When you renew your vehicle insurance policy on time, it keeps you from getting stuck into any financial or legal implications. It saves your money, your time and frees you from mental stress.
In India, you will have to face various legal & financial issues if you are found driving or riding your vehicle on the roads without a proper vehicle insurance policy. According to the Motor Vehicles Act, as of 2019, it is compulsory to have a 3rd party insurance for any vehicle on the public roads. So no matter what, vehicle insurance is compulsory as per law.
Also, if you don't renew your vehicle insurance policy within the given time period, it lapses and is considered no longer valid. Hence, when you raise claims under a lapsed policy, they are not approved and accepted by the insurance company. Additionally, if you forget to renew your policy, you would be violating the motor laws of our country. As a result, you might have to pay heavy fines or undergo some legal procedures as per the law.
In this article, let's look at various factors that will help you to understand the main reasons why you must renew your vehicle insurance on time. You also need to consider the risks your vehicle will have to face during this Diwali. Accidental damage to your vehicle is highly likely to happen. Hence, renewing your vehicle insurance should be on top priority. You can even know more about how you can renew your vehicle insurance in a few minutes by visiting our Motor Insurance Renewal Section.
To Avoid Paying High Premium
If your vehicle insurance policy lapses because you didn't renew it, then renewing the lapsed policy or purchasing a new policy can result in paying higher premiums. Additionally, renewing your policy after the policy renewal due date proves to be critical. You’ll be required to undergo different mandatory procedures as per your vehicle insurance company. Hence, you must avoid such risky situations by renewing your policy on time. Some insurance companies send your timely digital reminders on renewal dates via sms or email. You should keep a watch on your inbox.
For An Easy Policy Renewal Process
It's highly probable that your vehicle will be subject to inspection when you attempt to renew your vehicle insurance plan after a gap. Such inspection procedures will create unnecessary inconvenience to you. Additionally, during the inspection if any damages are found, it will reduce the IDV - Insured Declared Value of your vehicle. To avoid such events, renew your vehicle policy on time which will ensure that you have a hassle-free claims process.
To Avoid Any Legal Issues
If you have a vehicle insurance policy that has expired, it is almost like not having a vehicle insurance policy. Traffic officials will catch you, if you are driving or riding your vehicle with an expired insurance policy. After being caught by the officials, you will have to undergo the required legal process. Things can go worse if your vehicle meets with an accident or you sustain injuries, you will have to pay for all the expenses from your own pocket.
To Avail Continued Coverage
You can recover any monetary losses in case of any unfortunate events related to your vehicle if you renew your policy on time. Moreover, renewing your policy on time ensures that you have the continued coverage without any break. This helps you to enjoy various benefits like third party property damages cover, self-injury cover, coverage for damaged vehicle, cashless repair facilities, NCB - No Claim Bonus & much more.
To Avoid Losing NCB - No Claim Bonus
NCB stands for No Claim Bonus that a vehicle insurance company provides when you don't raise any claims during the active policy year. However, you can avail the benefits of NCB only when you renew the vehicle insurance policy at the given time of renewal. In case you don't renew your policy before the expiry date, you don't get this benefit as it invalid.
Protect Yourself From Unforeseen Loss On Your Car
No one can guarantee that a vehicle will never meet with an accident. No one can even assure that the vehicle will never run into any risk of damages, thefts & other bad events. Sometimes your vehicle may be parked somewhere under a tree & a branch can fall, damaging the vehicle. Your vehicle can also sustain damage due to rains or even vandalism. In such cases, if you have a policy that has expired, you will have to pay for the heavy losses out of your pocket. You may even lose the vehicle to the damages in such a way that you won’t be able to repair it. Renewing your vehicle insurance policy comes as a boon in such accidental situations.
What’s The Bottom Line?
Renewing your vehicle insurance policy on a timely basis is extremely important. It keeps you away from any sort of financial or legal implications. Additionally, when you renew your policy before your grace period, it helps you avoid various other liabilities saving you a lot of time, money and energy. To know more about how you can renew your vehicle insurance in a few minutes by visiting our vehicle insurance renewal section.
Also Read: Renewing Car Insurance Policy Things to do Right Away
