Motor Insurance Bundling – Private Car Package Insurance Policy

Motor Insurance Bundling - Sandbox

(Private Car Package Policy)
Pay for Distance Car Insurance

Motor Insurance Bundling

If you could buy a car insurance policy based on the distance you travel rather than for a specific time, would you opt for it? Liberty General Insurance now offers ‘Pay for the Distance’, which is bundled with a host of other innovative features, under its existing Private Car Package Policy. This usage-based car insurance ensures that you pay a lower premium if you don’t use your vehicle all that much.

Liberty General Insurance has always been at the forefront of innovation – constantly launching new products and features – that makes life easier for car owners. 'Pay for the Distance’ insurance is an idea whose time has come, and we are happy that we are one of those selected to pilot the feature. ‘Pay for the Distance’, along with the host of other features that are launching, will certainly find a lot of takers and make car insurance cheaper for those who don’t use their vehicles as much as others.

Key Benefits of Motor Insurance Bundling

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    Usage-based car insurance

    The cost of your insurance is based on a usage-based car insurance policy. So, if you don’t use your car much during a year, you can pay a lower premium.

  • Voluntary deductibles

    The new bundle of features includes additional voluntary deductibles in return for discounts on the own damage portion of the premium

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    No-fault protection

    This feature will enable policyholders to get No Claim Bonus at the time of policy renewal, even if there is any loss or damage -- either to the parked insured vehicle’s windshield glass by an external object, or if the loss is due to flood, earthquake or an Act of God to the parked insured vehicle.Damage to only windshield glass to the parked insured vehicle and loss due to flood/ earthquake/ Act of god to the parked insured vehicle.

  • Avail

    Roadside assistance cover

    The insurance package offers roadside assistant as an inbuilt feature

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Features of Motor Insurance Bundling

Pay for Distance

While making the purchase, you can choose the maximum kilometre coverage you want to opt for. If you don’t take your vehicle out much, you can opt for a lower coverage. Of course, you have the option of topping up your coverage – by buying an additional number of kilometres if you feel you will exceed your existing coverage.

Third-Party insurance cover, which is compulsory, will be valid throughout the policy period irrespective of the kilometres declared by the customer.

Voluntary Deductibles

Policyholders can avail of additional voluntary deductibles in return for discounts on the Own Damage portion of the premium.

Roadside Assistance Cover

Roadside Assistance Cover will be available to the insured as an inbuilt feature. Services under this cover include:

  • a) Vehicle relocation to the nearest garage in case of a major breakdown
  • b) Repair services for minor breakdowns
  • c) Assistance in case of lockout/ lost keys
  • d) Changing of flat tyre
  • e) Arrangement of emergency fuel in case the vehicle runs out of fuel
  • f) Alternative transport assistance to the nearest safe location for the passengers of the vehicle

You can use these services for a maximum two times during the policy period.

Inbuilt Roadside Assistance Cover will not include additional expenses regarding replacement of a part, additional fuel and any other service which does not form part of the standard services mentioned above

Road Assistance Services will be offered within a radius of 50 km from the place of breakdown to nearest available vendor/repairer

No-fault Protection

Under the No-fault Protection feature, you are allowed the No Claim Bonus at the time of renewal of the policy despite claiming loss or damage under the following conditions:

  • a) Damage to only the windshield glass of the parked insured vehicle by an external object
  • b) Loss due to flood/earthquake/Act of God to the parked insured vehicle

Who can purchase the new policy?

This bundle of features will be offered only to customers purchasing the policy directly from the company through the online channel.

Motor Insurance Bundling - FAQs

Q1. How is distance calculated in Pay for Distance?​

Answer.Actual kilometre usage during the policy tenure shall be calculated as the difference between the kilometre reading as per the odometer of the vehicle on the date of loss and the kilometre reading as per the odometer of the car on the date of proposal.

Q2. Can I purchase this new policy through an agent?

Answer. No, this option is available only to customers who are purchasing directly from the company through our online channel.

Q3. Is the third-party cover according to distance as well?

Answer. No, the third-party cover will be for a year, irrespective of the distance covered. It will continue to be in force even if you have exhausted all the kilometres under the Own Damage portion of the insurance policy.

Q1. Can I buy LGI car insurance online?

Answer. Yes, you can buy LGI car insurance online. Whether you want to buy new car insurance online or renew it, both options are available on LGI website.

Q2. What are the types of car insurance plans offered by LGI?

Answer. LGI offers two types of motor insurance policy- Package Policy and Third Party Liability Policy. Buy our online vehicle insurance to enjoy a range of benefits.

