Documents you need to buy car insurance policy

When it comes to vehicle insurance, most of us tend to overlook the details. Even a minor accident can lead to considerable expenses and vehicle insurance ensures that the expenses are taken care of, providing financial relief to you.

When buying a car insurance policy, you need to submit certain documents to the insurer. These documents are necessary for the insurer to understand your requirements and give you the best quote possible. 

The following is a list of documents that you need to submit when buying a car insurance policy: 

-Your driver’s license : this is an absolute must as only those with valid license to drive the car/vehicle should be purchasing insurance. 

-The registration certificate of the car : even when purchasing a new car, an equivalent of this must be submitted from your automobile dealer. 

-The previous insurance policy, if any - this is in case of renewal or switching to a new policy for an existing vehicle. Keep the past policy document at hand to pull out insurance policy number, type of plan, period of coverage and so on. 

-The pollution under control certificate  - as cars age, this certificate will become mandatory at the time of insurance purchase and renewal. Cars that are aged or don’t possess this PUCC will not be eligible for insurance. This is the Government’s way of discouraging people to own/drive older vehicles that may not be conforming to the current standards of checking vehicular emissions and pollution. 

-The signed application form - this will be as per each insurer’s process but typically collects your personal information, address, and other declarations. It is important to only fill in accurate and valid information in one’s application form. At a later date, any discrepancy in the form details can work against you in case of claim. 

Submitting Documents while buying Car insurance

When you go to buy a car insurance policy, you will need to bring some documents with you. The first and most important document is your driver's license. You will also need to bring your registration and proof of insurance. If you are financing your car, you will need to bring your loan agreement. Finally, you will need to bring any other documents that may be required by your state or by the insurance company.

Why should you buy car insurance in India?

As per law, it is mandatory for car owners to buy car insurance for their vehicle plying on Indian roads. Car insurance not only fulfils vehicle owner’s legal liability arising due to bodily injury/ loss or damage caused to third-party property.

Why do you need car insurance?

Car insurance is crucial to protect your vehicle and you from potential financial implications due to accident-related damages or third-party liabilities. Here are some of the reasons why you need insurance for cars.  

Coverage against natural calamities:

Flood, cyclone, earthquake and other natural calamities can cause severe damage to your car, and the extent of the repair cost can be enormous.

Personal accident cover:

   Up to Rs.15 lakhs can be covered in the case of personal accident. In case of bodily injuries, death or disability while driving a car the policy holder gets compensation under this cover.

Coverage against vehicle theft:

Suppose your insured car is stolen and is non-traceable. In that case, your comprehensive car insurance policy compensates you for your loss.

Reduce financial burden:

A massive dent or a scratch on your car due to an accident or natural or manmade calamities can lead to financial losses. Unforeseen financial loss or damage covers will be covered.

Types of car insurance:

There are two types of car insurance plans

1. Third party liability-

   Third party insurance is basic vehicle insurance as per applicable terms and conditions, it covers bodily injuries/damages or losses caused to any third party vehicle/property by the insured vehicle.

2. Comprehension insurance –

  True to its name, the comprehensive vehicle insurance policy provides enhanced insurance coverage. It covers third party liability as well as own damage to the insured vehicle.

Documents for buying car insurance policy

When you're shopping for car insurance, you'll need to have some basic information and documents on hand to get an accurate quote. Here's a list of what you'll need

• Your details, such as name, date of birth, address, gender, and occupation.
• Your driving license information
• Vehicle registration number and a copy of the registration certification.

With this information, your insurance agent will be able to give you a more accurate quote for your new car insurance policy.

Documents needed for insurance renewal:

The list of documents needed for vehicle insurance renewal is issued by the insurance regulatory and development authority of India (IRADI), making them common for both private as well as public sector insurers.

• Details of the policyholder, such as name, date of birth, address, gender, occupation, etc.
• Driving license information
• Vehicle registration number and registration certification copy.
• Old insurance policy number.
• Credit/debit/net banking details if you are renewing vehicle insurance online.

Points to kept in mind at the time of vehicle insurance renewal:

Renew your policy early and keep in mind the expiry date to ensure that you don’t drive uninsured.

Search online and compare policies before renewal. You may find a better policy than the current one, offering greater degree of coverage at reasonable costs.

·         Remember to make use of your no claim bonus (NCB) to get a discount on the premium.

Car insurance online:

Technology has taken over manhood. From buying groceries to policy everything is on one click. Online platforms have made life easier and fast. You need not stand in line or ask a person for all the details. You can compare, pay and buy at one click. Here are few advantages of buying insurance online

• Saves time
• Save money
• Save efforts
• Instant discount
• Customer service 24*7
• Easy payments

In order to complete the online process, you would require a soft copy of all the aforementioned documents, in order to upload it as part of your online application. 

Conclusion

Vehicle insurance is not a choice one can exercise, but a mandatory requirement by law. With digitalization touching every feature of our life, insurance companies too have streamlined their processes and have made vehicle insurance policy renewal and purchase simpler. It’s important to submit the right documents while applying for a policy as that can make your buying experience smoother.