How Your Car’s Age Affects Your Insurance Premium.

Renew General Insurance

Car insurance premiums are directly influenced by the age of your vehicle. Here's how:

Impact of Age on Premiums :

New Cars: Higher IDV (Insured Declared Value) = Higher premium, but more comprehensive protection.
Old Cars: Lower IDV due to depreciation = Lower premium, but may not justify full coverage.

Factors at Play :

  • Depreciation of parts
  • Wear and tear over time
  • Lesser market value with age
  • Insurer's risk perception

Pro Tip: For older cars, consider switching from comprehensive to third-party insurance if the vehicle’s value is low.