4 Things to Keep in Mind When You Renew a Car Insurance Policy

 

A month before your car insurance policy comes to an end, you usually get a reminder to renew your policy from your agent. 

 

As you know, renewing third-party insurance is mandatory, according to the Motor Vehicle Act of 1988, but most of you would also look at add-on covers or own damage to vehicle policy to protect your car in case of an untoward incident.

 

1. Look at the type of policy you want for your car

You can opt for your damage to your vehicle that helps you stay covered against damage caused to your vehicle due to accidents like fire, theft, etc. 

 

In case of an accident, your damage cover compensates you for the expense to repair or replace parts of your damaged vehicle.

 

You can also look at add-on covers which include depreciation cover, passenger assist, consumable cover, engine safe cover, GAP value cover, key loss cover, and roadside assistance cover.

 

2. Read policy wordings

Policy wordings are different for different car insurance policies. So, the cover you have for the damage to your vehicle will be different from an add-on insurance cover. 

 

Choose the type of policy you want for your vehicle and read the policy wordings carefully before you buy it.

 

3. Renew your policy on time

Many policyholders tend to not renew their existing policy and they lapse. According to the new IRDAI rules, if premiums aren’t paid on time, policyholders stand chance to lose no claim bonus (NCB) that they accumulated when the policy was in force.

 

To sum it up, while third-party car insurance is mandatorily needed to be renewed annually, you also need to constantly check on the policies you have purchased for your vehicle to ensure you don’t struggle in case of damage.

 

 

4. Use our customer support

We are here to help you and if you have any queries about your policy, so just contact us.

 

Our objective is to make the motor claims and renewal process as efficient and hassle-free as possible for the policyholder.

 

 

Disclaimer: For more details on risk factors, terms & conditions please read the sales brochure carefully before concluding a sale. The discount amount will vary subject to vehicle specification and place of registration.

 

 

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Garvit Chaharia is the Founder of Deeva Ventures & has helped more than 10,000 investors manage their Wealth, by providing disciplined advisory on Portfolio Management, Risk Management & Debt Management.