The Honda City is India's best-selling midsize sedan with decades of proven reliability — making it one of the most widely insured vehicles in its segment across India. The 2026 Honda City facelift, launched in May 2026, brings a redesigned variant lineup, sharper styling, six airbags as standard across all variants, a Level-2 ADAS suite (Honda Sensing), a 360-degree camera on ZX and above, and ventilated front seats on the top variant — features that increase the car's
replacement value and make appropriate add-on covers more important than ever.
Whether you own the base SV Petrol MT or the top-spec ZX+ e:HEV Hybrid, having the right car insurance is both a legal requirement under the Motor Vehicles Act, 1988, and essential financial protection. SMC Insurance helps you compare 30+ insurers, choose the
right plan for your City and get an instant policy in minutes — with zero paperwork.
Third-Party Insurance (Mandatory) Third-party car
insurance is the minimum legal requirement under the Motor Vehicles Act, 1988, for every Honda City on Indian roads.
It covers damage, injury, or death caused to a third party in an accident involving your car. It does not cover damage
to your own vehicle. While it carries the lowest premium, it leaves your City — even the entry-level SV Petrol MT —
completely unprotected against accidents, theft, or natural calamities.
Comprehensive Insurance (Recommended) Comprehensive car insurance covers
third-party liability and your own vehicle damage — making it the strongly recommended choice for all Honda City owners.
It protects against accidents, theft, fire, floods, earthquakes and other perils. Given that even Honda's most affordable
City variant costs upwards of Rs. 11.99 lakh ex-showroom, comprehensive coverage ensures you are never left with a large out-of-pocket
repair bill. You can also add optional riders for enhanced protection.
Standalone Own Damage (OD) Policy If you already hold a
valid third-party policy from another insurer, you can purchase a Standalone Own Damage policy separately to
cover repair costs for your Honda City. Standalone OD policies became available following IRDAI regulatory changes,
giving car owners the flexibility to choose their own-damage insurer independently of their TP policy.
2026 Honda City Facelift — What It Means for Your Insurance
Honda launched the 2026 City facelift in India on May 22, 2026, with a restructured
variant lineup — SV, V, ZX, and ZX+ replacing the earlier SV/V/VX/ZX structure. The starting price is Rs. 11.99 lakh (ex-showroom, Delhi)
and the top hybrid variant (ZX+ e:HEV) is priced at Rs. 20.99 lakh. Six airbags are now standard across all variants, along with Honda
Sensing Level-2 ADAS (from the V variant), a 360-degree camera (ZX and above), and ventilated front seats (ZX+ only).
For insurance buyers, this means:
Higher IDVs across the board, particularly for the top variants —
raising both comprehensive premiums and potential claim payouts.
Increased repair costs for ADAS sensors and cameras — making Zero
Depreciation cover even more relevant than before. Replacing a front camera unit or radar sensor can run into tens of
thousands of rupees and is subject to depreciation deduction unless Zero Dep is active.
A wider price gap between base and top variants — so choosing an
IDV that accurately reflects your specific variant's current market value is more critical than ever. Avoid arbitrarily
lowering IDV to save on premium.
Honda City Car Insurance Premium — Model-Wise Price Table
The insurance premium for your Honda City depends on the variant, fuel type, IDV and the city of registration. The table below gives indicative premiums for current City variants for brand-new cars registered in
Zone A cities (Delhi, Mumbai, Chennai, Bengaluru, Kolkata, Hyderabad, Pune, Ahmedabad):
Car Model
Ex-Showroom Price (Approx.)
IDV (Approx.)
Zero Dep Add-on
Comprehensive Premium (Bundled)
City SV Petrol MT
Rs. 11.99 Lakh
Rs. 11.39 Lakh
Rs. 2,900 approx.
Rs. 23,000 onwards
City V Petrol MT
Rs. 13.30 Lakh
Rs. 12.64 Lakh
Rs. 3,200 approx.
Rs. 25,500 onwards
City V Petrol CVT
Rs. 14.30 Lakh
Rs. 13.59 Lakh
Rs. 3,400 approx.
Rs. 27,500 onwards
City ZX Petrol MT
Rs. 15.26 Lakh
Rs. 14.50 Lakh
Rs. 3,600 approx.
Rs. 29,500 onwards
City ZX Petrol CVT
Rs. 16.08 Lakh
Rs. 15.28 Lakh
Rs. 3,800 approx.
Rs. 31,000 onwards
City ZX+ Petrol MT
Rs. 16.15 Lakh
Rs. 15.34 Lakh
Rs. 3,900 approx.
