A car insurance policy is a mandatory cover. Do buy at least a third-party cover (though the comprehensive cover is recommended) and also ensure that you get it renewed at the end of each policy year.
Loss or Damage: Coverage against loss or damage to your vehicle caused by accident, theft, fire, explosion, lightning, riots, strikes, acts of terrorism, and natural calamities like flood, earthquake or cyclone.
Financial Liability: Coverage against financial liability caused by injury/death of a third party or damage to their property.