OD vs comprehensive car insurance

What Is the Difference Between OD and Comprehensive Car Insurance?

28th October 2021 8min read 2851 views

Every motorist knows how crucial it is to have vehicle insurance. In India, you cannot operate your car or bike without a valid third-party liability insurance policy. Unfortunately, these insurance plans only help you cover the cost of damages to a third-party individual or their property. Damages to your vehicle will not get covered. Most Indians choose to purchase a motor insurance policy that covers both third-party liability costs and own damages. Earlier, you could only opt for a third-party only policy or a comprehensive car insurance policy that provides cover in every situation. Today, you can purchase a stand-alone own damage policy as well. Let’s take a look at how an own damage policy differs from a comprehensive car insurance policy.

Own Damage (OD) Policy

These stand-alone car insurance policies only provide cover for own damages to your vehicle. They do not include personal accident cover or cover against third-party liabilities. As a vehicle owner, you can opt to purchase two stand-alone policies for your car. One could provide just third-party cover, while the other offers cover for damages to your vehicle. You must have a valid third-party vehicle insurance policy to purchase a stand-alone own damage policy. Most often, when you attempt to buy an own damage policy, your insurer will ask you to get their third-party policy as well. So, it may make the most sense to get both policies from the same company.

Comprehensive Car Insurance Policy

On the other hand, a comprehensive car insurance policy is a bundle product. Under a single car insurance policy, you can stay secure against third-party and own damage costs. Additionally, many comprehensive plans also provide personal accident cover for the owner-driver of the vehicle. If they get involved in a fatal accident, their nominee receives the sum insured amount.

Which Is Better?

While individuals can opt to purchase stand-alone policies from different insurers, this may not be the best way forward. Most stand-alone third-party liability insurance plans are valid for a minimum of three to five years. On the other hand, you must renew an own-damage car insurance policy every year. Keeping track of two separate insurance products can be difficult. Additionally, vehicle owners will have to go through the car insurance renewal process at different times for each policy.

With a comprehensive car insurance policy, you only have to worry about one car insurance policy. Your paperwork reduces significantly, and the renewal process becomes quick and easy. If you opt for a comprehensive plan, look no further than Edelweiss General Insurance. When you purchase an Edelweiss Motor Insurance policy, you can customise your cover with our wide range of add-ons. Select the additional covers you like and enjoy enhanced protection all year round!

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