Individuals residing in India are mandatorily required to insure their vehicles, according to the Motor Vehicles Act, 1988. If you are caught riding an uninsured two-wheeler, you may be penalised.
All two-wheeler owners are required to at least have a Two Wheeler Insurance policy that offers a third-party liability insurance cover. Those who wish to avail enhanced coverage can opt for a comprehensive/bundled/package Two Wheeler Insurance, which also offers an own damage cover to the policyholder.
However, after purchasing the policy, you may want to cancel the policy due to certain reasons. Read on to know how to go about cancelling your Two Wheeler Insurance policy.
A few reasons why policyholders cancel their Two Wheeler Insurance policies are as follows:
When you sell your two-wheeler, you can transfer your current Two Wheeler Insurance policy to the buyer. In this case, you will need to first transfer the ownership of the vehicle. Post this, the Two Wheeler Insurance policy can be transferred. To transfer the policy, you will need to submit the required documents to the insurance provider. After transferring the policy, the insurer will issue an updated policy to the vehicle buyer. If you did not raise any claims during the policy term, make sure to get the No Claim Bonus certificate from the insurer. Doing so will help you secure a discounted premium when you purchase a new motor insurance cover.
If your two-wheeler has been stolen, you will need to intimate the insurer about the same. If you have a comprehensive Two Wheeler Insurance policy, you can raise a theft claim with the insurer. Once you receive the claim settlement, you can proceed to cancel the policy.
If you feel like the premium of your current Two Wheeler Insurance policy is too high, you may want to switch to a different type of policy or change your insurance provider. If you decide to purchase a Two Wheeler Insurance policy from a different insurance provider, you can cancel your current Two Wheeler Insurance policy. However, given that it is mandatory for all vehicle owners to at least have a third-party liability insurance cover, your insurance provider may require you to submit a valid copy of the alternate Two Wheeler Insurance policy when you apply for cancellation.
If you find the services offered by your current insurance provider to be unsatisfactory, you can cancel your Two Wheeler Insurance policy by informing your insurer about the same. Your insurance provider may require you to submit a copy of the new insurance policy, after which your policy will be cancelled.
To cancel your Two Wheeler Insurance policy, you will have to do as follows:
Two Wheeler Insurance plans provide you much-needed coverage in case something untimely was to occur. Thus, it is necessary to research the features and benefits of different types of Two Wheeler Insurance policies and purchase one that is well-suited to you.