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Last Updated : Sep 12, 2019 08:17 AM IST | Source:

Motor insurance renewal in India: How to renew your motor insurance

Vehicle Insurance Renewal: Here's how to renew your motor insurance online & offline. Also, check out the points you need to know during vehicle insurance renewal.

Moneycontrol News @moneycontrolcom

Is it time to renew your vehicle insurance? Take a breath and review some important aspects of your policy before you renew it. Don’t worry. We will help you with it.

Here is a low down of things you must keep in mind while renewing your vehicle insurance:

- Review your existing policy: Take time to understand if the existing policy has helped you. If you had a basic third-party insurance, maybe it is time to bump up to a comprehensive policy. You can take a decision by comparing the benefits of the policies and what you need.


- Avoid agents: Renewing an insurance policy has never been simpler. You can do it yourself online in a few simple steps. You don’t need to get an agent involved. By this you can avoid any fees charged by the agent.

- Review your insurance agency: Review the service provided by the insurance agency over the past year. If you are not too happy with the service of your existing insurance agency, maybe it’s time to find a better one.

- Review the no claim bonus: If you haven’t made any claims in the previous year, the insurance agency is liable to give you a bonus. Check the No Claim. Bonus accrued over the years. You can get a discount on your renewed premium against this bonus.

- Don’t let it lapse: It is a bad idea to not renew your policy on time. Make timely payments. The insurance agency gives policyholders a window within which the policy has to be renewed. This window is available for you to decide whether you want to change your policy or insurer. If the premium is delayed, the policy lapses. Your vehicle is not insured if the policy lapses.

- Market value of vehicle: Find out the market value of your vehicle after depreciation. The depreciation value of your car is considered while calculating your premium. Knowledge of the market value will help you negotiate this premium. The current market value is also the Insured Declared Value.

- Go cashless: It is advisable to choose the cashless mode of claim settlement. It is easier and more convenient.

- Pay attention to voluntary deductions: Every insurance agency sets apart a sum that the policyholder has to pay at the time of the claims. Negotiate this deduction well so that you can benefit the most.


How to renew motor insurance offline

To renew your motor insurance, you can visit the nearest branch of your insurance agency. There you can ask for a renewal form. Fill in the form and enter the details of the policy which has to be renewed. Attach copies of documents that are required at the time of renewal. You can also ask your insurance agent to facilitate the renewal process for you.

Once you have filled the form, you are required to make the payment of your premium. You will be issued a receipt against the payment. The insurance agency will then issue a fresh insurance policy to you. The policy number and other details will remain the same. It is, however, easier and faster to renew your policy online.


How to renew motor insurance online

Almost all insurance agencies are now offering online services for renewing your motor insurance policy. Not only is the process faster, it requires lesser paperwork.

You can simply login to the website of the insurance agency and choose the option for renewing an existing policy. The online form will ask you to enter your current policy number and your email ID.

The website will then show you a quote for the premium of the new policy. If you agree with the quote, you can go ahead and with the renewal. If you do not accept the quote, you can compare the same with other insurance agencies. You can choose to switch to a better option.

If you accept the quote, you can pay the premium immediately using credit/ debit cards, net banking or even online wallets. Once you have completed the process, an acknowledgement is shared with you on your email ID.

You will also receive the renewed policy document on your email ID. A soft copy comes in handy as it is always available to you. They are also protected from loss, theft and damage from any natural disasters.



How do I compare the premium quotes from different insurance agencies?

The first thing to consider is your budget—how much are you willing to pay as premium. When comparing the premium quoted by different insurance agencies, study the breakup of the premium. It is important to understand your limitations and therefore you must choose your add-ons carefully based on your requirement. Apply discounts such as No Claim Bonus and see if the policy is viable to you.

What is depreciation of the vehicle?

Any loss of value of the car due to wear and tear over time is referred to as depreciation in insurance terms. Each part of your car, except glass, has a different rate of depreciation. This means that the value of each part reduces each year based on this rate. So the total value of your car also depreciates every year. Depreciation of the vehicle has a direct impact on the premium of the insurance policy.

Can I cancel my insurance policy at any given time?

Yes. Insurance policy can be cancelled at any given time. In such scenarios, the premium paid by the policyholder is refunded by the insurance agency on a pro-rata basis. However, insurance policy can be cancelled only if a new policy is being purchased in its stead. You will have to submit a proof of purchase of a new insurance policy for the vehicle.

What happens if I lose my insurance policy?

If you lose your insurance policy papers, you can seek a duplicate from the insurance agency. You can either apply for a duplicate online or visit the branch that had issued the policy to you and submit a written request. A nominal fee is charged for issuing a duplicate policy copy.

Can I make changes to my insurance policy at any time? How?

Yes. You can make changes to your insurance policy at any given time. This includes changes to address, purpose of use of vehicle etc. You have to get in touch with the insurance agency and submit a letter to make these changes, along with proof for the required changes. The insurance agency then issues an endorsement in the matter. The insurance agency may charge a fee for making the endorsement.
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First Published on Sep 12, 2019 08:16 am
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