To protect yourself against car insurance damages, here’s how you can renew your car insurance policy immediately.
Considering the busy lifestyle we tend to live in, it is easy to miss out on renewing car insurance. Though there may be various reasons as to why you would miss out on renewing car insurance, as per the law renewal of policy is mandatory under the Motor Vehicles Act, 1988. You must renew your car insurance policy on time to avail the desired coverage in case of accident, theft, man-made or natural calamities. To protect yourself against car insurance damages, here’s how you can renew your car insurance policy immediately.
Importance Of Car Insurance Renewal
Third-party coverage:
Car insurance protects you against damages, death, or disability caused to a third party or property. This type of insurance cover is mandatory as per the law.
Comprehensive coverage:
With a comprehensive car policy, you get coverage for your car as well as the third party.
Avoid legal trouble:
Driving without a valid car policy can lead to legal implications.
Avoid financial trouble:
In case you cause damages to a third party or property, not having a valid car policy can be financially troublesome as you would have to bear the expenses out of your pocket. In case even if your car requires repair, non-renewal of a comprehensive car policy can also lead to an increase in out of pocket expenses.
No coverage during the grace period:
After the policy expiry, insurance companies offer you 30 days within which you can renew your car policy. If your car gets damaged during this period, you cannot raise a claim.
Increase in premium:
In the case of policy expiry, the premium will be higher in comparison to the non-expired policy.
Here’s How You Can Renew Your Car Insurance Instantly
Instant car-renewal after policy expiry
It is possible that despite reminders from your car insurer, you may miss out on renewing the policy. In case you renew your policy instantly there are no major penalties. It is best to not drive a car with an expired policy to avoid facing any legal or financial trouble. In case of instant renewal after expiry, the insurance company may not even inspect the car or increase the premium.
Renewal of car insurance policy after a grace period
Insurance companies offer you a grace period of over 30-90 days within which you can renew your car policy. However, this period may vary from insurer to insurer. During this period, your vehicle is not eligible to get any coverage. You can simply renew the policy without incurring any additional premium or missing out on the NCB benefits.
Renewal of car insurance after 90 days of policy expiry
In case you don’t insure your car within 90 days of policy expiry, then you are at risk of losing out on the no claim bonus benefit and it can even lead to inspection of the car. In the case of car inspection, the premium can be increased if the surveyor notices any damages caused to the vehicle. In case of driving a car which is uninsured after 90 days, you are not entitled to receive any coverage and can even get into legal trouble in the event of damages caused to a third party or property.
Typically, insurance companies do send out renewal reminders via various channels like emails, SMS, calls, etc. asking customers to renew their policy. Ideally, it is best to renew car insurance online as you get the policy copy by email instantly. To avoid missing out on the renewal of car insurance, it is best to set reminders on your calendar or phone to ensure you and your car are always covered.
Also Read: Documents Required For Car Insurance Claim
