Before you do this, you will also have the option of customizing your plan if you feel the need for certain inclusions. It is always considered best to buy car insurance online for the long-term, which will help in avoiding the hassle of renewing your policy every year. 

What documents are required for renewal of car insurance online?

To complete your car insurance renewal online, you’ll be needing certain documents establishing details regarding your identity, license, and address. Along with these documents, you will also need your old policy documents to renew car insurance online.

How to renew Four-Wheeler Insurance?

You can renew your 4-wheeler insurance policy by visiting our office. If you do not wish to visit the office, you also have the option to renew car insurance online.

How to renew an expired car insurance policy?

Yes, the renewal of car insurance policies can be done both online as well as offline. You can either visit our office and complete the payment or go online and pay the premium to renew the policy. 

How much does it cost to renew your car insurance?

Before renewing your car insurance policy, there are certain factors that affect the premium you have to pay. These factors are the cubic capacity of your car, IDV, tenure of the car, etc. You also have the option of increasing your coverage by buying add-ons. 

How to pay car insurance online?

Most of the car insurance companies allow online payments for their car insurance policies. To make this process a hassle-free one, we offer you multiple payment options; You can complete the payment process through net banking, third-party gateways, or even using your credit or debit card. 

How to file a Car Insurance claim?

The first thing you need to do is contact your insurer and give all the details of the accident. Next, get an FIR from the police with recorded details from the witnesses and third-party driver. A surveyor will make a note of the damages incurred and your claim will be settled using your motor car insurance.

What documents are required to file a car insurance policy?

In order to use your motor insurance to file a claim in case of an accident or damage to your vehicle, you will be needing the following documents:

  • Online vehicle insurance policy
  • Copy of driving license
  • Copy of your duly signed claim form
  • Repair bill (Original)
  • RC copy of the vehicle
  • FIR (Only in case of theft, injury/damage to third-party, or highway accidents)
  • Proof of release and cash receipt

What is Roadside Assistance Cover?

Roadside Assistance cover is part of an add-on that you can purchase as part of your motor insurance policy. This add-on covers repairs, car towing, battery jumpstart, etc. 

What is Zero Depreciation Cover?

The value of a vehicle will depreciate with the increasing tenure. Your motor insurance policy will pay you the claim amount taking into account the depreciation. To avoid this, you can also choose a policy with a Zero Depreciation car insurance Cover, in which case there will be no deductions on the depreciation. 

What is IDV and how is it decided?

Bike insurance jargon can be a little confusing, especially for the first-time buyer. There are so many terms that one needs to know about in order to understand how a plan works. One of these terms is IDV. This is perhaps one of the most important things in bike insurance - it can affect your premium and your claim experience as well.

What is IDV? How does it work? Why is IDV so important in IDV? How is IDV calculated? We are sure you have all of these questions and more! That’s why we have put together this quick read that will give you a complete understanding of IDV in bike insurance.


What is IDV?

IDV refers to Insured Declared Value and is the maximum sum assured fixed by the insurer that is offered in case of theft or total loss of a vehicle. In short, IDV is the current market value of your vehicle. It is usually estimated based on the manufacturer’s listed selling price of the model and variant of the vehicle (including additional accessories) at the beginning of the car insurance policy. It is determined after adjusting depreciation for every year. In case your four-wheeler is stolen or ends up badly damaged to an extent that it is beyond repair, the car insurance claim amount payable is calculated based on IDV. This is why it is very essential that your vehicle is insured for the right IDV. One should utilize a car insurance calculator for the said purpose.


Why is the IDV of my car important?

There are 2 big reasons why the IDV of your car is important. First, it is the maximum amount of compensation you will receive in case of theft or if your car is damaged beyond repair. Second, the IDV of your car directly affects the premium of your insurance policy. A higher IDV results in a higher premium and vice versa.

