This ICICI Lombard car insurance review answers the question every Indian car owner asks before renewal — is ICICI Lombard actually worth it, or are you paying a premium for a brand name?
Before this ICICI Lombard car insurance review gets into specifics — one important
context: car insurance is mandatory by law in India, but not all policies deliver equal value when claims arise. The insurer you choose determines how smoothly your claim gets settled, how wide your garage network is, how transparent your add-on costs are, and ultimately how protected you actually are when something goes wrong.
This complete ICICI Lombard car insurance review covers everything — policy types, real premium ranges for popular cars, add-ons worth buying, the claim settlement process, what I genuinely like, and what I honestly do not.
Who Is ICICI Lombard?
ICICI Lombard is one of the oldest and largest private general insurers in India. Founded in 2001, the company has built a reputation for wide network reach, strong claim service, and a comprehensive product range.
ICICI Lombard General Insurance is a joint venture between ICICI Bank — India’s second largest private sector bank — and Fairfax Financial Holdings. Being backed by ICICI Bank gives it institutional credibility, wide distribution, and integration with ICICI banking services.
ICICI Lombard car insurance serves millions across India through its 5,700+ strong cashless garage network and 24×7 customer support.
For anyone researching car insurance — these credentials matter. You are trusting this company to pay your claim when something goes wrong. Knowing it has been operating since 2001 with a large institutional backer provides genuine comfort.
ICICI Lombard Car Insurance Review — Policy Types
ICICI Lombard offers three main types of car insurance policies. Understanding the difference before choosing is essential.
Type 1 — Third Party Insurance
The legal minimum required to drive on Indian roads. Covers:
→ Legal liability for injury or death caused to a third party
→ Legal liability for damage caused to third party property
→ Mandatory personal accident cover of ₹15 lakhs for owner-driver
Does NOT cover:
→ Damage to your own car
→ Theft of your car
→ Natural disaster damage to your car
Third party car insurance starts at just ₹2,094 for the year.
Third party only insurance satisfies legal requirements — but leaves your own vehicle completely unprotected. For any car with meaningful market value — third party only is an inadequate choice.
Type 2 — Standalone Own Damage Insurance
Covers damage to your own vehicle only — without third party liability. Typically purchased alongside a separate third party policy.
Covers:
→ Accidental damage to your car
→ Theft
→ Natural disaster damage
→ Fire damage
This is the option for those who already have third party coverage from another provider and want to add own damage protection separately.
Type 3 — Comprehensive Car Insurance
The recommended option for most car owners — combining both third party liability and own damage coverage in a single policy.
ICICI Lombard car insurance covers your car against losses or damages due to natural and man-made calamities. It protects you against third-party legal liabilities due to accidental damages leading to permanent injuries or death of a person and damages caused to the surrounding property. It also brings personal accident coverage of ₹15 lakh to the insured owner-driver.
What comprehensive coverage includes:
→ Third party liability (mandatory)
→ Own damage from accidents
→ Theft coverage
→ Natural disaster damage — flood earthquake cyclone storm
→ Man-made damage — riot fire vandalism
→ Personal accident cover ₹15 lakhs for owner-driver
For any car owner who wants complete protection — comprehensive insurance is the right choice.
ICICI Lombard Car Insurance Review — Real Premium Ranges
The ICICI Lombard car insurance premium depends on multiple factors, including car make, model, age, city of registration, IDV, NCB, and add-ons selected. Here are some typical examples of popular cars in 2026:
→ Maruti Swift (1200cc, 2-year-old, IDV ₹5 lakh): Comprehensive premium ₹10,000 to ₹12,500 per year before NCB
→ Hyundai Creta (1500cc, 2-year-old, IDV ₹11 lakh): Comprehensive premium ₹14,000 to ₹17,500 per year
→ Honda City (1500cc, 3-year-old, IDV ₹9 lakh): Comprehensive premium ₹12,000 to ₹15,000 per year
→ Toyota Innova Crysta (2400cc, 4-year-old, IDV ₹14 lakh): Comprehensive premium ₹18,000 to ₹22,000 per year
These are indicative numbers including GST.
