Insurance Providers

Should you stick to the same Insurance provider while renewing your policy?

This is the main question that arises in the mind of 90% of car insurance holders at the time of renewal. Among them only one fourth will take a chance to go for a change and the rest of them will continue with the previous one. IF you want to switch then you can easily save a handsome amount of money. Policy change can also give you an opportunity to get something better than the previous policy. But it is not necessary every time that you will get the improved one. If you will keep certain things in mind while going for a change then you will surely get a positive response. You can compare different policies online and look for these points to get a better deal:

Look for Better Coverage: If you are already a policyholder then you have the idea of coverages provided by your company. So, at the time of renewal if the premium gets a little higher than the previous one, it will surely not affect your pocket. Rather than you could have chances to get better coverage that was not considered previously.

Compare with other Companies: If you know that the previous policy is already providing all the required features then also compare once at the time of renewal. In comparison, you will get an idea about other companies as well. It could be possible that the other insurance provider is providing the same features as comparatively very low prices.

Don’t go for too High Premiums: A reasonable increment at the time of renewal is good. But if you are thinking that doubling the premium will provide more security, then you must be wrong. It will help you for a short time span, but later on you might struggle to pay high premiums in the future.

Decrease your Risk: If you want to decrease your premium then you have to lower the risk related to the car. For this you can drive the vehicle safely and carefully, don’t make frequent claims, park your car safely in the driveway or garage, install security devices to track in case anyone stole it.  

Take the advice from an Experienced Person: You can also take suggestions from your friends or family who have been taking an insurance policy for years. They will help you in selecting the policy with a low premium and maximum coverage. They can also provide you the information related to the services provided by a particular insurance company.

Get surety about every term mentioned in policy: There are many misconceptions about the insurance plan, to get clarity about quotes, deductibles and coverages take help from an insurance agent. An agent has a vast knowledge of all the terms related to the insurance policy so he can guide you about the best plan that will fulfil your needs and don’t cause a burden on your pocket.

Take a Driving Course: There are various types of courses offered by driving institutions according to the traffic conditions and vehicle types such as accident prevention, defensive driving and many others. If the driver is experienced enough or has a certificate of any legal driving institution then the insurance company will cut the cost. These drivers are at low risk to get into accidents.

Check your Previous Driving Record: Before switching to any other insurance company check your driving record through MVR. It will help you to know whether you have to pay an increased premium or take a discount on premium rates.

Pay as you go insurance: This insurance discount is provided to the low mileage drivers who pass the black box insurance test. In this test your driving skills will be tracked through a telemetric device installed in the car. In exchange for good driving skills, you can avail special discount on premium cost. 

Check for an additional discount: Insurance companies provide a special discount when you pay the premium amount on a half-yearly basis or annual basis. So, ask your insurance agent about the discounted rates.

Importance of MVR in Insurance

Motor vehicle record (MVR) is a device that will be installed in your vehicle as per the request of your insurance provider. This device will keep the record of your driving history. The insurance company can track your data of three years such as point history, DL information, license status and violations from this device. It will also keep a record of the accident whether they are caused due to your mistake or some other person is faulty for it.

If you are found with many offenses and frequent insurance claims then you are a too risky driver for an insurance company. According to these results an insurance company can either increase your premium amount or discontinue to provide service if the record is too much thrilling. 

When I have to renew my Vehicle Insurance Policy?

The tenure period of vehicle insurance completely depends on the policyholder. You can pay the premium annually, quarterly, half-yearly or monthly but you can renew the insurance plan only after completing a year. It is compulsory to renew your insurance policy when the due date is near. If you forgot to renew it or won’t pay the premium on time, then the policy gets lapsed and you will not be able to take any advantage of that policy. Apart from this, you also have to pay several penalties if the policy gets expired. So, whenever your due date is near, try to get in touch with an insurance agent to renew your policy. The insurance agent will take proper follow-ups and remind you to pay the premium on time. You can also choose to renew your insurance plan online if your insurance provider is providing this facility.

If your policy is already expired then try to avoid driving the car because at that time the company will not pay any reimbursement amount for any type of damage. Try to renew or buy a fresh policy as soon as possible to use your car in a regular way.  

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