Rs. 31,500 onwards
City ZX+ e:HEV CVT (Hybrid)
Rs. 20.99 Lakh
Rs. 19.94 Lakh
Rs. 5,000 approx.
Rs. 40,000 onwards
Premiums are indicative estimates for brand-new cars registered at Delhi (DL) RTO. Actual premiums vary by registration year, variant, fuel type,
IDV chosen, city and insurer. Use the quote tool above for your exact price.
IRDAI Third-Party Premium Slabs for Honda Cars
Third-party (TP) premiums for private cars are regulated and notified by the Ministry of Road Transport & Highways (MoRTH)
in consultation with IRDAI. The TP rates currently applicable for the Honda City are:
Annual Third-Party Premium (Private Cars)
Engine Capacity
Annual TP Premium
Up to 1000cc
Rs. 2,094
1000cc to 1500cc
Rs. 3,416
Above 1500cc
Rs. 7,897
The Honda City's 1498cc engine falls in the 1000cc-1500cc slab,
meaning an annual TP premium of Rs. 3,416.
Important notice: IRDAI has recommended a revision in motor TP premiums — reportedly an average hike of 18%,
with some vehicle categories potentially facing up to 25% — and the proposal is under MoRTH review as of mid-2025. Rates above reflect the last officially notified
figures (MoRTH Notification No. GSR 354(E), March 2024). Verify the current applicable rate with your insurer at the time of purchase or renewal.
Honda Models by CC Slab:
CC Slab
Honda Models
Up to 1000cc — Rs. 2,094 TP
None currently in the Honda passenger car lineup
1000cc–1500cc — Rs. 3,416 TP
Honda City, Honda Amaze, Honda Elevate, Honda WR-V, Honda Jazz
Above 1500cc — Rs. 7,897 TP
None currently in the Honda passenger car lineup*
*The Honda CR-V (above 1500cc) was discontinued in India in 2020. While its re-entry as a CBU import is expected,
it has not been officially re-launched as of June 2026.
How IDV Is Calculated for Honda City
The Insured Declared Value (IDV) is the maximum amount your insurer will pay in case of total loss or theft of your Honda City. IDV is calculated based on the ex-showroom
price minus depreciation, as per IRDAI-prescribed depreciation rates:
Car Age
Standard Depreciation
IDV Retained
Less than 6 months
5%
95%
6 months to 1 year
15%
85%
1 to 2 years
20%
80%
2 to 3 years
30%
70%
3 to 4 years
40%
60%
4 to 5 years
50%
50%
For cars older than 5 years, IDV is agreed upon mutually between the insurer and the policyholder. Higher IDV means better coverage but slightly higher premium.
Always avoid choosing the lowest IDV to reduce premium - it leaves you under-insured in case of total loss.
Honda City Car Insurance Premium by City
IRDAI classifies Indian cities into Zone A and
Zone B for own-damage (OD) pricing. Zone A cities carry slightly higher premiums due to greater traffic density,
accident frequency and theft rates.
Zone A Cities: Delhi, Mumbai, Chennai, Bengaluru, Kolkata, Hyderabad, Pune, Ahmedabad
Zone B Cities: All other cities and towns in India
Estimated Premium for a 3-Year-Old Honda City ZX Petrol MT:
Zone
Estimated Comprehensive Premium
Zone A (e.g., Delhi, Mumbai)
Rs. 13,000 – Rs. 16,500
Zone B (e.g., Coimbatore, Jaipur)
Rs. 11,000 – Rs. 14,000
Premiums vary further based on insurer, IDV, NCB and add-ons selected.
No Claim Bonus (NCB) on Honda City Car Insurance
If you haven't made any claim during a policy year, you earn a No Claim Bonus (NCB) - a discount applied to the own-damage (OD) portion of your premium at renewal.
NCB is one of the most valuable benefits for careful Honda City owners.
Claim-Free Years
NCB Discount
1 year
20%
2 consecutive years
25%
3 consecutive years
35%
4 consecutive years
45%
5 consecutive years
50%
Key NCB Facts:
NCB belongs to the owner, not the car — it transfers when you change insurers.
NCB is lost if you make an own-damage claim during the policy year.
You can protect your accumulated NCB with an NCB Protect Add-on —
especially useful for high-NCB policyholders (45–50%).
Add-on covers for Honda City car insurance
Standard comprehensive insurance can be enhanced with optional add-on covers. The most useful ones for Honda City owners are:
Zero Depreciation Cover (Zero Dep):
At the time of a claim, insurers normally deduct depreciation from parts (plastic, rubber, glass, metal). Zero Dep eliminates this deduction — you receive the full repair or replacement cost without any depreciation cut. Strongly recommended for Honda City under 5 years old. With ADAS sensors and cameras now standard on the 2026 City's
ZX and ZX+ variants, Zero Dep is more valuable than ever given the high cost of these components.