With this knowledge, many car owners think about lowering their IDV to enjoy a reduced premium. However, you should note that, in case of theft or total loss of your vehicle, a lower IDV could also lead to a lower payout. This can be extremely disappointing. Therefore it is important you use an IDV calculator and set the correct IDV for your vehicle when buying or renewing your car insurance policy.


Online IDV Calculator:

As the name suggests, an online IDV calculator helps you get a near-accurate estimate of your vehicle’s IDV. To use this tool, all you have to do is get onto the internet, visit our car insurance page and enter a few details about your vehicle. Based on the information you provide, we will tell you the ideal IDV for your vehicle.  You can also edit the IDV to your preference!


How is the IDV of your vehicle calculated?

Our insurance cum IDV calculator uses an advanced algorithm to check the IDV of your car. It takes into several factors to accurately calculate the value of your vehicle. However, if you wish to estimate the IDV of your vehicle on your own, you can use these 2 simple formulas:

If you have no added accessories:

Your car’s IDV = car’s ex-showroom price – depreciation.

If you have added accessories:

Your car’s IDV = (car’s ex-showroom price – depreciation) + (cost of accessories – depreciation of the accessories)

How is the cost of depreciation calculated?

The rate of depreciation plays an important role when calculating your IDV.  The value of your vehicle reduces a little bit every year. This annual decrease in the valuation of the vehicle is known as depreciation. The rate of depreciation has been standardized & stipulated by The Motor Tariff Act – it is as follows:

Rate of depreciation for car/bike insurance

Age of the car:

Depreciation in %

6 months and below


6 months to 1 year


1 year to 2 years


2 years to 3 years


3 years to 4 years


4 years to 5 years


Therefore, if your car is less than 6 months, the IDV of your vehicle will be roughly 95% of its ex-showroom price. Once your car completes 6 months, its IDV will be around 85% of the ex-showroom price. Similarly, the estimated IDV will be 80% of the ex-showroom price for a vehicle that is between 1 and 2 years old – so on and so forth! However, once your vehicle crosses the 5-year mark, the insurance company and the policyholder have to mutually agree on the IDV. If you want to check the IDV of your car, you can use our online IDV calculator instead of racking your brains with all this mental calculating.


5 Factors that affect the IDV of your vehicle:


The IDV of your vehicle is decided based on several factors, some of these include:

Type of car: There are different types of cars available in the market. These include hatchbacks, sedan, SUVs, MUVs, etc. Each of these types of cars will have a different value. For example, SUVs tend to have a higher value than sedans. Similarly, sedans usually have a higher value than hatchbacks. Therefore, the type of car is one of the first factors that influence the IDV of your car.

Make & model: The make and model also play an important role in deciding the IDV of your vehicle. This is because different car brands have different values, even if they are the same types of car (i.e. hatchback, sedan, etc.).

Age & depreciation: This is one of the most important factors when calculating the IDV of your vehicle. Your car starts to depreciate as soon as you drive it home from the dealership. And, the older it gets, the more it depreciates in value. Therefore, an older car will have a lower IDV as compared to a new one, even if it is the same type, make and model of car.

Place of registration: The location where your car is registered also plays a minor role in deciding its IDV. This is because the ex-showroom price varies between cities.

Accessories: Lastly, if you have added any accessories to your car, then their depreciated cost can also be included when calculating the IDV of your vehicle.

Our car insurance cum IDV calculator takes all these factors into consideration and provides you with a quick estimate of your vehicle’s value. All it takes is a few details and a couple of seconds of your time– you will have the IDV of your car on your screen.


What happens if I choose a lower IDV?

Our car insurance calculator also doubles-up as an online IDV calculator. By using it, you can quickly check the value of your car. Moreover, our calculator also allows you to edit the IDV as per your preference. You can lower the IDV of your car in the quotation provided. However, this will have a direct effect on the premium of your plan. Changing the IDV will also affect the payout of your policy in case of theft/total loss of your vehicle.

