Car Insurance Policy Lapsed or Expired – What to do now?
Motor Insurance is mandated by law in many nations across the world. If not comprehensive motor insurance, all vehicle owners are required to possess at least third-party liability insurance.
However, despite this law, in reality, expired or lapsed insurance policies are extremely common. For a host of reasons, policyholders fail to renew their policies in time, resulting in expired policies.
In this blog, we discuss why it is imperative that you renew your Motor Insurance as soon as possible. We also throw light on the steps that must be followed if your motor insurance has lapsed.
Why must you renew your car insurance?
Driving with an expired motor insurance is illegal
In many countries, driving with an expired motor insurance policy is illegal and is punishable by law. Simply put, to not be on the wrong side of the law, you must renew your insurance policy as quickly as possible.
You must bear considerable losses if you are involved in an accident
Imagine being involved in an accident and not possessing a valid motor insurance policy. The financial implications of such a mishap could be huge, causing you much financial stress. However, if you possess motor insurance, you could claim the money that you would have spent on the repair of the damages to you and your car.
You lose all the accrued benefits of the previous policy
When you do not renew your motor insurance in time, you are at a risk of losing all the accrued benefits on the previous policy such as the no-claims bonus, apart from losing the policy itself.
You spend a considerable amount of money and resources
If you fail to renew your insurance and you purchase a new one, your car might be reinspected. You might also have to pay considerably higher premiums than earlier. To avoid these hassles, it is a good idea to renew your policy in time.
How to renew an expired car insurance?
Here are the steps that you must follow if your motor insurance has expired:
#1. Do not drive your vehicle
When you realize that your insurance has expired, you must stop driving your car immediately to avoid high penalties. Further, in the unfortunate event that you meet with an accident when driving without a valid insurance, you might face exorbitant financial losses as you will have to pay for the repairs and damages to your vehicle out of your pocket.
#2. Get in touch with your insurance provider
If your Insurance Policy is within the grace period, you might be in the safe zone and might not have to pay high penalties or purchase a new policy. So, it is important that you speak to your insurance provider and understand the terms and conditions for renewal.
If your policy is beyond the grace period, you might have to purchase a brand new policy. Here, you might want to analyze whether you want to continue with your current provider or purchase a new policy with another insurance provider.
A quick search over the internet can give you all the information that you need – the list of insurance providers, types of policies, premiums, and benefits.
#3. Check for ways to renew your policy
Motor insurance renewal has become extremely easy today. You can do it yourself with just a few clicks over the internet. Also, often, insurers provide good discounts for online purchase and renewal as they save on the overhead costs and do not hesitate to pass this benefit to their customers.
However, if you are not comfortable using the online mode, you might want to speak to your insurance provider and understand the various ways in which the renewal process can be done.
#4. Ensure that you have the required documents
The renewal process might require you to submit a few mandatory documents such as your ID proof, residence proof, and the registration documents of the vehicle. Keep these documents handy to renew your policy in a seamless manner.
#5. Set reminders to renew the policy
You might want to set reminders for yourself so that you do not miss out on its renewal. You can also set up an auto-debit facility off your bank account, ensuring that the payment is made before your policy expires.
Remember that car insurance is a legal requirement and not a choice. And, to avoid steep penalties and the ensuing cumbersome processes, it is best that you renew your expired policy at the earliest.
Customer experience provided by insurer
Lastly, you must do significant research on the customer experience that your insurer provides. Customer experience is, simply put, the experience that a customer has throughout his journey with the insurer. And, in today’s competitive world of insurance, customer experience is the only differentiator between brands.
Simplicity of claims application process, ease of reaching out to customer care executives, and effective use of technology to aid customers are just some factors that contribute towards a good customer experience. Keeping you and your Car on the move & protecting you from the unexpected! Watania Motor Insurance is designed to keep you on the move and prepare you for the unexpected. Car damage causes a lot of inconveniences and we understand you are busy with family and work commitments so we keep our process simple and convenient. Check out the types of motor insurance policy offered
So, do your research and understand the experience of others with an insurer before you purchase a policy.
If you pay enough attention to these factors, you will certainly be able to purchase a robust car insurance. All the best
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