Things to Remember while Buying Car Insurance

by ExpertBlogger 2. July 2018 09:53

Buying a car is a big decision considering it as a depreciative asset and also the changing technology is the prime reason for investing rightly in a brand. After buying the car the most important decision an owner has to take is getting the asset covered with proper motor insurance in order to safeguard the vehicle from all types of unforeseen damages that may happen to, it once it gets launched on the road. There are many factors both varying and unvarying that determine a good insurance for an automobile. 

In a state like there are multiple factors taken into consideration before zeroing on a good insurance plan. To start with following are the checks to be borne in mind:

a. The credit score of the insurance buyer matters as the insurer would be interested in selling the policy to the party who has a clean credit card history and more responsible in clearing their bills.

b. A good driving history with fewer penalties and tickets for over speeding or driving under the influence of alcohol makes a driver being perceived as more prone to accidents and hence would be charged the premium accordingly.

c. A person’s gender also contributes to an extent in the insurance premium as male drivers are considered to be more hazardous than the female ones.

d. The age factor of the buyer is also an important aspect for an insurance company. Driver below the age of 25 are considered as rash drivers and irrespective of one’s driving pattern a person has to pay the premium higher because of his/her age.

e. The taxi or the cab drivers are liable for a higher premium because the chances of a damage to the vehicle are far more than a private car.

f. A vehicle’s cost, its make, and model also contributes in the insurance that needs to be bought for it. A low range car like a hatchback does not require a costly policy but a trendy sports car or multi-utility vehicle with advanced features would call for a higher premium to be paid.

g. Many insurance companies also decide the premium based on the location of the buyer, because people who drive on mountains or hills or plateaus are more likely to meet with an accident than the people who drive on plains.

The above-mentioned points were considered by an insurer while selling the policy to the buyer. There are certain checks to be performed by the buyers too on the insurer:

a. A buyer should evaluate his/her state’s minimum requirements for the insurance.

b. A buyer should perform a comprehensive market research by comparing the quotes from various insurers before zeroing on one.

c. A buyer should review the insurer’s standing in the market in terms of reliability and also in terms of discounts before finalizing a deal. One should always pick a top-rated insurer irrespective of the cost.

d. Setting up a higher deductible which will ensure a good cut in the premium cost.

e. Usage-based insurance is something where the insurer would track the buyer’s mileage covered and give away discount on the basis of miles driven in a year.

There are few types of covers that should be included in a car insurance:

Liability cover: This is a third party insurance wherein the damage done by the car owner to the other person or person’s vehicle should be covered by the car policy.

No-Fault insurance: It is the cover given by the insurance company to the buyer in case he/she met with an accident that is not the car owner’s fault.

Personal injury Protection: It is the type of cover provided to anyone who travels in the car owner’s vehicle and happens to meet with an accident.

Uninsured motorist insurance: this is a type of cover that gives a protection to the car owner against those who do not have an insured vehicle.

Bottom line is While finalizing the insurance policy a buyer must ensure complete transparency to the insurer by providing all the history of accidents, drink and drive cases etc. else this may lead to denial of the claim by the insurer at the time of mishappening.  

Financial Boom or Sustainable Growth , Where We are Heading..

by ExpertBlogger 7. June 2018 13:13

Economic boom refers to as an increase of business, industry and growth of the sales and goods that would lead to a nation’s overall economic expansion. The global economies contribute in the rise and fall of world trade and economy and hence observes the global economic phenomena of recession and boom. The market fluctuations are bound to occur as they are affected by numerous factors which can’t be predicted by market researchers and analysts with complete accuracy. The various economies of the world are so closely connected that economists could only take calculated risks of prophesying the market volatility.


Many under developed and developing economies show the signs of an economic boom every now and then. The revealing signs of an economic boom in a country are:
a.    Low inflation rate: A booming economy should maintain a lower inflation rate and it is be as low as 2% for developed economies.
b.    Double digit GDP growth: A booming economy should register a GDP growth which should be at least a positive figure and if it’s in double digit with promising signs of converting into developed economy. A GDP is the determining factor of a nation’s growing economy. It is a sum total of consumption of products and government expenditures and exports of the country in that year, all this and minus the imports done by that country in that year.
c.    Rise in employment: In an economy that shows the promising signs of expansion creation of jobs for its citizens is a big factor for showing economic growth.
d.    Increased consumerism: Better employment rate will result in more demand and supply of consumer goods as it will lead to economic stability of the various sections of the society.
e.    The Sensex rise: A booming economy lures investors from around the globe. The market should exhibit bullish growth in the stocks and bearish growth of the bonds.
f.    Bank lending: Banks should contribute in the growth by increasing their capacity to lend to the owners of small businesses hence leading to economic sustainability by progressing the smaller merchants.
g.    The currency circulation: It is the currency of the country and its value that would decide the appreciation of the country’s currency in the world market.
h.    Producer price index: this is the index that determines the cost of major goods producing sectors like agriculture, manufacturing, mining, fisheries, dairy products etc.
i.    Real estate boom: A surge in the real estate businesses is a strong indicator of a booming economic growth as they are the drivers towards making a stronger economy. The increase in the buying of the new homes reflects good employment creation and increased consumer confidence.
j.    Lower interest rates: Banks will levy lower rate of interest on the loans for property and automobile and hence enabling more property deals and creating a surge in the housing and finance industry.
k.    Strengthening the labor: A developed economy will always work towards firming its labor force by skilling them in their crafts and work because they in turn would generate goods and services for the country.
l.    Tax cut: In order to make a robust economy a government should curtail on taxes on consumer goods and services provided. The income tax reduction also boosts the citizens’ morale to save more and spend with confidence making sure that it should not lead to deficit.
m.    Increased government spending: rise in government’s expenditure like construction roads, railways and airports is an indicator of state’s well being programs for making a prosperous society.
n.    Income imbalance: In a booming economy the poor will become rich and gain stability and rise from above the poverty line hence creating a society of economic balance.
o.    FDI: encouraging more foreign investors in the country for the services and goods they get and hence creating more income and jobs in the country.
A sustainable growth in all the above mentioned categories will lead to an economic boom in a country as well as it will help to shape the world economy. The government’s policies play an important role in defining the economic growth of a country. A stable government and a stable geopolitical atmosphere leads to technological as well as advancement in other sectors.