Let’s take a look at what happens in case you lower the IDV of your car.

-The premium of your policy will reduce

-This will help you save money on your car insurance policy

-However, the sum insured your policy will be reduced

-Therefore, you will receive less compensation in case of Total Loss

What happens if I choose a higher IDV?

Our online IDV calculator also allows you to increase the IDV of your car. You can choose a higher IDV in your quotation and enjoy the benefits the come with it. Let’s take look at what happens in case you increase the IDV of your car.

-The sum insured of your policy will increase.

-This higher sum insured can be extremely helpful in case of a total loss

-However, the premium of your car insurance policy also increases.


When is the IDV payable?

Claims that involve the IDV of your vehicle are quite rare. However, it is still important to set the right IDV when you buy and renew a car insurance policy. This will ensure that your premiums are in-check with the valuation of your car. But more importantly, it will ensure that, in case your IDV is required for the calculation of a claim amount, you will receive fair & satisfactory compensation. Here are some instances where the IDV of your vehicle is payable:

Theft of the vehicle: This is one of the most common claims where the car’s IDV is payable. Theft is considered a total loss and therefore the insurance company has to provide the current market value (IDV) to the insured. This compensation will help offset the financial impact of the stolen vehicle.

Total loss of the vehicle: The other kind of claim where the IDV of the vehicle is payable is when the repair cost exceeds its insured value. Such damage could be a result of an accident, an act of God such as earthquakes or a man-made calamity such as riots. Here, the insurance company will provide the policyholder with the IDV of the vehicle. This will help reduce his/her contribution towards the purchase of a new vehicle.

FAQs about IDV:


What is the IDV of a new car?

The IDV of a new car can be estimated as its ex-showroom price minus the depreciation cost of the vehicle. However, for a more accurate calculation of a car’s IDV, you can use our car insurance calculator. It doubles up as an online IDV calculator by providing a quotation wherein the IDV is indicated and can be increased or decreased as per requirement.

Can I get complete compensation without depreciation?

Yes, you can opt for the return to invoice or new vehicle replacement add-on. This will cover the price gap between the IDV & the on-road price of your new car. 

Does the IDV for commercial and private vehicles differ?

The IDV of a vehicle depends on its type, it market value, its age & rate of depreciation, and accessories. Whether it is a commercial or private vehicle does not really matter. You can use our online IDV calculator to check the IDV of your commercial or private vehicle.

What is NCB and in what way does it benefit me?

NCB stands for No Claim Bonus, which is given to the policyholder. If you have purchased car insurance in India and have never made a single claim, you are given a discount on your premium. These discounts can be as high as 50% if you do not file for claims every year. The NCB is also applicable to your next vehicle if it is of the same class. 

What is Third-party Car Insurance?

Any damage that is caused to the third-party will be covered by the third-party insurance policy. The policy will cover the cost of damages to third-party property as well as injuries/deaths of third-party individuals. However, any damages or injuries to your car or yourself will not be covered under a 3rd party car insurance. 

What kinds of car insurance coverage exist?

There are many kinds of car insurance policies that you can opt for. While some are mandatory, such as the third-party insurance for car owners and personal injury protection coverage (Only applicable in certain states), some are optional, such as the comprehensive car insurance policy. This policy will also cover injuries and damages to you and your vehicle, something which a third-party insurance cover does not. A personal injury protection policy will cover the medical expenses resulting from an accident, regardless of who was at fault. 

What is a third party risk policy?

Renewing vehicle insurance online is really simple; Here’s all you need to do:

  • Enter all the details like your car insurance policy number, car registration number, Email ID, and mobile number.
  • Choose your preferred policy and tenure.
  • Browse through add-ons or drop any riders in case you are looking to customize your plan.
  • Complete the payment and review your receipt. 

Can I renew my car insurance policy online?