The No Claim Bonus impact:
No Claim Bonus works as a reward for not claiming during the period of your car insurance policy. It gives you renewal discounts on your own damage premium. After the first year without a claim you get 20% discount. The maximum NCB is 50% after 5 consecutive claim-free years.
This means a Maruti Swift owner with 5 years no-claim history could reduce their ₹12,500 premium by up to 50% — paying approximately ₹6,250 for the own damage component.
A clean NCB record can reduce these by 20 to 50%. Add-ons can add another 15 to 30% on top.
What affects your specific premium:
→ Car make, model and variant — higher IDV means higher premium
→ Car age — older cars have lower IDV and lower premium
→ City of registration — metro cities typically higher premium
→ NCB accumulated — up to 50% discount for claim-free years
→ Add-ons selected — each adds to base premium
→ Voluntary deductible — choosing higher deductible reduces premium
→ Anti-theft device — approved devices get small discount
ICICI Lombard Car Insurance Review — Add-Ons Worth Knowing
Add-ons are optional covers that enhance your base policy — bought at additional premium. Not all are worth the extra cost. This ICICI Lombard car insurance review covers each honestly.
Zero Depreciation Cover — Most Valuable Add-On
What it does: When your car is repaired after an accident — insurers normally deduct depreciation on replaced parts based on the car’s age. A rubber part may be depreciated at 50%. A plastic part at 30%.
Zero depreciation removes this deduction entirely — you receive the full cost of replacement without any depreciation cut.
Who should buy it: Anyone with a car less than 5 years old. The difference between a claim with and without zero depreciation can be thousands of rupees.
Honest caveat: Zero depreciation typically not available for cars above 5 years old. Check eligibility at the time of purchase.
Engine Protection Cover
What it does: Standard policies exclude engine damage from water ingestion — flooding your engine during monsoon is a common and expensive claim that basic policy does not cover.
Engine protection covers repair or replacement of engine components damaged by water or oil leakage.
Who should buy it: Anyone living in flood-prone cities — Mumbai, Chennai, Bengaluru, Hyderabad, Kolkata. Engine repairs after flooding can cost ₹50,000-₹2,00,000. The add-on costs a fraction of this.
Roadside Assistance
What it does: 24×7 support when your car breaks down — towing to nearest garage, battery jumpstart, flat tyre change, fuel delivery, locksmith service.
Roadside assistance cover allows you to travel without any worries and can be sought multiple times during the policy year.
Who should buy it: Anyone who drives regularly on highways or in areas without easily accessible garages. The cost is minimal and the convenience in a breakdown situation is genuine.
NCB Protection Cover
What it does: Normally — filing even one claim resets your No Claim Bonus to zero, costing you significant premium discount at renewal. NCB protection allows you to file one claim during the policy year without losing your accumulated NCB.
Who should buy it: Anyone who has accumulated 3+ years of NCB and wants to protect that discount. Particularly valuable for those with 40-50% NCB built up.
Return to Invoice Cover
What it does: In case of total loss or theft — standard policies pay the current Insured Declared Value (IDV) which accounts for depreciation. Return to Invoice pays the original purchase price of the car — including road tax and registration charges.
Who should buy it: New car buyers in the first 2-3 years. The difference between IDV and original invoice can be ₹1-3 lakhs on most cars.
Consumables Cover – Optional
What it does: Covers replacement of consumable items — nuts bolts engine oil coolant filters — during an accident repair. Standard policies exclude these.
Who should buy it: Only if you drive in conditions where consumables damage is likely. Not essential for most urban drivers.
Personal Belongings Cover – Low Priority
What it does: Compensates for personal items stolen from your car — laptop phone bags etc.
