Renewing your car or bike’s insurance policy is not a choice but a compulsion by the law.
Driving your car or riding a two-wheeler without a valid insurance policy is a legal offence in India as per the new Motor Vehicle Act 2019, and it attracts hefty fines from Rs. 2000 and/or imprisonment of up to 3 months. To avoid paying a fine, it is important to renew your policy on time.
We share some key points which could help you get the best out of your auto insurance policy during renewals.
Do your research
In the new digital era, every auto insurance company has a website which allows one to check the renewal premium for your car & two-wheeler insurance. One should do their research before renewing by checking on top 3-5 insurance companies, their benefits, the premium to be paid and Insured Declared Value (IDV).
One can also research on 3rd party portals which allow to compare policies and choose the one that fits your need.
Select the right plan depending on our usage
Several plans are starting with the Standalone insurance, third-party insurance and comprehensive insurance. While third party is the most affordable of all and is mandatory as per law, the comprehensive plan provides maximum coverage benefits which offer a broad coverage against all possible damages arising from a variety of risks.
Add Ons
Additional coverage helps to enhance your vehicle insurance coverage protection further with our wide range of add-on covers such as:
Nil Depreciation (Zero Depreciation cover), No claim bonus (NCB) retention cover, Invoice Protection cover, Engine Protect cover, Consumables Cover, Key Protect Cover etc.
We recommend considering a Zero depreciation cover if the vehicle used regularly for commuting or travelling extensively on highways.
During renewals, one could try to include the Add-Ons provided the insurance company is offering good discounts this is especially useful when buying Car Insurance Online.
Cashless support service
It’s recommended to go with the insurer that provides cashless support, especially when premium bikes & cars are taken into consideration.
NCB
No Claim Bonus’ (NCB) is a discount offered on Own Damage (OD) premium for not claiming on your insurance during the policy period. The No Claim Bonus can be earned starting from 20% and go up to a maximum of 50%. The NCB can be transferred, when you buy or sell an old vehicle or renew your vehicle insurance from another insurance provider.
Insured Declared Value (IDV)
Insured Declared Value impacts the premium amount directly. The higher the amount, the higher the premium. The IDV is the insurance value one would get in the vehicle is underwritten for a total loss. IDV also helps to determine the residual value of the vehicle. The lower the IDV value for your vehicle the less the premium to be paid. However, we strongly recommend to have IDV as per guidelines as it is the value the insurer can compensate you in case of total loss or theft.
Renew Your Policy on time
Renewing the policy online is simple and efficient. At the time of renewal, you can switch your insurance to suit your specific needs.