Q3. What are the add-ons available with LGI Private Car Package Policy?

Answer. LGI Private Car Package Policy is one of the best car insurance policies in India, and it offers maximum coverage through 7 add-on covers:

  • 1.Depreciation Cover
  • 2.Consumable Cover
  • 3.GAP value cover
  • 4.Passenger Assist Cover
  • 5.Roadside Assistance cover
  • 6.Key loss cover
  • 7.Engine safe covers

Q4. Are electrical and non-electrical accessories covered under LGI private car insurance?​

Answer. Electrical and non-electrical accessories will be covered under LGI Private Car Package Policy as follows-

  • Electrical accessories

Electrical accessories which are not a part of factory-fitted equipment of the vehicle will be covered under the insurance policy on payment of additional premium.

  • Non-electrical accessories

Any non-electrical equipment which is not factory-fitted with the vehicle will be covered under non-electrical accessories at an additional premium.

Q5. Is there any discount offered on LGI car insurance if I install an anti-theft device?​

Answer. Upon installation of an Automobile Research Association of India (ARAI) approved anti-theft device in your vehicle, which is dully certified by the Automobile Association of India, you can get a discount of 2.5% on the OD (Own Damage) premium subject to maximum of Rs. 500.

Q6. What coverage is offered for third party liability under LGI Private Car Package Policy?

Answer. LGI Private Car Package Policy coverage for third-party includes:

  • Permanent injury or death caused by the vehicle insured
  • Damage to any property (excluding vehicle) due to the insured vehicle

Q7. How many network garages are under LGI network?

Answer. With LGI car insurance, you can avail cashless claim service at 4300 network garages.

Q8. How do I register a car insurance claim with LGI?

Answer. You can register your claim in the following ways-

  • Call us at 1800 266 5844
  • Register on car insurance claim online on LGI website

Q9. How can I pay for the car insurance policy that I purchase online on LGI?

Answer. There are multiple payment options e.g. credit card, net banking, debit card, etc., for online payment when you buy car insurance online.

Q10. Does LGI car insurance come with personal accident cover?

Answer. Yes. LGI Private Car Package Policy offers personal accident cover to owner/driver. However, you can also purchase add-on personal accident cover for passengers by paying extra premium.

Q11. Is online auto insurance purchase the only option to purchase insurance from LGI?

Answer. You can buy motor insurance online through LGI website or through one of our branches. You can locate a branch near you using the ‘Branch Locator’ tool on our website. However, buying motor vehicle insurance online is a better option as you get an instant policy minus any paperwork and you get better benefits as well.

Car Insurance Glossary (A)

  • Accident: Any event that is not planned and causes damage, injury or death.
  • Actual Cash Value – It is the market value of a vehicle that is paid in case of total loss or damage to vehicle.
  • Accidental Death and Dismemberment: It is an insurance benefit or rider which pays a stated amount in the event of death and/or dismemberment caused by accident.
  • Accident Frequency: The number of accidents that occur in a given period of time.

Car Insurance Glossary (B)

  • Bodily Injury: Any type of injury, sickness, disease or death that is the result of an accident.

Car Insurance Glossary (C)

  • Car Insurance: An insurance policy which is specifically designed for a four-wheeler and provides reimbursement for third-party and own damage expenses.
  • Car Insurance Calculator: A tool that can be used to estimate your online car policy premium.
  • Cancellation: Termination of an insurance contract by the insurer or insured before the renewal date of 4 wheeler insurance.
  • Claim: If your vehicle suffers damage due an accident or due to any natural disaster, you can file for a claim.
  • Claim amount: It is the amount of money the insurance company agrees to pay for the accidental damages as per the terms and conditions of an online car policy.
  • Coverage: It is the protection or benefits of a motor vehicle insurance policy.
  • Comprehensive Coverage: A comprehensive vehicle insurance policy pays for physical damage or loss of your vehicle due to natural calamities, vandalism, fire, and theft, and also covers third-party loss and damages.
  • Collision Coverage: It covers repair or replacement of your car in case of a collision, which happens due to no one else’s fault but yours.
  • Car Insurance Quotes: It is an estimate of premium for the insurance coverage you select based upon the information you enter into the car insurance calculator.

Car Insurance Glossary (D)

  • Deductible: It is the amount of the loss that has to be paid by insured before the insurance company pays for the claim. The deductible amount is fixed at the time you buy car insurance.
  • Depreciation: The percentage loss in value of the vehicle due to age, and wear and tear. As the age of the vehicle increases, the rate of depreciation also increases, and the amount offered by the insurer in the event of a car insurance policy claim goes down.