Yes, you can renew your car insurance policy online. Renewing your policy is easy; you just have to follow the below steps:


  • Enter details like car registration number, policy number, and personal details like mobile number and e-mail Id.
  • Next, choose the plan and tenure.
  • If you wish to choose any add-ons or drop any riders, you can alter your plan.
  • Finish payment.
  • Review the receipt.


Remember, reviewing the policy on time is important to stay protected against the damages due to accidents. Also, make sure to renew the policy on or before the due date to avoid paying any penalty charges.

I am a careful driver. Do I really need car insurance?

Whether you are a safe driver or not, the law has made it mandatory for all vehicle owners to have their car insurance policies in order to drive on the roads. Your car insurance policy offers coverage for you, other vehicles, as well as people on the road. You can always use a car insurance premium calculator in order to get a suitable car insurance policy.

What if someone else is driving my vehicle and an accident takes place?

The insurance on a vehicle is applicable even if another person is driving the vehicle, with your permission. This is because liability follows the vehicle. Generally speaking, the liability insurance of the person driving your vehicle needs to pay should the amount of the loss go above your car policy limits.

Should I make a claim for every accident or damage occurred?

When your vehicle has been damaged in an accident, always check the estimated cost for the repairs. This is because it is generally advised to avoid using your motor vehicle insurance to make claims for small amounts in order to remain eligible for the NCB (No Claim Bonus). 

Car insurance premiums get cheaper

There are many motor vehicle insurers out there, so you need to make sure you are choosing an insurance company that offers you a good policy with useful add-ons and benefits. If you are happy with your policy, then there is no need to change your insurer. 

Is the No Claim Bonus transferable?

If you have not made any claims in your current policy and wish to shift from one insurance company to another when it is time to renew the policy, you have no reason to worry about your No Claim Bonus. It would get transferred to the new insurance company that you are going with. Please note that you need to submit proof of the No Claim Bonus of your policy while submitting the new policy papers to the new insurance company. You should also check with your insurer to provide you with a letter addressing the bonus accumulation in your policy. 

How to change my car insurance policy details?

You need to inform us about any changes required in the details of your car insurance policy. You can do this by sending us a letter along with proof to change the details in your car insurance policy. Once we complete the verification process, you can be assured that we will carry out the required changes.

If you need to make changes in the policy regarding your address or vehicle, you will need to make a formal endorsement. You need to submit proof for the required changes. Please note that certain endorsements may require you to provide an additional premium. This is why it is advisable to check these endorsements that are stated in your car insurance policy beforehand.

How can I reduce my insurance premium?

Many policyholders go for comprehensive car insurance policies for better coverage but worry about the expensive premiums. However, there are many ways in which you can effectively reduce your car insurance premium. Here’s how you can reduce the premium on your car insurance policy:

  • Compare car insurance policies online

  • Avoid making small claims

  • Know how deductibles work

  • Install anti-theft devices

  • Never let your car insurance policy lapse

Can I transfer my insurance policy if I sell my car?

Yes, you can. Once you sell your car, you can easily transfer your current car insurance policy to the buyer by following a simple process. Please note that you should transfer the car insurance policy to the new owner’s name within 14 days of the vehicle registration date by the new owner.

Even if you sell your car, you still have the option of continuing your existing car insurance policy and its No Claim Bonus to any other vehicle. In this case, your buyer will have to purchase a new car insurance policy.

Which documents should I carry while driving a car?

As per the Motor Vehicles Act of 1988, you need to have the following documents with you while driving a car:

PUC certificate

To get the Pollution Under Control (PUC) Certificate, your vehicle would have to pass an emission test. It is a mandatory document that every driver should possess.

Registration certificate

The Registration certificate is an official document that serves as proof that your vehicle is registered by the government.

Insurance policy

According to the Motor Vehicles Insurance Act of 1988, it is mandatory for drivers to have third-party insurance before taking their car out on the road.

Driving license

According to the Motor Vehicles Act of 1988, before you take your bike or car for a drive, you need to have a driving license.

