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Car Insurance Companies in India in 2025

As soon as you finalise the perfect car model for purchase, you need to start hunting for a quality insurance policy for the same. Under the Motor Vehicles Act, 1988, all car owners must have a valid insurance policy for their vehicles at all times.

Failure to comply with this rule can lead to hefty fines of Rs.2000, and Rs.4000 for repeated offence.

Fortunately, there is no dearth of impressive car insurance companies or policies in India. You can choose from a wide range of options when it comes to availing financial protection for your beloved vehicle. Each policy provides different benefits and features, curtailed to a specific section of consumers. 

Take a look at the list of car insurance companies in India.

List of Car Insurance Companies in India

Car Insurance Company Name IRDA Registration Number Founding Year Headquarter Location
National Insurance Co. Ltd. 58 1906 Kolkata
Go Digit General Insurance Ltd. 158 2016 Bengaluru
Bajaj Allianz General Insurance Co. Ltd. 113 2001 Pune
Cholamandalam MS General Insurance Co. Ltd. 123 2001 Chennai
Bharti AXA General Insurance Co. Ltd. 139 2008 Mumbai
HDFC ERGO General Insurance Co. Ltd. 146 2002 Mumbai
Future Generali India Insurance Co. Ltd. 133 2007 Mumbai
The New India Assurance Co. Ltd. 190 1919 Mumbai
Iffco Tokio General Insurance Co. Ltd. 106 2000 Gurugram
Reliance General Insurance Co. Ltd. 103 2000 Mumbai
Royal Sundaram General Insurance Co. Ltd. 102 2001 Chennai
The Oriental Insurance Co. Ltd. 556 1947 New Delhi
Tata AIG General Insurance Co. Ltd. 108 2001 Mumbai
SBI General Insurance Co. Ltd. 144 2009 Mumbai
Acko General Insurance Ltd. 157 2016 Mumbai
Navi General Insurance Ltd. 155 2016 Mumbai
Zuno General Insurance Ltd. (formerly known as Edelweiss General Insurance) 159 2016 Mumbai
ICICI Lombard General Insurance Co. Ltd. 115 2001 Mumbai
Kotak Mahindra General Insurance Co. Ltd. 152 2015 Mumbai
Liberty General Insurance Ltd. 150 2013 Mumbai
Magma HDI General Insurance Co. Ltd. 149 2009 Kolkata
Raheja QBE General Insurance Co. Ltd. 141 2007 Mumbai
Shriram General Insurance Co. Ltd. 137 2006 Jaipur
Manipal Cigna Health Insurance Company Limited 151 2014 Mumbai

