Monday, January 07, 2019
By CarKhabri Team
Know how to proceed with car insurance renewal if your policy expires
Today’s busy lifestyle has got everyone chasing deadlines. Be it office work or household-related chores, people’s task list is ever-increasing. Amidst such a scenario, it is natural for you to forget your car insurance renewal. Some might even remember it but might be unable to perform the task before the car insurance expiry date. However, one must not take this lightly. An expired policy means you do not have an active car insurance policy. And driving a car on Indian roads without an active car insurance policy is a punishable offense. Read ahead to know how to proceed with car insurance renewal if your policy has expired.
Note that you should refrain from driving your car if you are aware that your car insurance policy has expired and should renew car insurance as soon as possible. Listed below are three
scenarios related to car insurance expiry.
● Days after expiry
If only a few days have passed after the due date, you can renew car insurance without a lot of roadblocks. However, if your car is involved in any kind of accident during the time you were uninsured, the insurance company is not liable to settle any claims as the policy will be termed as invalid. You shall also face penalties if caught driving without a valid car insurance policy even for a day.
● Weeks after expiry
Your insurance company might want to inspect your car before insuring it if weeks have passed after the policy’s expiry date. Some insurance companies might wait longer while some have a shorter time frame regarding car inspection.
Car insurance companies inspect cars because there has been a break in the policy. Usually, insurance companies assign an inspector that visits your place to conduct a thorough car inspection. The condition of the car is assessed and the premium is decided accordingly. Note that the insurance company might decide against providing a Comprehensive plan if the inspector’s report turns out to be negative.
● Months after expiry
Apart from the consequences mentioned above, things might get more complicated if you do not renew your Comprehensive car insurance even after months after expiry.
You are awarded a No Claim Bonus (NCB) by your insurer if you do not raise a claim during the policy period. This NCB can go as high as 50% if no claim is raised for a consecutive period of five years. NCB’s importance is felt while renewing your policy, as you get the applicable discount on car insurance premium.
If you fail to renew your car insurance policy even after 90 days have passed, your NCB (if applicable) will reset to zero. Car inspection might be inevitable in such a case.
Online Car Insurance Renewal
It is better to opt for online car insurance renewal before the expiry to avoid the above-mentioned hassles. Car insurance renewal is an easy process. You can renew car insurance online in a matter of just a few clicks.
One should review the car insurance policy and the insurer before going for car insurance renewal. You can choose a different car insurance policy or a car insurance company while renewing car insurance. Your accumulated NCB will stay active if you choose to renew your car insurance policy from a different insurer. You do not need to stay loyal to your car insurer if you had a bad experience with the company. Nowadays, there are a lot of new digital-first insurance companies that offer low-priced car insurance without compromising on the coverage. Review, research, and renew.