When you buy a car, its insurance is a mandatory requirement. But as time passes, many individuals choose to ignore on renewing this policy. Some reasons that make them skip its renewal is they are safe drivers and need no insurance, or insurance is an expense that is unnecessary. However, you must not believe them.
The Motor Vehicles Act makes it compulsory to have a 4 wheeler insurance policy for all cars registered in the country. Thus, legal compliance is one of the many reasons why you must ensure renewal of your car insurance policy. Whether your buy a comprehensive or third party car insurance online renewal is possible. Thereby offering the convenience to renew it from your home. Considering the present situation where social distancing is required and most times you need to be at home for the safety of you and your loved ones, car insurance is something that shouldn’t be ignored. Here are a few more reasons why you should choose to renew your car insurance coverage despite reduced travels:
No-claim bonus: One of the reasons to make consistent renewal of your car insurance plans is to accumulate the no-claim bonus. It is a feature offered for all comprehensive plans wherein the insurance companies pass on the benefit in form of reduced premiums when no claims are made in a policy tenure. This way, even if you are not driving your car much during the pandemic, renewal of the policy can help to accumulate such no-claim bonus lowering the premium and offering protection to your car. The amount of this bonus starts at 20% and goes all the way up to 50% for every consecutive claim free tenure. However, when calculating the amount of concession, keep in mind the bonus is only as a percentage of the own-damage premium and not the third-party premium. You can visit the official website of IRDAI for further details.
Protection against perils: Vehicles are exposed to various perils not being limited to accidents. Natural disasters like cyclones, hurricanes, earthquakes, flooding are some of them. These calamities not only damage human life, but also property which includes vehicles. With a comprehensive car insurance policy, damages occurred due to such natural calamities can be reimbursed from the insurer. Apart from natural disasters, man made perils are also covered under a comprehensive policy’s scope. So, ensuring timely car insurance renewal online will ensure protection from these unexpected events. * Standard T&C Apply
Fires, Theft and Vandalism: Even if no calamities are occurring, there is always a risk to your car. Theft and vandalism are an example of such risks. Not only these events result in damages to your car, but also face hefty financial losses. Moreover, fires can occur at a place without any fault of yours. If your car happens to engulf in such flames, it may mean steep repair costs. To avoid it, a car insurance policy can come handy. But an expired is equivalent to having no insurance cover. Thus, you must ensure timely renewals. * Standard T&C Apply
To avoid in-person inspection: During the times to practice social distancing, missing your car insurance renewal date will mean to get your car inspected from an insurance official. To avoid such an inspection, it is best you renew it online before its expiry.
These are some of the reason why you must renew your policy other than compliance to the law. Make sure to keep them in mind the next time your renewal date is closing in.
Also remember that insurance is the subject matter of solicitation. For more details on benefits, exclusions, limitations, terms and conditions, please read sales brochure/policy wording carefully before concluding a sale.