List of Car Insurance Aggregators in India

Certificate Code Number Name of the Insurance Web Aggregator Website Address
IRDAI/INT/WBA/38/2016 Instabima Insurance Web Aggregator Private Limited www.instabima.com
IRDAI/INT/WBA/77/2023 Saarte Insurance Web Aggregators Pvt. Ltd. www.saarte.in
IRDAI/WBA/23/2015 Compare Policy Insurance Web Aggregator Private Limited www.comparepolicy.com
IRDAI/WBA/80/2023 Insure Fast Web Aggregators Private Limited https://insurefast.in/
IRDAI/INT/WBA/58/2019 KDGO Insurance Web Aggregator Private Limited www.policybharat.com
IRDAI/INT/WBA/53/2018 InstantCover Insurance Web Aggregator Private Limited www.eindiainsurance.com
IRDAI/INT/WBA/76/2023 Digibima Insurance Web Aggregator Private Limited https://digibima.com/
IRDAI/WBA/34/2016 Covernest Insurance Web Aggregator Private Limited www.covernest.com
IRDAI/WBA/14/2017 PolicyX.com Insurance Web Aggregator Private Limited www.policyx.com
IRDAI/INT/WBA/59/2021 INSUREIN Insurance Web Aggregator Private Limited www.insurewinsure.com
IRDAI/INT/WBA/60/2021 D CUBE Insurance Web Aggregator Private Limited www.dcubeinsure.in
IRDAI/INT/WBA/68/2022 Bimahub Insurance Web Aggregator Private Limited www.bimahub.in
IRDAI/INT/WBA/51/2018 Insuremile Insurance Web Aggregator Private Limited www.insuremile.in
IRDAI/INT/WBA/63/2021 MyBima Cafe Insurance Web Aggregator Private Limited www.mybimainsurance.com
IRDAI/INT/WBA/69/2016 Turanth Suraksha Insurance Web Aggregator Private Limited www.bimamandi.in
IRDAI/WBA/29/2015 MSF Insurance Web Aggregator Private Limited www.directinsure.in
IRDAI/INT/WBA/47/2017 KU Policy Insurance Web Aggregator Private Limited www.policyghar.in
IRDAI/INT/WEB/66/2021 Aditsh Insurance Web Aggregator Private Limited www.adfpolicy.com
IRDAI/INT/WBA/52/2018 Vivaan Insurance Web Aggregator Private Limited www.epolicymart.com
IRDAI/INT/WBA/54/2019 Check Your Premium Insurance Web Aggregator Private Limited www.checkyourpremium.com
IRDAI/INT/WBA/64/2022 Policy4us Insurance Web Aggregator Private Limited www.insurancepolicy4us.com
IRDAI/WBA/30/2016 Deztination Insurance Web Aggregator Private Limited www.policybachat.com
IRDAI/INT/WBA/50/2018 Great India Insurance Web Aggregator Private Limited www.insuringindia.com
IRDAI/INT/WBA/67/2019 Ramakumaaran Digital Insurance web aggregator LLP www.insurancebazzaar.com
IRDAI/INT/WBA/70/2019 Online policy house Insurance Web Aggregator Private Limited www.onlinepolicyhouse.com
IRDAI/INT/WBA/74/2019 Securesmarter Insurance Web Aggregator Private Limited www.sspolicy.com
IRDAI/INT/WBA/79/2019 Guide2Protect Insurance Web Aggregator Private Limited https://beema1.com
IRDAI/INT/WBA/61/2021 Skydda Insurance Web Aggregator Private Limited www.skydda.in
IRDAI/WBA/24/2015 MIC Insurance Web Aggregator Private Limited www.myinsuranceclub.com
IRDAI/INT/WBA/44/2017 Riskovery Insurance Web Aggregator Private Limited www.riskoveryinsurance.com
IRDA/WBA17/14 PolicyBazaar Insurance Web Aggregator Private Limited policybazaar.com
IRDA/WBA21/17 InsuranceDekho Insurance Web Aggregator Private Limited insurancedekho.com
IRDA/WBA19/15 Coverfox Insurance Web Aggregator Private Limited coverfox.com
IRDA/WBA25/21 ApnaPaisa Insurance Web Aggregator Private Limited apnapaisa.com
IRDA/WBA27/23 InsurancePundit Insurance Web Aggregator Private Limited insurancepundit.com
IRDA/WBA26/22 Insurancemall Insurance Web Aggregator Private Limited insurancemall.in

An insurance aggregator is an online service that might help customers save time by comparing insurance policies between providers and companies. These platforms provide users with different policies where they can easily compare and make the right decisions without much strain.

However, it is crucial to understand that, unlike financial advisors, aggregators do not have individual consultations with the policy; instead, they provide options. On the other hand, car insurers offer insurance policies geared towards cars. They provide certain classifications of insurance which reflect your 0possible risks and can give you individual recommendations depending on your needs.

How is the Motor Insurance Market in India?

The India Motor Insurance Market has been witnessing robust growth, with its market size expected to grow from USD 11.96 billion in 2024 to USD 19.48 billion by 2029 at a CAGR of 10.25%. This factor is attributed to the growing number of vehicles on the road, a higher standard of living, and legal requirements to obtain motor insurance policies in India. 

