Things to remember while doing car insurance renewal

Buying four-wheeler insurance is compulsory if you seek to drive on Indian roads. Your insurance policy should always be valid as you might need to produce them before the traffic officer along with your license. As such, it is essential to renew car insurance timely. By doing so, you receive round-the-clock coverage against different incidents like damage or loss of vehicle along with roadside accident coverage and more.

But before you do car insurance renewal, you need to consider some factors. They are as follows –

Renew by yourself

Today, it is possible to do online car insurance renewal by yourself. There is no requirement of a middleman such as an agent for the same. Insurance providers generally offer details on the process of online renewal in the insurance document. Visit the insurer’s portal, select the right plan, and pay the premiums online through the net or mobile banking. You can also use credit or debit cards or online wallets the paying the premiums. Renewing policies online helps save the commission payable to the agents.

Renew and upgrade policy and coverage

One of the essential renewal tips is reviewing and upgrading the plan and coverage. You can opt for both, modify the policy as well as the coverage you get against it. As your vehicle starts aging, it becomes susceptible to more damages, so it is ideal for increasing the coverage. Consider the personal factors as well. For instance, if you are newly married, add your spouse to the list of people covered under the accident cover. Essentially, add or eliminate the additional riders while doing renewal.

Review the Insured Declared Value

Your vehicle’s Insured Declared Value has a massive and direct impact on the premiums you pay. IDV is the four-wheeler’s current market value after factoring in the depreciation. The maximum amount you receive as compensation from your insurer if your vehicle gets damaged beyond repair or stolen. As the policyholder, you can choose the IDV. While it might cost more, it is better to go for higher IDV than settle for the lower ones since you get higher compensation if something happens to your asset.

Utilise No-Claim Bonus

Your car policy renewal is incomplete without including the No-Claim Bonus aspect. It is essentially the discount you receive on your insurance premium for not filing any annual year claims. This bonus increases with every claim-free year when you renew the policy yearly. You save up to 50% on the premium amount for not filing the claims for five consecutive years. This promotes savings in the long-term instead of filing claims for minor damages such as scratches and dents.

Consider multi-year policies

If you have been renewing your policy yearly, this tip should be beneficial. Most insurers offer a multi-year insurance policy, where your vehicle gets insured for up to three years. Such policies make the entire renewal procedure  Janitorial Cleaning Services Insurance hassle-free as you need not worry about forgetting the policy renewal annually. Multi-year policies are best for those who have multiple vehicles insured by the same insurance company. Also, you can receive massive discounts by opting for multi-year insurance policies, while the NCB benefit is also part of it.

Renewal before expiry

The car insurance renewal online before the due date is a no-brainer. It is incredibly essential that you remember all the insurance policies’ dates, especially if you have more than one four-wheeler. Driving without valid insurance is a punishable offense according to the Motor Vehicle Act, 1988. Not only do you face penalty and jail term, but also the hassle of getting the vehicle inspected again. Additionally, your premium amount increases. Moreover, you stand to lose the NCB accumulated over the years.

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