How to Deal with an Expired Car Insurance Policy

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As the old adage goes, “all good things must come to an end.” This is especially true in the case of your Car Insurance Policy, which comes with an expiry date as soon as it is purchased. Car Insurance Policies, just like other insurance policies, come with a specific term period within which it covers damages and other expenses. Once the term period ends, your Car Insurance Policy might not be applicable anymore, which means that you cannot use it for the purpose of filing claims. This can have highly risky circumstances, especially when you are involved in an accident after the term period of your policy has ended. Hence, being prepared is a crucial aspect of consideration!

When confronted with an expired Car Insurance Policy, the steps you can take are as follows:

  • Get in touch with your insurance company as soon as possible
  • Choose a different policy or renew the existing one, as per your preferences and needs
  • If you renew your policy, you will need to schedule a vehicle survey appointment
  • After the vehicle inspection, buy the new policy immediately once the vehicle has been deemed fit

There are numerous reasons why driving your vehicle while possessing an expired policy could result in major problems, legal and otherwise. One of the biggest problems that arise in this particular scenario involves the illegality associated with using an expired insurance policy. According to the norms governed by Indian Motor Laws, driving without a valid Car Insurance Policy can be a punishable offense, resulting in fines and other strict action. Moreover, another problem of driving with an expired Car Insurance Policy is that it can increase the risk of financial losses, especially owing to the fact that car accidents can happen anytime without warning.

Other than merely avoiding the problems that arise due to the lack of a valid Car Insurance Policy, one should also consider the numerous benefits that are apparent during the renewal or purchase of a new policy. One of the main benefits that come with renewal or purchase of a new policy includes the ability to gain No-Claim Bonuses that have accumulated through the previous policy. If you do not renew your existing policy or buy a new one within 90 days of the expiration date, you could miss out on the ability to avail the benefits of No-Claim Bonuses. Other than this, without renewing your policy rapidly, you cannot safeguard yourself from financial losses through accidents and might have to pay for vehicle surveys and other procedures which are mandatory during the process of renewal.

At Bharti AXA, whenever you are going to renew an expired policy or are planning to buy a new policy, you have to keep the necessary documentation ready so as to ensure a smooth process. Some of the main documentation and records that you need to keep handy during this process include:

  • A copy of the expired Policy Issuance Certificate
  • The Registration Certificate associated with your policy
  • Vehicular details, such as date and city of registration, model number, company name, etc
  • RTO address associated with the vehicle

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