If you own a car, then you will definitely be the owner of an insurance policy as well. An insurance policy for your car is both a necessity during an accident as well as a legal liability. If you want to measure the pros and cons of buying an insurance policy, the scale will always be tipped to the pros side.
If you are perspiring over the fact that you don’t own a policy or your policy has expired, then you have stepped onto the right page. Here are the reasons why it is essential to renew your car insurance policy on time and how you can do it.
- Renew on time or lose NCB – No Claim Bonus is the bonus insurance companies offer you for all the years you have gone without raising a claim. The longer you go without raising the claim, the higher the NCB gets. But if you fail to renew your policy on time, then you will lose this NCB streak. You will have to build up your NCB bonus once again. You can take advantage of this bonus through a reduced premium amount or an increment in the IDV amount.
- Increased premium the next time you renew – If there is a break in your insurance tenure, then chances are the next time you take a new policy, the premium will be higher than what you were paying before. Insurance companies mostly bump up premium amounts when there is a gap in the tenure. Thus, in the long run, you will be paying more if you don’t renew on time.
- Impossible to raise claim during the expired period – If you ever land during the gap period in which your policy has expired, and you haven’t yet bought a new one, you will never be able to claim the insurance amount. You can only claim the IDV amount when it is under the valid insurance coverage period.
- An inspection would be required if there is a gap in the coverage period – The next time you want to buy a new policy, after your previous policy has expired, then you will be asked to submit your vehicle for inspection. This is a common norm in most insurance companies. This is an added hassle that you can easily avoid if you renewed your policy on time.
- Legal necessity – It is illegal to drive your car without a valid insurance policy. If caught, you will have to pay a fine of Rs.2000/- for a first-time offence and Rs.4000/- for subsequent offences.
How to quickly renew your car insurance policy?
The key to a quick car insurance renewal is to buy car insurance online. For a process that could take you weeks or months through an agent or an insurance office, buying car insurance online will only take you a matter of minutes.
When you buy from an insurance agent, you will have to go back and forth regarding the right insurance policy, then submit the necessary documents with him, wait for it to get processed, iron out any discrepancies, to finally get your policy. It is too much hassle and time-consuming.
Furthermore, you will also have to give an extra fee for the insurance agent for acting as a middleman. You can completely do without it if you buy the policy online. It is straightforward and simple.
Steps you can take for the timely renewal of insurance policy
Lest you forget your expiry date, here are some tips to ensuring you renew the policy on time.
- Set reminders on the phone or on the cloud: If you are not living under the rock, chances are you would be having a phone, if not a smartphone. Take the help of the calendar facility available in even the most basic phones to keep a yearly reminder on the payment. If you have a smartphone, there is always Google and Siri to your help.
- Ask your insurance company to remind you – Most insurance companies have the facility to remind you through SMS, E-mails, or pre-recorded calls when your policy nears expiry date. Ask for the service and en-roll into it if you are a particularly forgetful person.
Can you still renew your car insurance after the expiry date?
Yes, you can still renew your car insurance policy even after the expiry date. Most insurance companies have a safety period after the expiry date within which if you renew, you will still get to keep the NCB. But if you have missed that date as well, renew the policy as soon as possible.
You might have to book a vehicle survey appointment with your car company or submit your car for inspection so that the insurer can verify the car is in good condition.
How to renew your expired car insurance?
Renewing your expired car insurance policy is relatively easy. You can quickly renew expired car insurance online with Digit. Follow these steps:
- Visit the website and enter your car’s registration number. Alternatively, you can also enter in the Vehicle’s Make, Model, Variant, Registration Date, and the city you drive in. Click on the “Get Quote” option.
- Chose the right policy as per your requirement. You can choose comprehensive coverage or a third-party insurance policy.
- Provide the company with the details of your previous insurance policy. You should also let them know of the claims you have filed in the past years.
- Depending on the policy you have chosen, you can further customise it with add-ons and IDV amount. In the final stage, your premium amount will be generated. Complete the payment and procure the necessary documents online.