Most people want to own a car, which is one of the first life goals they set for themselves once they start working. As someone once said, “Success is hard, but maintaining it is even harder,” The same is true for your assets such as cars.
As a result, it is critical to have car insurance in case of an emergency. A good car insurance policy is required to receive benefits when needed, and adequately renewing it is just as important as purchasing it.
Here are a few things to consider before renewing your auto insurance policy.
- Untimely policy renewal:
Policy renewals should be completed on time to reap the full benefits of the plan/policy. Insurance lapses expose you to traffic fines and loss of accumulated benefits.
- Renewal without considering alternatives:
Purchasing car insurance is critical, but one should do so after carefully considering the ideal options available. Even if a hasty decision was made when purchasing a policy, it could be modified during renewal.
- Lack of the proper type of policy:
There are primarily two types of car insurance policies available: third-party policy and a comprehensive policy. If one does not correctly assess one’s needs before purchasing car insurance, one may be stuck with insufficient coverage for the entire policy duration.
As a result, it is essential to understand what policy features you want to cover before selecting an insurance policy. It is advised to use a car insurance calculator online to stay on top of your financial planning based on your requirement from the insurance plan.
- Correct information update:
Keeping your information, such as an address, phone number, and so on, up-to-date with the insurance company is also critical if you want to take advantage of the policy’s benefits.
- Maximizing the No Claim Bonus:
The No Claim Bonus (* Standard T&C Apply ) is accumulated and used as a reward when there is no claim in the previous year. This is available when renewing your policy. As a result, it is vital to be updated about the no claim bonus you are eligible for, as this reduces your renewal premium.
- Select the appropriate IDV:
Choosing the correct IDV (Insured Declared Value) is essential when purchasing or renewing insurance. Simply put, it is the amount of money that the insurance company is required to pay you if your car is stolen or damaged.
As a result, lower IDV results in lower premiums and vice versa. However, an incorrect assessment can be financially damaging during a time of need.
- Select the appropriate add-ons:
Choosing the right add-on covers is also essential to ensure that your insurance coverage is comprehensive and capable of assisting you when it is most needed. Some good options in this regard are:
- No Claim Bonus Coverage (* Standard T&C Apply )
- Zero Depreciation (* Standard T&C Apply )
- Coverage for roadside assistance (* Standard T&C Apply )
- Passenger Protection (* Standard T&C Apply )
- You can check the expiry date online by visiting the VAHAN E-services website.
- You can also check your expiry date by contacting your insurer.
Renewing car insurance is a significant decision that necessitates thoroughly examining the available options and the necessary add-on coverage.
‘Insurance is the subject matter of solicitation. For more details on benefits, exclusions, limitations, terms, and conditions, please read the sales brochure/policy wording carefully before concluding a sale. ‘
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