Now car insurance renewal is easy even for a lapsed policy from United India Ins

Posted by somesh mane on August 28th, 2018

Using Vehicles with a Lapsed Policy

A car insurance plan is a quintessential part of our car as it is mandated by law. All car insurance policies come with a term of one year after which they require renewals. It is at the time of renewals that most of us dilly-dally. This dilly-dallying is not wise. On-time renewal of car insurance policies is important. Here’s why:

·         Expired car insurance policy is a legal offence

The Motor Vehicles Act, 1988 has mandated every vehicle to have an active insurance cover if it is being driven on Indian roads. As such, when your car insurance policy expires, the cover becomes inactive. Driving a car without a valid insurance cover is a legal offence. If you are caught violating the law you would face heavy penalties. So, to avoid being entangled in legal violations, your car should have a valid insurance cover at all times.

·         You shoulder the financial risk of any damages caused or suffered

The United India insurance or any other car insurance policy covers you against any financial liability you incur when your car causes bodily injury to any third party or damages any third-party property. Moreover, any injuries suffered by you or any damages faced by your car are also covered under a comprehensive car insurance plan. Thus, you are free from any financial obligation which might arise out of possible accidents and mishaps. If your car insurance policy expires, the coverage ceases. In that case, you would be financially liable to pay for any damages caused to third parties or any damages suffered by you. These financial liabilities are considerable. So, to protect your pockets from such heavy financial liabilities, on-time renewals are insisted upon.

·         The subsequent premiums might be higher

Whenever you renew your car insurance policy, you are always asked whether your earlier policy has expired or not. For instance, United India Insurance will ask you this question to determine your premium. This is because if your policy renewed in time, United India Insurance will give you the policy at lower premiums than policies which are not renewed on time. That is why, when you mention that your existing policy has lapsed, you might be required to part with higher premiums.

How to Renew a Lapsed Policy

The biggest loss of your policy getting lapsed is that you could miss out on all your accrued No Claim Bonus (NCB). A no claim bonus is given to the policyholder for every claim-free year in the form of discounts on their next year’s premiums. These discounts start at a lower rate and increase with every passing claim-free year.

Contact your insurance agent

You should contact your agent at the earliest. It is best to approach an agent who works for your insurance company. For instance, if you have United India Insurance then the company agent would have expertise in the United India Insurance by laws, and might be able to reinstate your policy or even prevent such a situation from taking place where you have to pay a penalty.

Don’t drive until the policy is renewed.

When you drive with a policy which is expired, you put yourself at great risk. You can never anticipate when you might be in an accident – major or minor, and in such an event, you would have to foot the bill for not only your own car but for that of any third party involved as well.

Decide on the policy

Since it’s illegal to not have car insurance, renewing your policy online might be a good idea since you might be able to have your policy renewed within a couple of hours. United India Insurance and many other insurance companies are providing fast online procedure with minimum hassles. If you want to buy a new insurance plan, it is a good time now to conduct research and assess different insurance plans before settling on a policy. Use an online comparison tool on insurance aggregator websites like Coverfox.com to make the process easy for yourself.

Keep your documents ready

Once you have decided on the policy, you should contact the insurer to find out the documentation needed. You should keep your previous year’s policy handy, as well as a copy of the Registration Certificate.

Set up an appointment for vehicle survey

For instance, your United India Insurance for car has expired. Now, United India Insurance will arrange for a representative to understand any pre-existing damages on the car before your eligibility is approved for motor insurance. You ought to ensure that you have set up an appointment at the earliest so as to avoid further delay and increasing costs as this inspection is chargeable in case of many insurance companies.

The surveyor will decide whether you qualify for insurance based on the condition of your car. If the pre-existing damage is significant, you might not even get insurance. If damages are minor, that area might not be included in the coverage of the policy.

On-time renewals, therefore, are necessary both from the legal and financial point of view. They are legally necessary and financially rewarding too. So, be punctual. Don’t let your car insurance policy lapse. Renew it on time and enjoy the benefits. Here are some tips on car insurance renewals.