| Indian car market is growing progressively and is | | | | a huge variety of consumers in the industry. These |
| considered to be the fastest growing markets of the | | | | companies offer different policies depending on road |
| world. With the passage of time many new cars and | | | | condition, traffic patterns, local cost of car components, |
| introductions have entered the market and today the | | | | and actual cost of the car. Depending on these factors |
| car market in the country is packed with a fleet of | | | | the policies differ from company to company and |
| cars belonging to different segments. | | | | therefore one specified car model can have varied |
| In the midst of so many cars plying on roads what is | | | | prices in different regions of the country. |
| most surprising is the fact that one particular car model | | | | Furthermore, road tax varies from state to state as it |
| differs in its price in various states of the country. The | | | | is controlled by the local or central government. Every |
| basic components of car prices in India are ex-factory | | | | car owner has to pay tax to the government to drive |
| price, ex-showroom price, and ex-road price. | | | | the car on road. The primary reason why the |
| Ex-factory price is the price at which a car | | | | government asks for road tax is to have a better |
| manufacturer sells the particular car model to the | | | | control on traffic flow. The imposed tax is subjected to |
| dealer, ex-showroom price is the price at which a | | | | the traffic regulation, government rules, and road |
| dealer sells the car, and ex-road price of the car is the | | | | condition of a specified state. It is believed that at |
| price at which a car buyer drives away the car. | | | | present Karnataka Government imposes the highest |
| When a car dealer or seller provides an Indian car | | | | road tax on automobiles. |
| price quote to the buyer, he also adds other key | | | | Used cars prices India are also subject to the same |
| components of car prices to the actual ex-showroom | | | | rule of variation. When it comes to buying a used car |
| price of the particular car model. These key | | | | the used car owner may already have paid the |
| components are insurance, road tax, handling, logistics | | | | insurance for a specified annual and the road tax is |
| charges, et al. that differ from state to state and from | | | | paid only once. So, the used car buyer need to pay |
| dealer to dealer. New car prices India vary widely | | | | these extra charges but if in case the insurance policy |
| based on differences in road taxes across states. | | | | has collapsed he or she has to pay for the used car |
| Car insurance is mandatory in India but he rate of | | | | insurance. If in case the buyer desires to take the used |
| insurance differ from state to state. Different insurance | | | | car to some other state then he or she also has to |
| companies offer different schemes and policies to suit | | | | pay the road tax. |