According to the law in India, it is mandatory for a car owner to have his car insured. You can also get the added convenience of car insurance renewed online nowadays. Even then, there are plenty of cars in India that have not been insured by their owners.
In some cases, car owners have been found to have fake insurance policy papers or outdated, old policy papers. There are more than thirty percent cars in India that are not insured, or have expired insurance. Make sure that you aren’t a part of this unfortunate statistic. Get your car insurance renewed online on time.
Tips to Keep in Mind While Renewing Your Car Insurance
Here are a few handy tips you can use while doing car insurance renewal online.
- Know the Type of Insurance Policy You are Going for
There are two types of car insurances available in India – a third party car insurance policy and a comprehensive car insurance policy. As per laws in India, it is compulsory for a car owner to have his car insured with at least a third-party car insurance policy.
However, this insurance does not cover the cost of the policyholder’s car in case of an eventuality such as accident. This is the reason why people opt for a comprehensive insurance policy. The premium to be paid is more here, but this policy covers the insured person’s car as well.
- Check if the Insured Declared Value (IDV) is Correct
IDV or Insured Declared Value is the basic amount which is fixed by the insurance provider for a particular year’s market value for the policyholder’s car. The assured IDV is paid off to the insured person in case the car gets stolen, or in case of a total loss of the car. You need to keep IDV as close to market value of the car for maximum benefits.
- Keeping Track of No Claim Bonus (NCB)
In case a policyholder does not raise any claims from his insurance for a whole insurance cycle, he is eligible for a No Claim Bonus from the insurance company during the renewal. The range of NCB varies from 20% to 50% starting from the end of the first year, to a maximum of 5 years, respectively. If a person has earned NCB, the percentage is deducted from his regular premium and he is only to pay the balance.
- Car Insurance Portability
If in case a policyholder is not satisfied with his current insurer, he can switch his insurance policy provider at the end of the insurance tenure. All the benefits earned by the person will be ported along with his insurance too. Hence, a person can keep a look out for other companies providing various perks which can be beneficial for him.
- Checking for Additional Add-Ons or Riders
Along with your basic car insurance, a person can also opt for riders which are basically add-ons to the car insurance. These make your insurance more comprehensive and cover a much wider scope of problems, in case your car goes through one.
Do keep in mind these tips when you set out to renew your four-wheeler insurance. These pointers can help you choose the right insurance policy in the future when you renew your car insurance.