Everything You Need to Know About Adding a Driver to Your Car Insurance Policy

Sharing a car with family, friends, or hired drivers is common in India, but many car owners are unaware that their insurance may not automatically cover these additional drivers. If an unlisted driver is involved in an accident, your claim could be denied, leaving you responsible for repair costs and third-party damages. This raises important questions: Who can be added? How does it affect your premiums and No Claim Bonus (NCB)? And what steps should you take to ensure proper coverage?

Understanding the rules and best practices for adding a driver to your car insurance helps you stay legally protected, manage costs effectively, and have peace of mind every time someone else drives your vehicle.

Why is Adding a Driver Important?

Adding a driver to your car insurance is not just a paperwork exercise. It ensures that anyone driving your car is officially covered, giving you several advantages:

• Legal protection: Insurers may reject claims if an unlisted driver is involved in an accident.
• Financial coverage: Repair costs and third-party liabilities will still be handled by your insurer.
• Peace of mind: You can allow someone else to drive without worrying about disputes if an accident occurs.

Most standard policies cover only the owner as the driver, so failing to add someone else can leave you exposed.

Who Can Be Added as a Driver?

Insurers usually allow the following drivers to be added:

• Family members: Spouse, children, or siblings who regularly use your car.
• Hired drivers: Chauffeurs or employees who drive the vehicle professionally.
• Occasional drivers: Friends or extended family members, depending on your insurer’s rules.

How to Add a Driver to Your Car Insurance?

The process is generally simple but must be done correctly:

1. Inform your insurer: Contact customer support or log in to your insurance account online.
2. Provide driver details: Include full name, driving licence number, and relationship to the policyholder.
3. Submit required documents: Provide a copy of the driving licence and, for hired drivers, proof of employment.
4. Policy endorsement: The insurer will update your policy or issue a new policy document that includes the added driver.
5. Pay revised premium (if applicable): Adding a high-risk driver, such as a young or inexperienced person, may increase your premium slightly.

Online endorsements make this process convenient, but not all insurers update policies instantly.

How Adding a Driver Affects Your Premium?

Premiums depend on the risk profile of both the car and the drivers listed. Key factors include:

• Age of the driver: Younger drivers under 25 are considered higher risk.
• Driving experience: Less experienced drivers may face higher premiums.
• Driving record: Past accidents or traffic violations increase risk.
• Purpose of driving: Daily commuting versus occasional use affects premium calculations.

Adding a responsible, low-risk driver may have minimal impact, while high-risk drivers could lead to noticeable increases.

Many insurers, including Zurich Kotak, simplify this process through easy-to-use digital platforms and responsive customer support. Zurich Kotak ensures quick policy updates and smooth documentation so that all authorised drivers are added promptly.

Impact on No Claim Bonus (NCB)

The motor insurance No Claim Bonus rewards claim-free years with discounts on premiums, sometimes up to 50% after consecutive years.

• No claims by the added driver: Your NCB remains intact.
• Claims by the added driver: NCB may be affected, even if you were not driving.

This makes it crucial to add trustworthy drivers and monitor driving habits.

Common Mistakes to Avoid

Car owners often make errors that affect insurance coverage:

• Failing to update policy details after adding a driver.
• Assuming all drivers are automatically covered.
• Not considering how an added driver impacts premiums.
• Overlooking effects on your NCB.

Avoiding these mistakes ensures full coverage for both you and the additional driver.

Tips to Save on Premiums When Adding Drivers

Managing insurance premiums for multiple drivers under one policy can be challenging, but it is achievable with the right approach.

• Choose a comprehensive policy that provides broad protection and better value, helping you avoid high out-of-pocket expenses after a claim.
• Opt for No Claim Bonus (NCB) protection add-ons to preserve your earned premium discounts, even if one of the listed drivers files a claim.
• Promote safe driving habits among all drivers to minimise accident risks and keep premiums lower over time.
• Compare policies and available discounts online to find the option that best suits your needs and budget.

Filing a Claim for an Added Driver

Claims for added drivers are similar to standard claims but require attention to specific details:

1. Notify your insurer immediately after an accident or damage.
2. Submit all required reports and documents, including the updated policy.
3. The insurer may inspect the vehicle and verify driver details.
4. Settlement can be cashless at network garages or reimbursed, depending on your policy.

Claims may be denied if the driver was unlicensed or driving illegally.

Conclusion

Adding a driver to your car insurance is more than just a formality. It protects you legally, provides financial coverage, and gives you peace of mind when others drive your car. While it may slightly increase premiums, the benefits far outweigh the cost. Always add trustworthy drivers, keep your insurer updated, and review your policy regularly to ensure it meets your needs. With careful planning, adding a driver is a simple and effective way to safeguard both your car and everyone who drives it.