General Car Insurance Vs Commercial Vehicle Insurance


A general car insurance policy is for cars that individuals own for personal use. On the other hand, a commercial car insurance plan is for medium and heavy commercial vehicles, light commercial vehicles, etc. used in a business or organisation to transport goods or passengers.

There is no other difference between these two car insurance policies other than the insured asset. The features and benefits available with these two products may somewhat differ between insurance providers.

Both general and commercial car insurance policies are divided into two types: comprehensive car insurance and third-party car insurance.
Comprehensive car insurance policies

A comprehensive car plan, as the name suggests, covers almost all expenses that you incurred from an accident.

Such a general or commercial car insurance scheme not only covers the repair and replacement expenses during an accident but also losses due to the following:

    • Theft
    • Strikes
    • Riot
    • Fire
    • Vandalism
    • Damages after hitting an animal or bird
    • Damage from falling objects
    • Any natural calamities, etc.

Do note that a comprehensive vehicle insurance policy will not offer breakdown cover, depreciation cover, etc. You may easily avail add-ons with the plan to cover these expenses.

You can avail a motor insurance policy from Bajaj Finserv to benefit from a comprehensive car insurance policy for an all-inclusive coverage of all such expenses.

Other features of a comprehensive car policy:

    I. Third-party liability

A comprehensive car insurance plan also includes third-party liability. You stay protected from all financial liabilities due to damage and/or injury caused to a third-party entity. Such expenses can be due to damages to a third-party property (vehicle) and/or bodily injuries to the individual/s present in the car.

    II. Personal accident cover

A personal accident insurance cover also comes with a comprehensive car policy. This feature covers all the costs to avail medical treatments in case of an accident.

Insurers can receive compensation against hospitalisation expenses and also receive an allowance every day when admitted.

Bajaj Finserv also offers attractive Pocket Insurance policies such as the personal accident insurance for comprehensive coverage against a range of accidents. You can avail Rs. 1,000/day when hospitalised and a considerable compensation of the sum insured in case of permanent disability. The policy also provides a cumulative bonus of 10% to 50% every year when you don’t make a claim.

    III. Others

You can also buy other insurance policies as an add-on with comprehensive car insurance plans. These can include roadside assistance in case of a breakdown, key replacement if you lose or misplace it, etc.

Third-party car insurance

Third-party vehicle insurance covers the damages and injuries caused to others during an accident. It does not cover the same caused to you – the insurer. This plan also does not cover damages and losses caused by theft, vandalism, strikes, riot, fire, natural calamities, etc.
Availing a third-party general or commercial vehicle insurance policy may not seem beneficial. However, the Motor Vehicles Act, 1988 makes it mandatory for every vehicle owner to purchase one.

The premiums of a third-party vehicle insurance plan are more affordable than a comprehensive plan. Buying the former is beneficial in case you do not drive an expensive vehicle and expenses from potential damage may not be high.

In such cases, you can upgrade your third-party car insurance plan with a personal accident cover, an option offered by some insurance providers.

A third party car insurance from Bajaj Finserv is one such plan that enables you to include such add-ons along with the basic policy terms to provide you an all-inclusive protection.

Whether it is a general or commercial, comprehensive or third-party, insurance plan, you can apply for an online car insurance scheme without any hassle. Refer to insurance providers who provide a transparent and easy claims procedure to help you with immediate financial assistance as per policy terms.