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Why is it essential to resume your automotive insurance coverage coverage earlier than expiry


In the event you’re somebody who made the choice to spend just a few lakh rupees to get the automotive of your selection, you’d have additionally made the choice to spend just a few thousand rupees to make sure the automotive would not push you into spending a bomb on it in case of an accident.

Nevertheless, in relation to renewal of insurance coverage, many car-owners fail to take action. Round 60 per cent of autos in our nation are uninsured and this big proportion of uninsured autos is even an even bigger difficulty contemplating that over 5 lakh accidents get reported in India yearly with over 1.5 lakh deaths. Furthermore, as per the newest figures launched by the Nationwide Crime Information Bureau, nearly 2.5 lakh autos are stolen in India annually out of which solely round 25 per cent are recovered[1].

Significance of Insurance coverage

Buyinga complete automotive insurance coverage on-line can shield you from a monetary setback ifyou are on the receiving finish of those statistics. A proper automotive insurance coverage coverage not solely covers the price of repairs in case your automobile is concerned in an accident, it additionally protects you from monetary and authorized hardships. Furthermore, a complete automotive cowl additionally protects you from the monetary losses attributable to automobile theft, pure and artifical disasters and even mechanical breakdowns.

In fact motor insurance coverage in India can also be obligatory as per the Motor Autos Act. And whatever the insurance coverage firm that you simply purchase your automotive or two wheeler insurance coverage from, it must be renewed at common intervals. Through the renewal, you’ll be able to select to proceed with  your present insurer, or swap to a different insurer that caters to your necessities higher.

With on-line services, the renewal course of is now extraordinarily handy and streamlined. Renewing insurance coverage on-line is sort of straightforward and in reality is a time-saving course of as you do not have to contact an agent or go to  the insurance coverage firm workplace. Renewing your motor insurance coverage earlier than expiry will maintain you and your automobile protected always.

Right here’s why you must renew your automotive insurance coverage coverage earlier than expiry:

1. If you don’t renew – you’re breaking the regulation!

The primary and the foremost cause to resume your automotive insurance coverage on time is to abide by the Motor Autos Act, 1988. Underneath this regulation, a person discovered driving avehicle with out legitimate insurance coverage may be fined Rs 2,000 for the primary offence and Rs 4,000 fora subsequent offence. Furthermore, it’s possible you’ll even face imprisonment as much as three months. Whether or not your 4 wheeleris on the highway or off it, it must be insured not less than with a third social gathering automotive insurance coverage coverage.

2. Lapse of the No Declare Bonus (NCB)

We all know that one of many advantages of automotive insurance coverage is that the insurer is liable to pay for any damages incurred in the course of the coverage tenure, however there’s additionally a reward for the accountable drivers who’ve managed to maintain their automotive protected for a mentioned coverage yr. This reward comes within the type of NCB, which is a concession on the premium paid throughout complete automotive insurance coverage renewal.

If the automotive proprietor has not made a declare in the course of the time period of the coverage interval, he/she is entitled to an NCB by the insurance coverage firm, which may go as much as even 50 per cent of the annual premium. Nevertheless, if the insurance coverage expires, there’s a chance of a lapse of the NCB. To reap the advantages of NCB, it’s obligatory to resume the automotive insurance coverage coverage nicely in time.

3. Rejection of a declare

Because of the lockdown and the pandemic at massive, your automotive is likely to be in restricted use however that doesn’t alter the potential of an uncertainty – be it attributable to an unlucky accident or perhaps a tree falling on the automotive whereas it’s parked. You can’t foresee a mishap, and in such occasions automotive insurance coverage acts as a defend. Renewal of the coverage is extraordinarily essential if you happen to would need to make a declare. If the automotive insurance coverage is just not renewed and also you ask for a declare after its expiry, your declare will probably be rejected with none additional investigations.

4. Theft, vandalism and different threats

Theft is likely one of the main crimes in India and sadly automobile theft is on an increase. Do you know that about 125 automobiles are stolen per day in Delhi alone? Throughout the nation, there are 2.5 lakh instances reported of automotive thefts yearly.With such a rising crime price, automotive insurance coverage is extremely required. Insurance coverage firms additionally shield you financially in opposition to automobile theft so long as your complete insurance coverage coverage is legitimate.

Vandalism – the act of deliberate harm to public or non-public property can also be frequent in our nation. The automobiles parked in unsecured colonies or at public properties can grow to be a simple goal for the mob or miscreants. One other menace to your automotive is extra warmth that may result in self-damaging of the automotive. Insurance coverage can shield your automotive from these threats and canopy the bills or losses incurred. So, it’s essential that you simply safeguard your automotive in opposition to these prospects by renewing your automotive insurance coverage coverage on time in order that it by no means lapses and your automotive is at all times protected.

Select the proper insurance coverage firm

Apart from understanding the significance of insurance coverage, it is usually essential that you simply select a dependable service-provider. Probably the most trusted insurers you could go for is Bajaj Allianz Common Insurance coverage.

Together with on-line buy and automotive insurance coverage renewal facility, Bajaj Allianz ensures versatile and cashless declare settlement at over 4,000 garages throughout the nation. Simply punch in your pin code and discover the closest storage. With one of many highest declare settlement ratio within the nation, Bajaj Allianz additionally gives a 24×7 name and roadside help add-on, at any time of the day. One of the best half is if you happen to swap your insurer to Bajaj Allianz, it permits the switch of No Declare Bonus as much as 50 per cent primarily based on earlier coverage particulars. This ensures that you simply don’t find yourself shedding your NCB out of your earlier insurer.

Taking precautions and sustaining social distancing is the necessity of the hour however one thing asnecessary as a automotive insurance coverage renewal shouldn’t be placed on maintain. The best and the mosthassle-free solution to renew the coverage is on-line. You possibly can consider your quote with the carinsurance premium calculator on the Bajaj Allianz web site and pay on-line. It’s protected, fast and straightforward!Insurance coverage is the subject material of solicitation. For extra particulars on advantages, exclusions, limitations, phrases and situations, please learn gross sales brochure/coverage wording rigorously earlier than concluding a sale.

Disclaimer: This content material has been distributed by Bajaj Allianz Common Insurance coverage. No TNIE journalist is concerned within the creation of this content material.

Supply: 
[1] https://ncrb.gov.in/websites/default/information/CIIpercent202019percent20Volumepercent203.pdf

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