Honest assessment: Coverage limits are typically low. Your home insurance or dedicated gadget insurance covers belongings more comprehensively. Low priority add-on for most car owners.
ICICI Lombard Car Insurance Review — The Claim Process
This is the most important section of any ICICI Lombard car insurance review — because the claim process is when insurance truly matters.
Cashless Claims
ICICI Lombard partners with over 13,000 cashless garages across India. If you take your car to one of these garages for repairs you won’t have to pay out of pocket for anything covered by your policy.
How cashless claims work:
Step 1 — Inform ICICI Lombard immediately after the accident by calling 1800 2666 or through the IL TakeCare app.
Step 2 — ICICI Lombard assigns a surveyor who assesses the damage — usually within 24-48 hours.
Step 3 — Car is taken to a network garage. The garage communicates directly with ICICI Lombard.
Step 4 — After repair approval — work begins. You pay only the deductible and non-covered items.
Cashless settlement takes 5 to 10 working days.
Reimbursement Claims
In the reimbursement process, you pay the garage first for the repairs, and then ICICI Lombard pays you back the amount you spent.
This applies when you take your car to a non-network garage — your choice or due to location constraints.
Documents required for any claim:
→ Completed signed claim form
→ Copy of vehicle Registration Certificate
→ Copy of driving licence of person driving at time of accident
→ FIR copy if theft or major accident
→ Original repair invoices for reimbursement claims
Claim Settlement Ratio
Incurred claim ratio of over 87%.
The claim settlement ratio of 93.4% within motor own damage insurance speaks for their efficiency and customer satisfaction.
A claim settlement ratio above 90% is considered strong in the industry. ICICI Lombard’s motor claim settlement performance is among the better ones in the private insurer space.
ICICI Lombard Car Insurance Review — What I Genuinely Like
Network Garage Size
Get your car repaired at any of the 5,700+ network garages across India without paying in cash.
5,700+ garages is one of the largest cashless networks available from any private insurer in India. For most urban and semi-urban car owners — a network garage within reasonable distance is almost always available.
IL TakeCare App
ICICI Lombard’s dedicated app handles policy downloads, claim initiation, garage locator, WhatsApp claim updates, and renewal — entirely digitally.
For a millennial car owner who wants to handle everything from a phone — this is a genuine convenience advantage.
Comprehensive Add-On Range
Nine add-on options — including the Total Protection bundle that combines zero depreciation, NCB protection, engine protection, and consumables cover at a bundled price lower than buying separately.
ICICI Lombard’s Total Protection bundle combines zero depreciation, NCB protection, engine protection, and consumables cover. The bundle is priced lower than buying each add-on separately.
Instant Online Purchase and Renewal
The ICICI Lombard car insurance renewal process is fully online. Visit the website or use the app, enter your policy number, review the new quote, and pay digitally. The new policy reaches your inbox in minutes.
Zero paperwork, zero branch visit, renewal in under 10 minutes.
NCB Transferability
NCB is rewarded to you, not your car. So it stays with you even if you purchase a new car. No claim bonus can be easily transferred in case you plan to change your insurer.
Your NCB discount moves with you — to a new car or a new insurer. This flexibility is important for anyone switching cars or comparing renewal quotes across insurers.
ICICI Lombard Car Insurance Review — What I Don’t Like
Premiums in Mid-to-High Range
Overall, ICICI Lombard premiums are in the mid-range of the market. They are not the cheapest, but the broad service infrastructure justifies the slight premium over budget insurers.
If pure price is your primary decision criterion — there are cheaper options available. ICICI Lombard’s pricing reflects its network size and claim settlement infrastructure.
Standard Plans Exclude Engine Flood Damage
Engine damage from water ingestion — extremely common during monsoon flooding in Indian cities — is not covered under standard comprehensive policies.
You must specifically add the Engine Protection cover. Given how common this is in Indian conditions — this should arguably be a standard inclusion rather than a paid add-on.