Businesses are now integrating artificial intelligence, the Internet of Things, machine learning, and telematics into their operations to improve performance and meet customer needs differently. COVID-19 brought even more customers to opt for the insurance-related portal and application usage.

Year Market Size (INR Billion) CAGR (Compound Annual Growth Rate) %
2020 671.45 0.1025
2021 741.35 0.1025
2022 816.29 0.1025
2023 898.23 0.1025
2024 990.44 0.1025

The IRDAI regulators continuously approve and encourage new-age products, distribution modes, and technological solutions for the insurance market. This supports growing insurance startups and fosters an environment for digital-first offerings. 

At the same time, the IRDAI spearheads digitalisation, encouraging insurers to leverage AI, blockchain, and telematics for improved customer engagement, effective claims processing, and improved data management. 

This administration aims to provide insurance to all citizens by 2047, emphasising the rural and other hard-to-reach populations through increased awareness, policy changes, and coverage points.

Legal Frameworks Governing Motor Vehicle Insurance in India

As per the Provisional Motor Vehicles Act, 1988, every vehicle on the road needs to be insured for third-party risks, i.e., the vehicle's owner needs to have insurance cover for third-party losses arising out of an accident involving death, injury or damage to property. 

Vehicle owners must have an insurance policy and evidence of it in their vehicle, whether in hard copy or electronic format. Here are a few legal things to remember:

  • Failure to adhere to the provisions of this law will attract penalties. Recent amendments under Section 139 recognise digital documents (like driving licenses and registration certificates) as valid, enhancing convenience and reducing paperwork.
  • The Motor Vehicles Act 1988 governs road transport, vehicle registration, licensing, and traffic rules and mandates motor vehicle insurance against third-party liability, requiring drivers to carry proof of insurance. The Insurance Act of 1938 regulates the operations of insurance companies, indirectly impacting motor insurance by ensuring compliance and protecting policyholders. 
  • The Indian Contract Act of 1872 governs contracts and agreements, making motor insurance policies contracts between the insured and the insurer. 

Moreover, the Transfer of Property Act 1882 deals with property rights transfer, which is relevant when transferring vehicle ownership and its insurance policy. Other Acts like the Road Goods Movement Act and Road Transport Corporations Act apply to commercial vehicles and public transport services.

IRDAI New Rules for Car Insurance

The Insurance Regulatory and Development Authority of India (IRDAI) regulates the Indian insurance sector, ensuring transaction fairness and transparency. Let's delve into the recent IRDAI rules for car insurance:

1. Third-party Car Insurance Cover

  • Mandatory by law in India.
  • Covers third-party losses.
  • The insurer compensates third parties for life or property losses caused by the insured car.
  • Compensation calculation for third-party death lies with the Motor Accidents Claims Tribunal.
  • Maximum compensation for third-party property damage is up to ₹7.5 Lakh.
  • The insurance company must cover legal liabilities arising from accidents.
  • Paid drivers' death or disability is covered under the Personal Accident Cover Policy.

2. Comprehensive Car Insurance Cover

  • Not mandatory by law but recommended.
  • Includes Third-party Liability coverage.
  • Provides theft coverage if the claim is approved.
  • Covers repair costs for damaged vehicles due to approved accidents.

3. Recent Changes

  • Pay As You Drive: New rules allow users to pay insurance premiums based on automobile usage.
  • Floater Policy: Covers vehicles belonging to the same individual owner (for private cars and two-wheelers).
  • Scrapped Long-term Packages: Three-year comprehensive packages for four-wheelers and five-year packages for two-wheelers are no longer mandatory.

Factors to Look for in a Car Insurance Company

Keep an eye on the following characteristics of an insurance company to understand whether it is ideal for your need:

The Reputation of the Brand

This is easy to gauge today, thanks to the internet. You can simply conduct an online search of the insurance provider in question and check the public review section. This should help you assess whether existing policyholders are happy with their choice.

