Car insurance saves us from any abrupt financial liability. Here is why renewing it timely should always be your top priority.
June 21, 2021 • 2 min read
Car is an expensive purchase. Hence, it is crucial to keep it safe from any more financial liability like accident or theft. You can buy comprehensive car insurance online to drive your vehicle without any fear.
On top of that, you are also legally bound to buy a car insurance if you wish to drive your car on Indian roads as per Motor Vehicles Act. You can also renew your expired insurance online.
Let us check out the benefits of renewing car insurance policy before it expires:
You need to buy a car insurance to abide by the Motor Vehicles Act, 1988. If you are found driving without a valid insurance, you can be fined Rs 2,000 for the first time and Rs 4,000 for the second one. And if you are found repeating it again and again, you may face imprisonment of up to 3 months.
Save your No Claim Bonus (NCB)
If you do not claim the insured amount, then you become liable for NCB while renewing the insurance. The discount through NCB on your next premium can go up to 50 percent depending upon the number of years you have not taken any claim from the insurance company.
However, if you do not renew the insurance on time, your NCB benefit may lapse. Hence, be careful of the expiry date of your insurance and renew it in advance. You can download CarInfo app to track and buy your car insurance.
We often do not get our cars insured because they are not in regular use. Even if your car is not clocking big kilometres due to pandemic or if it is your second car in the garage, you should now shy away from insuring it. Anything can happen even to a still car like flooding, a tree falling over the windshield, and more. A renewed insurance policy in such cases can help you save big bucks.
Theft and Vandalism
The news of cars being vandalised or stolen on Indian roads is a common thing. In Delhi alone, more than 100 cars are stolen per day and over 2.5 lakh car thefts are reported all over Indian per year. Hence, it is essential to have a valid car insurance in such scenarios. Insurance companies offer depreciated value of your car in case of any theft. You can use that money to buy another car.
Above mentioned points must have cleared the importance of renewing your car insurance before expiry.