Introduction : In 2025, the Indian car insurance market is more competitive than ever. Whether you are buying a new vehicle or renewing your existing policy, choosing the right insurer can make all the difference in terms of claim settlement, premium affordability, and coverage benefits.
Here’s a well-researched list of the best car insurance companies in India for 2025, based on IRDAI (Insurance Regulatory and Development Authority of India) rankings, claim settlement ratio, customer reviews, and overall value for money.
1. ICICI Lombard General Insurance
- Why it’s best: Strong nationwide network, quick claim process, and a variety of add-ons like zero depreciation cover.
- Key Features:
- 9,500+ network garages
- 96% claim settlement ratio
- 24×7 roadside assistance
- Best For: New car owners seeking all-round protection.
2. HDFC ERGO General Insurance
- Why it’s best: Affordable premiums with robust digital claim services.
- Key Features:
- 8,000+ network garages
- 97% claim settlement ratio
- Paperless claim process
- Best For: Tech-savvy customers.
3. Bajaj Allianz General Insurance
- Why it’s best: Known for fast claim settlement and extensive coverage options.
- Key Features:
- 6,500+ garages
- Instant online policy issuance
- Add-ons for high-end cars
- Best For: Luxury and SUV owners.
4. Tata AIG General Insurance
- Why it’s best: Flexible plans with good customer service.
- Key Features:
- 7,500+ garages
- Zero depreciation add-on
- Emergency hotel & travel cover
- Best For: Travelers and frequent drivers.
5. SBI General Insurance
- Why it’s best: Backed by State Bank of India, offering affordable premiums.
- Key Features:
- 6,000+ network garages
- High reliability
- Quick policy renewal
- Best For: Budget-conscious drivers.
6. Reliance General Insurance
- Why it’s best: Cashless claims and attractive online discounts.
- Key Features:
- 8,200+ garages
- AI-powered claim approvals
- Easy online purchase
- Best For: Digital-first buyers.
7. Oriental Insurance Company
- Why it’s best: A government-owned insurer with strong credibility.
- Key Features:
- High claim settlement ratio
- Wide rural coverage
- Affordable premiums
- Best For: Rural and semi-urban policyholders.
8. New India Assurance
- Why it’s best: The largest public-sector insurer with nationwide reach.
- Key Features:
- 90+ years in business
- Strong IRDAI ratings
- Covers commercial & private vehicles
- Best For: Fleet owners & commercial drivers.
9. IFFCO Tokio General Insurance
- Why it’s best: Quick claim processing and competitive rates.
- Key Features:
- 5,000+ network garages
- Zero depreciation cover
- No claim bonus protection
- Best For: Long-term policyholders.
10. Digit Insurance
- Why it’s best: Modern, app-based insurance with simple policies.
- Key Features:
- Paperless onboarding
- Self-inspection via smartphone
- Transparent pricing
- Best For: Young drivers.
How to Choose the Best Car Insurance in India
When comparing car insurance policies, consider:
- Claim Settlement Ratio (CSR) – Higher is better.
- Network Garages – More garages mean easier cashless repairs.
- Add-On Covers – Such as zero depreciation, roadside assistance, and engine protection.
- Premium vs. Coverage – Balance affordability and benefits.
- Customer Reviews – Real experiences matter.
Final Thoughts
The best car insurance company in India for 2025 depends on your driving habits, car type, and budget. While ICICI Lombard, HDFC ERGO, and Bajaj Allianz lead in overall service quality, public-sector insurers like Oriental Insurance and New India Assurance provide trusted, affordable coverage.
FAQs
Q1. Which is the No.1 car insurance company in India?
As per claim settlement ratio and customer reviews, HDFC ERGO and ICICI Lombard are among the top.
Q2. Is it mandatory to have car insurance in India?
Yes, at least third-party car insurance is legally required under the Motor Vehicles Act.
Q3. Which car insurance is best for a new car?
Comprehensive plans with zero depreciation add-ons are best for new cars.
Q4. Can I buy car insurance online?
Yes, all major insurers offer quick online purchase and renewal.