Innovative Products On Their Way

Ever since detarrification of prices came into the picture in 2008, insurers have been promising add-ons to what was, until then, a standard product. While some headway has been made, customers are yet to see substantial innovation in motor policies. In 2012, though, you could finally get access to more options. Add on products like Road Side Assistance would be introduced for a wider coverage and better customer service experience. Such assistance services would help consumers through a traumatic experience in case of an accident or breakdown.

Rewards For Model Behaviour On Cards

Again, a long-pending promise that is yet to come good, the practice of linking to premiums to factors other than the standard ones pertaining to the vehicle is quite prevalent abroad. The year 2012 could be the year it's introduced in India, too, given that many insurers have been collecting the data required to enable this mechanism. There will be use of more factors for pricing, particularly details of the insured such as age, marital status, driving record etc will be introduced in pricing of motor insurance. This would lead to better risk-based pricing. Thus, consumers with better driving habits and vehicle maintenance can expect relatively better premium pricing than others.