Zero Depreciation Not Available for Older Cars
Can I add zero depreciation to an older car? — this is a common question this ICICI Lombard car insurance review receives. Zero depreciation is typically only available for cars up to 5 years old, limiting its availability for older vehicle owners who arguably need the protection most as parts cost more relative to IDV.
Cashless Settlement Takes 5-10 Working Days
Cashless settlement takes 5 to 10 working days.
For minor repairs this can feel long. During peak claim periods — after heavy rain or major incidents — timelines can extend further.
Who Should Choose ICICI Lombard Car Insurance?
Based on this complete ICICI Lombard car insurance review — here is the honest framework:
ICICI Lombard is right for you if:
→ You want one of India’s largest cashless garage networks
→ You prefer a private insurer with 20+ years of operating history
→ You want comprehensive digital claim management via app
→ You are renewing with an existing NCB to transfer
→ You want the Total Protection add-on bundle
→ You drive in a flood-prone city and want engine protection
→ You have a car less than 5 years old and want zero depreciation
ICICI Lombard may not suit you if:
→ You want the absolute lowest premium available
→ Your car is more than 5 years old and zero depreciation is your priority
→ You need claim settlement faster than 5-10 working days
How to Buy ICICI Lombard Car Insurance
Step 1: Visit icicilombard.com directly — always buy from the official website or app to avoid middlemen markups.
Step 2: Click on Motor Insurance → Car Insurance → Get a Quote.
Step 3: Enter your car registration number — details auto-populate.
Step 4: Review coverage options — third party, standalone OD, or comprehensive.
Step 5: Select add-ons based on your car age and requirements.
Step 6: Review IDV and ensure it reflects current market value.
Step 7: Apply any existing NCB.
Step 8: Pay online — policy arrives in your email within minutes.
👉 [Buy ICICI Lombard Car Insurance here]
What This ICICI Lombard Car Insurance Review Says About IDV — The Most Important Number
The Insured Declared Value — IDV — is the current market value of your car and the maximum amount the insurer pays in case of total loss or theft.
Higher IDV = higher premium but better protection.
Lower IDV = lower premium but insufficient payout if car is totalled.
My recommendation: Always set IDV as close to actual market value as possible — do not under-declare to save on premium. In a total loss situation — an artificially low IDV costs you far more than the premium saved.
Connecting This to Your Building Dhan Journey
Car insurance sits at a specific place in the complete financial protection framework:
→ Emergency fund in place → guide here ✅
→ Term insurance for income protection → guide here ✅
→ Health insurance for medical costs → guide here ✅
→ Car insurance for vehicle protection → this post ✅
As covered in our complete ICICI Lombard Insurance Review 2026 — ICICI Lombard covers multiple insurance categories. Car insurance is one piece of that complete coverage picture.
Insurance — across all categories — is the layer that prevents one bad event from destroying years of wealth building. As covered in How to Build Wealth in India — adequate insurance is non-negotiable before any investment.
Your Action This Week
Check your current car insurance policy — right now.
→ When does it expire?
→ What is your current IDV? Is it accurate?
→ Do you have zero depreciation?
→ Do you have engine protection if you live in a flood-prone city?
→ What is your current NCB?
If renewal is approaching — or if your current policy is missing critical add-ons — compare options and renew with the coverage that actually protects you.
👉 [Get your ICICI Lombard Car Insurance quote today]
And if you want the complete framework for protecting and building your wealth as an Indian millennial — download the free guide 7 Money Moves to Make Before You Turn 30 free when you subscribe to the Building Dhan newsletter at buildingdhan.in.
Let’s build wealth together.
— Madhu Vijay
Disclosure: Premium ranges and features mentioned are accurate as of writing — always verify current pricing and coverage terms directly on icicilombard.com before purchasing. This is not financial advice. This post contains affiliate links.