Should Be Approved by IRDAI

The Insurance Regulatory and Development Authority in India or IRDAI is responsible for the supervision and development of the country’s insurance sector. Companies registered with this central body are more likely to follow all the guidelines when dealing with insurance claims. Additionally, opting for a registered company is safer as there are no chances of fraudulent activities.

Car Insurance Premiums

Even though financial security in case of accidents or theft of your car is important, you can only invest so much on your yearly car insurance premiums. Insurance aggregator portals will allow you to compare pricing between products from various companies, offering you a better idea of the average pricing of such insurance policies.

Claim Settlement Ratio

A general insurance company’s claim settlement ratio reveals the kind the support you can expect from the provider during emergencies. High claim settlement ratio indicates that a company settles a majority of the claims that policyholders raise. Needless to say, a lower claim settlement ratio is undesirable.

Network Garages

Every insurance company allows for cashless repairs at select garages and workshops. A higher number of such network garages ensure that you can always find one nearby. It is thus recommended to pick companies that provide a substantial number of options when it comes to cashless repair outlets.

Quick and Convenient Claim Process

No one likes to jump through hoops every time they need to file a claim. Therefore, you should choose an insurer whose claim filing and settlement process is simple to follow, in both theory and practice. In this regard, companies offering digital claim settlement processes can be extremely helpful in making the process streamlined.

Regardless of the company you choose, it is integral to buy your insurance policy directly from the company, instead of relying on your car dealership.

Why, you ask?

Why Should You Buy Car Insurance from Direct Insurance Providers?

Most people tend to buy car insurance from their car dealership. However, doing so can set you back financially and prevent you from utilising the full benefits of your insurance policy.

Here are some reasons why purchasing a policy directly from an insurance company is a smarter move:

Ability to Customise Insurance Policies

Car dealers often sell pre-packaged insurance policies, which come with a set of features. Therefore, your ability to customise the policy as per your needs is almost non-existent.

Diverse Range of Options and Choices

Car dealers generally have collaborations with only a handful of insurance providers. When you buy from them, you are limited to choose a policy from only these companies and not others in the market.

No Extra Premium Payments

Car dealerships work with insurance companies on a commission basis. This means that when you purchase a policy from them at a certain rate, a portion of that amount is pocketed by the dealership. With a direct purchase from companies, you only pay the actual price of your chosen policy and nothing extra.

Comparison and Research

Dealerships do not allow you the benefit to compare various policies. Without comparison, you can never acquire the insurance policy with the most value.

You must, thus, read the terms and conditions of every insurance policy you consider while comparing them. The fine print can often help you look beyond just the positives of a policy before you settle for one.

Why Should You Choose Digit for Car Insurance?

Insurance Company vs Insurance Aggregators vs Insurance Brokers

Understand the difference between insurance companies, aggregators and brokers.

Insurance Company Aggregators Brokers
Any organisation, which packages and markets the various insurance policies and products to consumers. A third-party portal where consumers can compare the various policies from all insurance companies operating in the market. Individuals who act as a mediating party between an insurance company and its potential clients.
Employed By - None Employed by a third party, which is unrelated to any insurance company Individual insurance companies employ brokers.
Role - To provide quality insurance policies, which compensate the policyholder when an insured asset meets with accidents and sustains damages. Role - To list and detail all relevant information regarding the various insurance policies available in the market for comparison purposes. Role - Brokers sell insurance policies on behalf of their employing insurance provider.
All insurance policy claims are settled by insurance providers or companies. NA NA

FAQs about Car Insurance Companies in India

Which is the best car insurance company in India?

Car insurance requirements differ from one person to the next. Therefore, a policy, which is perfect for you, is not necessarily suitable for others. Instead of looking for the best insurance provider, you must seek companies with an impressive history, reputation, claim settlement ratio and cashless network.

What is the importance of claim settlement ratio when choosing a car insurance policy or provider?