Engine protector cover
Covers damage to the engine and gearbox caused by water ingression, hydrostatic lock, or leakage of lubricating oil — events not covered under standard
comprehensive policies. Particularly important for City owners driving in flood-prone areas.
Return to invoice (RTI) cover
In case of total loss (theft or beyond-economical-repair damage), RTI pays you the original invoice value of your Honda City — not just the
depreciated IDV. Strongly recommended for new City cars in their first 1–3 years.
Roadside assistance (RSA)
Provides 24x7 help if your City breaks down anywhere — towing, battery jump-start, flat tyre assistance, emergency fuel
delivery and more. Available from most insurers at a minimal additional premium.
Key and lock replacement cover
Covers the cost of replacing lost or damaged car keys and locks — a
practical and affordable add-on for urban City owners.
Tyre protection cover
Covers repair or replacement of damaged tyres and tubes due to accidental damage,
bulging, or burst — expenses not covered under standard comprehensive policies.
Consumables cover
Covers the cost of consumables like engine oil, coolant, nuts and bolts, grease and other items that are usually excluded from standard claims.
Useful for City owners who want maximum claim settlement without deductions.
NCB protect
Allows you to make one own-damage claim in a policy year without
losing your accumulated NCB. Highly recommended for City policyholders with 35–50% NCB.
What Is Covered And Not Covered Under Honda City Car Insurance?
Covered (Inclusions)
Accidental damage to your Honda City
Theft or total loss of the vehicle
Damage due to fire, explosion, or self-ignition
Damage due to natural calamities — floods, earthquakes, cyclones, storms
Man-made calamities — riots, strikes, terrorism
Third-party bodily injury or death
Third-party property damage
Personal accident cover for the owner-driver (compulsory — Rs. 15 lakh cover)
Transit damage (road, rail, air, inland waterway)
Not Covered (Exclusions)
Normal wear and tear of parts
Mechanical or electrical breakdown
Damage while driving without a valid licence
Damage while driving under the influence of alcohol or drugs
Damage due to war, nuclear risks, or radioactive contamination
Consequential losses
Claims arising from use of vehicle for hire/reward (unless commercial policy)
Depreciation on replaced parts (unless Zero Dep add-on is active)
How to Buy or Renew Honda City Car Insurance Online at SMC
On the homepage, click the insurance category you want - "Car Insurance".
Step 3
Enter your registered vehicle number and click on "View Quotes".
Step 4
The upcoming prompts will ask you for your vehicle details like brand, model, fuel type, variant and respective RTO.
Step 5
Once given, you can check the policy start and end date, confirm NCB details and view quotes from various insurers.
Step 6
On submission, SMC will display a list of available plans or quotes from partner insurers. You can view plan details like coverage, benefits, inclusions/exclusions, add-ons (if available), insured declared value (for vehicles), etc.
Step 7
Compare the available options and consider things like third-party vs comprehensive, add-ons (e.g. zero-depreciation, roadside assistance) as per your needs.
Step 8
Once you select the plan you want, click the button labeled "Buy Now".
Step 9
Fill out your personal details as required (owner name, address, contact, driving licence/RTO info). Ensure all details are accurate.
Step 10
Make the payment via the online gateway. After payment confirmation you will receive your policy document electronically (through email or website account).
Step 11
Once everything is processed, your insurance policy becomes active. Keep a digital or printed copy of your policy/certificate for future reference.
Throughout the buying process, you have the option to contact
the SMC Team for any kind of support you need.
Renewing Existing Insurance:
To renew insurance you will have to follow a similar process as well:
Enter your registration number above.
Your existing policy details are fetched automatically.
Review your current insurer's renewal quote.
Compare with other insurers for a better rate.
Apply your NCB discount and choose add-ons.
Pay and get instant renewal — no inspection required for timely renewal.
Why Buy Honda City Car Insurance Through SMC?
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General Insurance, ICICI Lombard, New India, SBI General and more in one place.
100% Online, Zero Paperwork: Buy or renew in under 2 minutes from your phone or laptop.
Dedicated Claim Support: SMC's in-house claims team assists you from intimation to settlement.
4.1/5 Google Rating: Verified customer reviews reflect our service quality.
Instant Policy Issuance: Policy document sent to your email and WhatsApp immediately on payment.
