Motor Floater insurance policy enables car owners to pay a single premium for their multiple cars. Car insurance is a key component of owning vehicles. However, it is getting more and more common these days for an individual to own more than one car. But you generally pay for the insurance of each car separately. That could be expensive and cumbersome. To tackle this issue, insurance companies came up with this type of policy. In this manner, car owners can get discounts and the convenience of taking care of just one policy and premium. On the other hand, the insurance companies are happy because people are insuring more than one car. Here are 5 key aspects of a Motor Floater insurance policy.
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5 Things About Motor Floater Insurance Policy
1. Lower Premium
The most important aspect of the Motor Floater insurance policy is that you will need to pay a lower premium compared to the scenario where you insure every vehicle separately. Hence, there are a lot of savings to be had. On top of that, you will get standard benefits like a no-claim bonus, etc. Also, it is easy to manage a single premium per year as opposed to premium dates and amounts of multiple cars.
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2. Number of Cars
While most people just have around two cars, this policy gives the owners the option to link upto 5 cars. On top of that, you could add or remove any car at any given time. This gives you the flexibility to be assured at all times even if you plan to add another car to your collection or sell one of the existing cars. You could go to your insurance company to know if even more cars could be added.
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3. Insured Amount (IDV)
As a part of this policy, the vehicle with the highest Insured Declared Value (IDV) will be the primary vehicle. That will be the sum insured for this policy. Rest vehicles then become secondary vehicles. That makes things quite easy and convenient. In this way, even an old car will have a higher insured value which is great.
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4. Coverage
There are all sorts of coverages under this policy. This includes things like damage to the car due to fire, explosions or self-ignition, loss caused due to theft or burglary, accidental damage during transit via road, rail, air or waterway, damages due to malicious activities like riots and strikes, damage due to natural calamities like typhoons, hurricanes, landslides, storms, etc or any other liability due to the damage caused by any third party. These take into account almost all the possible scenarios.
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5. Convenience
All things considered, the main advantage of the Motor Floater insurance policy is the convenience it offers. One just needs to pay a single premium which is cheaper than if you were to pay individual premiums for all your cars, the renewal process is quick, the no-claim bonus is included, you don’t need to carry a bunch of paperwork for the individual car, you don’t need to remember the renewal dates for every car, etc. All these features make a great case for why you should buy this kind of insurance policy.
