- DetailsWritten by PolicyBazaar -
- Hits: 2313 -
Modified 15 February 2017
Are you one of those people who forget to make bill payments on time? If no, that’s so nice; keep it up. If yes, then take a deep breath. You know so well about the trail of the consequences that follows and snatches away your peace of mind. You have to pay penalty in the form of late payment fine, and if you don’t make that payment on time, your services can be terminated. In the worst case scenario, the company may take a legal action against you.
The same might happen if you forgot to renew your two-wheeler insurance policy. You are a human and humans make mistakes. Nobody forgets to renew their policy on purpose and we understand that. At times, you are busy with so many things happening at once. You know you have to renew your policy; still, you are not able to renew it on time. It’s alright if you forgot. Here is everything you need to know about a lapsed two-wheeler Insurance policy.
What is a Lapsed Policy?
Lapsed Policy - When an insurance policy is not renewed on time, it gets lapsed. A lapsed policy is equivalent to ‘no policy’, as all the benefits and rights vanish when you don’t pay your premiums before the due date.
What happens when your automobile insurance policy lapses?
In case your policy remains lapsed for a period of 90 days, it affects adversely your No Claim Bonus (NCB) and it gets fortified. The insurance company can hike your premium for the next cycle. Also, you might be exposed to a variety of risks that comprises third-party liabilities as well. In case your automobile meets with an accident without any insurance cover, you will have to bear all the cost of repairing the damages. To avoid this unfavorable situation, it is safe to renew your automobile insurance policy before it gets lapsed.
How to renew your lapsed automobile insurance policy?
You can easily renew your lapsed automobile policy through two modes, i.e. online mode and offline mode.
It is as easy as surfing the Internet. The online mode of renewing lapsed policy is easy, hassle-free, convenient, and most importantly, time-saving. Follow the steps mentioned below and renew your policy within a few seconds.
Step 1 - Keep the required documents like previous policy details, vehicles’ registration number, in case you have selected add-ons, those details are required to.
Step 2 - Just log on to your insurance providers’ website.
Step 3 - Enter your plan details.
Step 4 - Make payment using your Debit/Credit card or NEFT and complete your transaction.
Four steps, a few clicks, and it’s done. Your insurance provider will email the soft copy of your renewed policy at your registered email id.
It is also known as the traditional mode of renewing an insurance policy. You can renew your policy by offline mode by going to the branch of your insurance company. It is advised to carry your documents related to the policy. Once the documents received by the insurance provider, the process of reviewing will be initiated. Since your policy lapsed, your vehicle is subjected to inspection prior to its renewal.
|You may like to Read: Renew Your Two Wheeler Break-in Insurance Policy|
Why online mode of payment is preferred over the offline mode of payment?
As you know that the online mode of payments is hassle-free.
When your insurance policy is lapsed, it is mandatory (as per the company policy of some insurers) that your vehicle needs to undergo a thorough inspection before the renewal of a lapsed policy. When you renew a lapsed policy online, you have liberty to skip this additional step.
How can you ensure that your policy will not lapse?
The answer to this question is that you should opt for a long-term two-wheeler insurance policy, as it is easy and simple to understand that it provides you with the coverage for up to 3 years. The following are the benefits of a long-term policy:
- It relieves you from the responsibility of constantly keeping a track of the policy due date. This is very helpful for people who hold multiple policies.
- It safeguards you against the risks of non-renewal.
- You are immune to yearly change of the premium rate because of inflation, as you have opted for a long-term policy.
- Most Read
- How Insurance Sector Faces Initial Hiccups Post GST
Date: 15 September 2017
- Royal Enfield Tour of Uttarakhand: Here’s Why Insurance is Your Best Pal
Date: 06 September 2017
- 9 Secrets That Your Motor Insurance Provider Won’t Tell You
Date: 16 August 2017
- Third Party Insurance: Your Ultimate Stress Buster
Date: 14 August 2017
- 10 Auto Insurance Myths You Should Avoid
Date: 27 July 2017
- Top 5 Motor Insurance Companies in India
Views : 199754
- What Everybody Ought to Know about Zero Depreciation Car Insurance Cover?
Views : 118800
- Insured Declared Value (IDV)
Views : 114599
- Two Wheeler Insurance Plans
Views : 88675
- Renew Your Two Wheeler Break-in Insurance Policy at PolicyBazaar
Views : 84549