3. No Claim Bonus:

Use the No Claim Bonus (NCB) to save on your insurance premium. NCB is a discount given by the insurer to the policyholder for making no claims during the preceding year of cover. NCB can accumulate over years and the discount allowed also increases every year to the next slab from 20 percent to 50 percent on own damage premium, for no claims made. But if once an insurance claim is made, your no-claim bonus benefit will go back to zero. A policy holder can also transfer the NCB from old car to the new car.

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4. Locality Where the Vehicle Will Be Driven:

How much you drive, is not the only thing insurance companies are concerned about, even where you dive your vehicle and where your vehicle is registered is taken into consideration. The insurance companies calculate the claims depending upon the location. If you live in a metro or a congested city, where traffic is huge or roads are narrow, claims for scratches and dents will be more, whereas those who drive mostly in highways are required to pay a huge claim amount as they are more prone to major accidents.

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