Car Insurance Glossary (E)

  • Exclusions: All perils or risks that are not covered under the terms of an insurance policy. For example, a car policy does not offer cover for normal wear and tear, accidents that occur due to driving under influence of alcohol or drugs, etc.

Car Insurance Glossary (I)

  • Inclusion: All perils or risks that are covered under the terms of an insurance policy. For example, accidents due to external means, third-party liabilities, etc.
  • Insured: The person who is covered under an insurance policy is the insured or the policyholder.
  • Insurer: The insurance company which provides insurance coverage to the insured upon payment of premium.
  • Insurance Policy: A formal contract between insurer and insured which describes complete policy terms and conditions including, coverage, exclusions, premiums and deductibles, etc.
  • Insured Declared Value (IDV): IDV of the vehicle is the value of the vehicle after deducting for depreciation. In other words, it is the current market value of the vehicle. IDV is the amount which is paid by the insurer on theft or total loss of vehicle, and is agreed upon by the insurer and the insured. IDV of a vehicle reduces with age and the premium is calculated on the basis of it.

Car Insurance Glossary (L)

  • Lapse: Termination of a policy due to non-payment of premiums.
  • Limit: The maximum amount of insurance protection that is offered in a policy term.

Car Insurance Glossary (N)

  • Network garage: The garages which come under the network of your insurance provider. The best online car insurance provider would be one who has wide range of network garages.
  • No Claim Bonus (NCB): NCB is offered on policy renewals when the insured does not make a claim during the policy period. Insurers offer NCB as a discount on the Own Damage Premium.

Car Insurance Glossary (O)

  • Own Damage Premium (OD): In case of an accident, own damage cover pays the expenses incurred on insured’s vehicle due to repair or replacement of damaged parts due to a road accident, theft or damage of your vehicle due to fire, earthquake, etc.
  • Online car insurance: Car insurance policy that can be purchased online. Buy online four wheeler insurance to save on money and time, and also get additional benefits.

Car Insurance Glossary (O)

  • Personal Accident Cover: It covers the insured against accidental death and permanent total disability. Personal accident rider can also be purchased to cover passengers of the car.
  • Policy Period: It is the time period during which an insurance policy is in force and provides coverage to the insured.
  • Policy Schedule: The insurance contract which includes the details of an insurance policy. It includes the period of insurance, the car details and other related information about the policy.
  • Premium: The amount paid by the insured to the insurer in order to get covered as per the terms and conditions of the policy.

Car Insurance Glossary (R)

  • Rider: A written agreement attached to the policy which enhances the benefits otherwise payable under the policy.

Car Insurance Glossary (S)

  • Surveyor: A person nominated by the insurance company for examination and settlement of insurance claims.

Car Insurance Glossary (T)

  • Third Party: In an insurance contract, third party is anyone other than the policyholder covered under the insurance policy. The insured or policyholder is the first party, the insurance company is the second party and anyone else is a third party in the contract.

Motor Insurance Bundling

Listen to Our Customers


Thanks Manish

Dear Mr. Dharma – I would like to thank your company personnel at the customer services division for their excellent support. Your customer care executive, Manish Bhatia took care of all my queries in a very courteous and professional manner.

Would also like to thank Mr. R Rajkiran from ‘Invee Intelligence Private Limited’ and Mr. Umesh for taking this issue to closure.

Keep up the good work.

Majid Hashmat


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Mr. N. Rama Mohan Rao

Car Insurance Reviews

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Average RatingBased on 35 Ratings

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7/16/2016 10:51:28 AM

Category: General Insurance

hi. ashish singal, 09700616177 there is not at all good response from ur policy no. is 20000365156..

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7/16/2016 10:51:28 AM

Category: General Insurance

A good company to insure with. Quick customer service and claims also. Really feeling happy to insure with LVGI.

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7/16/2016 10:51:28 AM

Category: General Insurance

customer satisfaction is the key to competency Have got a good feedback regarding the service.I hope we get to avail the services soon in dehradun...

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7/16/2016 10:51:28 AM

Category: General Insurance

I am happy to see that being a small company the employees talk to each other & resolve customer queries fast. I am pleased with the speed of service. Very professional people...

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7/16/2016 10:51:28 AM

Category: General Insurance

I was surprised to see the level of professionalism shown by the claims & customer service team. They were quick and courteous. Cheers...

Car Insurance - Blogs

Registration Number: 150 | ARN:Advt/2018/March/26 | CIN: U66000MH2010PLC209656

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Reg Office: 10th floor, Tower A, Peninsula Business Park, Ganpat Rao Kadam Marg, Lower Parel, Mumbai - 400013

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