Why is it Important to Renew Car Insurance On-Time?

We cannot emphasize enough on the importance of owning car insurance for your treasured car. It protects you from unnecessary expenses that arise from uncertainties, theft, fire and accidents. Along with the various benefits, insuring your car is mandatory as per the Indian Laws. It is also equally important to renew your car insurance policy before the completion of your policy period. Just like buying car insurance online. you can renew it online too. Read further to know the importance of renewing your car insurance policy:

Legal Troubles

Do you know that there can be legal hassles if you drive without car insurance or with expired car insurance? You are liable to become a legal offender in case you are caught without a valid policy. An expired policy is as good as having no policy. If you fail to present your insurance documents to the traffic officials, then you might have to pay a hefty penalty.

No Protection

Accidents are unpredictable. No matter how safe of a driver you are, mishaps can still happen. Your car insurance covers for the car damage, driver injuries and third-party damages. With the lapse of your car insurance policy, there is no coverage, leaving you financially vulnerable in an unfortunate scenario.

High Premium

During the renewal of your policy, your insurance policy company asks if your previous policy has expired or not. This is to determine the premium amount. If you renew your policy on-time, you will pay a lower premium. Otherwise, you are liable to shell out extra amount.

Loss of No Claim Bonus

If you do not make any claims throughout your policy period, your insurance company awards a No Claim Bonus(NCB). When you renew your policy, you get a discount on the premium amount because of your NCB. NCB accumulates over the years, and you get various benefits. If you fail to renew your policy on time, you will lose out on the discount.

Now that you know the advantages of timely renewal make sure to renew your policy on time.

Cholamandalam MS, a General Insurance Company in India, offers a wide range of insurance policies for individuals as well as corporates. For individuals, there are products like Car Insurance, Two Wheeler Insurance, Travel InsuranceHealth InsurancePersonal Accident InsuranceHome Insurance and Crop Insurance. For SMEs and Corporate Insurance clients, Chola MS offers customized insurance solutions encompassing insurance and risk consulting services such as Engineering Projects, Engineering Operations, Liability InsuranceMarine InsuranceFire Insurance and Miscellaneous Insurance.

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