Summing Up
Choosing the right insurance for your Honda City ensures that it stays protected on every journey. Whether you opt for a budget-friendly third-party policy to meet legal requirements or a comprehensive plan with the right add-ons to secure your City's full value, SMC Insurance makes the process effortless. Compare quotes from over 30 leading insurers, leverage your No Claim Bonus and secure instant digital protection
for your Honda City today — with zero paperwork and complete peace of mind.
Disclaimer: The information provided on this platform is intended for general awareness and educational purposes. While every effort is made to ensure accuracy, some details may change with policy updates, regulatory revisions, or insurer-specific modifications. Readers should verify current terms and conditions directly with relevant insurers or through professional consultation before making any decision.
All views and analyses presented are based on publicly available data, internal research, and other sources considered reliable at the time of writing. These do not constitute professional advice, recommendations, or guarantees of any product's performance. Readers are encouraged to assess the information independently and seek qualified guidance suited to their individual requirements. Customers are advised to review official sales brochures, policy documents, and disclosures before proceeding with any purchase or commitment.
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Smooth Process
I purchased my car insurance from SMC, and it has truly been worth it. When my car caused third-party damage, I simply shared the photos and videos with them. Thanks to Sachin, the customer executive, my insurer settled the claim within just a week. Really satisfied with the service!
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Yes, under the Motor Vehicles Act, 1988, every Honda City on Indian public roads must carry at least a valid third-party liability insurance policy. Driving without insurance attracts a fine of up to Rs. 2,000 for the first offence and Rs. 4,000 for repeat offences, along with possible vehicle impoundment. Given the Honda City's on-road value, a comprehensive policy is strongly recommended over bare-minimum third-party cover.
The legal minimum is a third-party (TP) policy. For new Honda City cars, a 3-year bundled TP policy is mandatory at purchase. For existing City cars, annual TP renewal is required. While TP is the legal floor, it leaves your Honda City completely unprotected against own damage, theft, floods, and fire. Comprehensive insurance is strongly recommended for a car at the City's price point.
IDV (Insured Declared Value) is the ex-showroom price of your Honda City minus IRDAI-prescribed depreciation. A Honda City priced at Rs. 11.99 Lakh (entry SV, 2026 facelift) that is 2 years old would carry an IDV of approximately Rs. 9.59 Lakh (after 20% depreciation). Always choose an IDV close to the actual market value — setting it artificially low saves a small premium but severely under-insures your City.
Yes, No Claim Bonus is fully portable across insurers. You need an NCB certificate or your previous renewal notice to carry it forward. Since NCB belongs to the owner — not the car — it also transfers if you sell your City and buy a new vehicle. NCB can cut your OD premium by up to 50% after five consecutive claim-free years, making it one of the most valuable benefits for Honda City owners.
Yes, damage caused by floods, waterlogging, cyclones, or storms is covered under a comprehensive policy. However, engine damage caused by hydrostatic lock — when water enters the engine while driving through a flooded road — is typically excluded unless you have added an Engine Protector add-on. Honda City owners in cities like Chennai, Mumbai, and Bengaluru should strongly consider this add-on during monsoon season.
If your Honda City policy lapses by more than 90 days, the insurer will require a pre-acceptance physical or digital inspection before renewing. You also forfeit all accumulated NCB — potentially losing up to 50% OD premium discount built over years of claim-free driving. For lapses under 90 days, most insurers renew without inspection. Always renew before the expiry date to avoid inspection hassle, NCB loss, and the legal risk of driving uninsured.
Standard comprehensive insurance deducts depreciation on replaced parts at claim settlement — up to 50% on
plastic, rubber, and metal components. Zero Depreciation (Zero Dep) add-on eliminates
this deduction entirely, so you receive the full repair or replacement cost.
For a Honda City under 5 years old, Zero Dep can significantly boost your claim payout —
especially for bumper, headlamp, ADAS sensor, or panel replacements. Given the 2026
facelift's addition of 360-degree cameras and ADAS hardware, the cost of replacing these
components in an accident can be substantial, making Zero Dep particularly worthwhile.
Every Honda City insurance policy mandatorily includes a Compulsory Personal Accident (
CPA) cover of Rs. 15 lakh for the owner-driver. This covers accidental death or permanent total disability
while driving the City. The CPA base premium is Rs. 750/year; with 18% GST, the effective cost is
approximately Rs. 885/year, and this is bundled into your policy. Additional PA cover for
co-passengers can be added as an optional rider. Note that if you already hold a standalone
personal accident policy with a sum insured of at least Rs. 15 lakh, you may opt out of the bundled CPA cover.
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