Required permits

Those owning a vehicle for commercial use need to have all the required permits. 

What is an endorsement procedure in car insurance?

It is a procedure under which one can add amendments to their existing policy. It also works as a rider to your existing policy. This involves making changes to your car insurance policy such as deducting certain parts, increasing the coverage limit, reducing the premium, or even expanding or restricting certain terms of your car insurance policy.

Talk to your lender to get information on the same as it differs from company to company. 

Whom I should approach in case of a complaint?

Contact your lender in case of a complaint. They usually take 15 days to resolve your complaint.

At IFFCO-Tokio, we strive to work towards achieving maximum customer satisfaction. In order to do that, we make sure to stay committed to helping our customers at all times. You can call us on our toll-free number 1800-103-5499 which is available 8:00 AM to 10:00 PM for any complaints or feedback. You can also write to us at

Should I buy a comprehensive or a third-party car insurance cover?

A third-party insurance is mandatory for all vehicle owners, as this insurance policy will cover the third-party against any damages or losses in case of an accident. However, this policy provides no coverage for you as a policyholder.

In order to cover yourself too, you need to go for a comprehensive car insurance policy which will not only provide financial coverage for the third-party against any damages or losses in case of an accident but you as well. You can opt for any of the two policies as per your needs.

What are the benefits of buying car insurance online?

Buying car insurance online is much easier than buying it physically. Let us take a look at the benefits of buying a car insurance policy online:

  • Paperless process

  • Easy endorsements in the policy

  • Policy is instantly issued

Also, it provides financial coverage for the damages caused to you and the third-party in case of an accident (Comprehensive car insurance policy).

What will happen when you sell your car?

Once you sell your car, you can easily transfer your current car insurance policy to the new buyer by following a simple process. Please note that you should transfer the car insurance policy to the new owner’s name within 14 days of the vehicle registration date by the new owner.

Even if you sell your car, you still have the option of continuing your existing car insurance policy and its No Claim Bonus to any other vehicle. In this case, your buyer will have to purchase a new car insurance policy.

How can I transfer my No Claim Bonus to a new vehicle?

The process of transferring your No Claim Bonus to the new car insurance policy is quite simple. If you are looking to buy your new insurance online, you need to inform the new insurance company about the NCB, your previous insurer, and previous policy account number in order to transfer your NCB.

If you are going through an insurance agent and buying the insurance policy online, then you would need to contact your previous insurer and request a transfer of your NCB. Submit all the documents that they require and they will issue you with an NCB certificate. With this certificate, the new insurance company will transfer the NCB.

What is the procedure to transfer my insurance?

You can easily transfer your car insurance policy. In order to do so, you need to inform the insurance company in writing. Once you have filled up the fresh proposal form and complete the transfer fee payment, your car insurance will get transferred.

You do not have to worry about your No Claim Bonus as it gets transferred to the new car insurance policy too. Keep in mind that you need to carry out the transfer of this car insurance policy within 14 days of the transfer of your vehicle registration.

What is the procedure to register a new claim?

We understand that at the time of an unforeseen event, the last thing you need is to be burdened by long-winded procedures and delays. This is why we have made making a claim really simple. Take a look at our Claim Registration Options:

Call center

You can call on our toll-free number: 1800-103-5499. You will get connected with our Claims Service Representative who will guide you for a smooth claims intimation process.


You can simply visit our website where you can register your claim using your car insurance policy.

Walk in

You can always walk in to the branch that issued your car insurance policy for you and intimate your claim in person. You can visit the branch anytime between Monday – Friday 09:30 AM to 06:00 PM (Except for National Holidays).


You can also intimate us about your claim via email. This makes it very convenient for the policyholder as they can make a claim at a time of their convenience.


All you need to do is SMS “CLAIM” to this number: 56161. Our claims representative will get in touch with you within 4 working hours.