In the present era, Indian car market is packed with many cars and automobiles. India is considered to be the fastest growing markets of the world. It has a number of cars belonging to different car segments and price range. All the cars are priced variedly depending on the segment they belong and the number of car accessories they behold.
There are many factors that affect
new car prices India and some of the most common factors are insurance, road tax, handling, and logistics. When a car dealer or seller provides an
Indian car price quote to the buyer, he adds the prices involved in the insurance, handling, and logistics to the ex-showroom price of the car. Further to that road tax is also added to the actual cost because every state government ask for road tax from car owners when to drive their car on roads.
New car prices India varies widely based on the following factors as all these factors differ from state to state and region to region. Not only new cars even used cars prices India are subject to the same rule of variation.
Car Insurance
Car insurance is obligatory in India for all the cars plying on Indian roads. Insurance is purely based on varied factors like actual cost of the car, driving style of the driver, any accident history of the car owner, traffic pattern of the city, and the local cost of the car component. Depending on these different cars in India are priced differently. As the price of the insurance is added to the ex-showroom price of the car one particular car model may be priced differently in different regions.
When it comes to the cost of a used car the buyer may not have to add the cost of insurance if the seller has already paid for the insurance. The price of the used car may be comparatively high if the car is already insured.
Road Tax
Road tax varies from state to state and is controlled by the local or central government. Every car owner has to pay tax to the government to drive the car on road. The primary reason why the government asks for road tax is to have a better control on traffic flow and ease road congestion. At present it is believed that Karnataka Government imposes the highest road tax on automobiles followed by the Maharashtra Government. Delhi, Chandigarh, and Haryana has comparatively lower road tax and thus cars available in these regions are cheaper than the ones available in Karnataka and Maharashtra.
Road tax has no influence on used cars as it is paid only once. In case the used car buyer drives the car to some other state of the country then the used car owner has to pay the road tax pertaining to that particular state.
Handling and Logistics
Handling and logistic charges are also added to the ex-showroom price of a car. When a buyer books a car the car has to be delivered to the owners place then it incurs all the handling and logistic charges. If in case the car is imported to India then the import charges are also added to the cost of the car.
