It is mandatory by law to have a car insurance policy that at least covers third-party liability. Many people do not buy an insurance policy for their vehicles because of the premium costs. You should remember that buying an insurance policy with more coverage will help you save a lot of money in the long run. It is better to make timely payments in the form of premium and stay protected rather than drive around without an insurance policy and incur heavy expenses in case you meet with an untoward incident.
Apart from the people who do not own an insurance policy, many people who own an insurance policy do not pay the required attention and renew the policy on time. The insurance provider will send you reminders constantly at the time when a premium payment is due. Most of the people who own cars pay the least importance when it comes to renewing the policy.
This is also one of the main reasons the insurance regulatory body recently decided to increase the mandatory period for third-party insurance to three years and five years for cars and two wheelers respectively. It is important to make sure the insurance policy continues to provide the coverage you opted for till the time you own and drive the vehicle.
If you do not renew the policy on time, you are exposed to a lot of risk and penalties if you continue to drive without an active insurance policy. The insurance company generally provides a lot of opportunities to you for paying the due premium amount. Most of the insurers generally wait for some time to see if they receive the payment. Failure to make the payment even then will result in policy lapse.
Try to make sure that you do not let your policy expire at any point. Here are some of the things you can keep in mind in case you do let your policy expire:
In case you did leave your policy to expire, contact the insurance company or the agent immediately. They will provide better assistance through the process and will try to get your policy renewed with as little delay as possible. You are generally required to pay a small amount as fine for letting the policy lapse.
Driving your car without a valid car insurance policy that at least covers third-party liabilities is illegal by law. You will also be putting yourself at risk driving your vehicle without any coverage for you or your vehicle. In case it is absolutely necessary for you to use the car, you can check if you have an option to renew the policy online. Online renewal of the policy is generally done in a few hours.
You can renew your policy if your policy was cancelled because of non-payment of premium. You can also compare the insurance plans offered by the other insurers and pick any policy that suits your needs. Lots of insurance companies offer policies at very competitive rates. It is advisable to compare the policies using a neutral financial website to get a better idea on what is the best insurance policy for you.
Try to ensure you always get the insurance policy renewed before the due date or at least after the intimation from the insurance company. Being constantly covered by an insurance policy will ensure that you are always protected in case of an untoward incident. This will also ensure that your No Claim Bonus remains intact.
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