Claim settlement ratio refers to the comparison of the total claims that an insurance company receives and the number of claims that it settles among them. Higher ratios indicate that an insurer is more likely to settle genuine claims. A lower claim settlement figure, on the other hand, is indicative of a stringent process that makes it difficult for claims to pass.

What are the risks of availing car insurance from an IRDAI unregistered company?

IRDAI oversees the development of and policies followed by the insurance sector as a whole. Any insurance provider operating without proper registration with this government body is free to adhere to its own guidelines. Such a company may also commit fraud or other illicit activity with your money while offering insufficient financial coverage in return. Thus, it is always best to stick to the IRDAI registered and authorised car insurance policies only. 

Why does car insurance tend to be costlier when purchased from car dealerships?

Dealerships earn a certain commission on each insurance policy that they are able to sell. This commission amount is added to the yearly premium, which you pay for such a policy when buying from a car dealership. This is yet another reason why buying policies directly from an insurance provider is beneficial for you. Doing so can help save a considerable amount of your money.

Do insurance car companies work 24-7?

While car insurance offices may not always be open on weekends or have limited hours, all car insurance companies offer 24/7 contact options. So, even if individual agents are off-duty, you can still process claims payments and set up new policies anytime.

What are network garages in car insurance companies?

A network garage (a cashless garage) is a repair shop with a tie-up with an insurance company. When you get your car repaired at a network garage, the insurer settles the claim directly with the garage, eliminating the need for you to pay upfront. These garages offer cashless motor car insurance claim facilities.

Can I change my car insurance company?

Yes, you can switch car insurance companies. It's quite simple and can help you save money. The Insurance Regulatory and Development Authority of India (IRDAI) regulates the Indian insurance sector, ensuring fairness and transparency in transactions. Compare rates from different insurers, research their offerings, and consider perks like accident forgiveness or new car replacement. You can switch even if you've recently renewed your policy.

How many motor insurance companies are there in India?

As of 2024, India has 25 general insurance companies that offer motor insurance. These include public and private sector companies regulated by India's Insurance Regulatory and Development Authority (IRDAI).

What will happen to my NCB if I switch my car insurance company?

You can keep your NCB when switching insurers. It allows you to seek cheaper insurance each year without losing your bonus. Just make sure to verify with your new insurer and provide relevant documentation.

How do insurance companies assess car damages?

Insurers assess car damages through inspections, photographs, and repair estimates. Some even offer self-video claims using mobile apps. The process varies, but it usually involves evaluating the extent of damage and estimating repair costs.

Is it possible to switch car insurance companies in the mid-policy term?

Yes, you can switch mid-policy term. However, keep in mind that some insurers might impose a cancellation fee. Compare rates and consider factors like coverage and customer service before switching.

What are the reasons why insurance companies can reject your car insurance claims?

Insurance companies can reject claims due to non-disclosure of material information, policy exclusions, fraud, or inadequate documentation. It's essential to be transparent and follow the claim process diligently.

What factors should I consider when choosing India's best car insurance company?

Consider coverage options, customer service, claim settlement ratio, network garages, and additional benefits. Conduct research and compare options before reaching a decision.

Will car insurance companies pay for all the damages in a car accident?

Car insurance companies cover damages based on your policy type (comprehensive or third-party). Coverage includes repairs, medical expenses, and third-party liabilities. However, specific terms and limits apply.

How do I know if a car insurance company is reliable?

Look at customer reviews, claim settlement records, financial stability, and the company's reputation. Reliable insurers have transparent processes and good customer feedback.

How to find the best vehicle insurance company in India?

Research and compare policies, read reviews, check claim settlement ratios, and consider network garages. Choose a company that aligns with your needs and offers competitive rates.

Who regulates all car insurance companies?

The Insurance Regulatory and Development Authority of India (IRDAI) regulates and supervises all insurance companies in India, including motor insurance providers.