Why Your Second Vehicle Needs Insurance Too

Insurance companies often come across instances of second hand car insurance claims, where the new owner claims for damages to the vehicle without having transferred the insurance policy in his name after the purchase. The claim however is not admissible in the absence of a valid contract between the insurance company and the new owner of the vehicle. In a recent case, the Pune Consumer Court ruled in favour of the insurance company and upheld the insurer's decision of not paying the claim to a second hand vehicle owner since he had not transferred the insurance policy to his name. The Court ruled that an insurance policy is a contract between a policy holder and an insurer. In the absence of the new vehicle owner's name on the motor insurance policy, there exists no valid contract between him and the insurance company. Hence any accidental damage suffered by the new owner is not admissible under the previous policy.

Owing to low awareness on insurance amongst the general public instances of post loss insurance grievances in such scenarios are common place in India. Hence it is important for individuals who have purchased or are looking at buying a second hand vehicle, to know that transfer of insurance is an equally critical aspect of the buying process and should not be ignored or procrastinated. Also, the individuals who sell their vehicle have an equal responsibility to ensure that the insurance is transferred in the new owners name to avoid any legal hassles that may arise in the future. Here we shall explain how not transferring of insurance will impact both the buyer and the seller of the motor vehicle. We shall also demystify for you the procedure of ensuring a seamless insurance transfer.

To begin with it is important to understand the structure of a motor insurance policy. A comprehensive motor insurance policy comprises of two parts - Own Damage (OD) and Third Party (TP). Whereas TP section covers damages caused by your vehicle to a third person and are mandated by law, OD section covers damages caused to your vehicle owing to any accidental mishap. After purchasing a used car, Section 157 of the Motor Vehicle Act casts a duty on the new vehicle owner to get the insurance policy transferred in his name by applying to the insurance company within the first 14 days. For these 14 days, only the "Third Party" section of the insurance policy gets automatically transferred. However, it does not apply to the Own Damage section of the policy. The "Own Damage" section will be transferred only after the insurance policy gets registered under the new owner's name. Post this 14 day period, if the new owner fails to get the insurance policy transferred in his/her name the insurance company is not liable to bear any losses incurred by new owner in either of the TP/OD sections.

If the insurance is not transferred and the policy still bears the name of the first owner, in case of an accident the claim for damages to the vehicle or third party will not be paid by the insurance company. Moreover, the court may also send the first owner a notice to compensate for the loss caused to a third party, for an accident caused by the new owner. The whole process of establishing the proofs of sale, the transfer of vehicle RC etc. by the previous owner can be a grueling exercise. This can be easily avoided if both as a seller and a buyer of a second hand vehicle, one insists on getting the insurance policy transferred to the new owner's name immediately after the sale deed is finalized.

Factors to consider while deciding your car value

Protecting your car against damages due to traffic accidents, its liabilities like third party damages, own damage, damages due to natural or man-made incidence is termed as car insurance. An insurance policy also provides for accident cover of the policyholder while driving including the passengers. It also encompasses third party liability which is injury/death or property damage that the driver has to pay.

It’s a mandate by the government of India to buy a suitable car cover to driver your vehicle on road. Most insurance companies have a tie-up with the car dealers and they offer quotes along with the purchase value of the car. 

While deciding upon the cover value there are a lot of factors taken into consideration like car make and model, place of living, occupation, car parking area, security aspects, etc.

However one of the key factors is Insurer’s Declared Value (IDV). It is the sum of the value decided by the insurance firm after careful examination of the car. Not to be mistaken, it can’t be the exact purchase value of your car. Insurance company’s surveyor will go through the car inspection with company norms and quote a cover value to be offered to the insured person during a claim.

Some other factors deciding the value of the car insurance policy:

Age of the Car

As the car gets depreciated every year, the insurance value of the car will also reduce. Hence, during insurance renewal, you have to ensure that you have enough cover amount to bridge up the financial losses. 

Purpose

A self-driven vehicle used for the personal purpose will have lower premium compare to the ones used for business purposes.

Accidents

If the car and its driver are involved in frequent accidents in the past, the premium will higher. As the policies get renewed every year, any accident in this span will also result in a higher premiums rate.

Previously on public sector companies used to offer motor insurance but because of the entry of private sector insurance firms, there are varied innovative policies being sold in the markets. You can choose the policies as per your benefits and premium paying capacity. Also, online car insurance deals are quite exciting and come with loads of discounts with no involvement of agents.

As of now, car insurance sector is booming and companies are targeting the existing and potential customers with innovative policies. It is evolving and a lot of features are being introduced that will influence the premium each year.

The careful comparison is the key for a quality insurance product. You can compare policies in terms of benefits & features, discounts, premium cost, claim settlement, policy terms, and conditions, inclusion & exclusion, premium payment modes, etc. Once done you can narrow down the search to 3 to 4 good insurance policies and choose a particular one for your car. Also, ensure that you read terms and conditions, inclusion & exclusion well before you purchase the policy. At any point of time, if you doubt regarding the policy structure, call up the customer service team or visit online and have thorough chat to clear the clouds in your minds.

In case of policy lapse, your insurance provider gives a grace period of usually fortnight’s time. Post this period you might run the risk of driving a car without insurance. So, it's always better to renewal policy at least a month prior to ensure that you’re safely sheltered under suitable car insurance.  

How can we help you with car insurance today?

Our service lets you compare multiple insurance brands in one quick and easy search, and we provide much more than the price of the policy - we show you the levels of cover so that you can make a more informed decision.

To obtain a car insurance quote, fill out our simple-to-use forms with your basic personal details, plus information on the vehicle to be insured and the drivers you want on the policy.

Be ready to input the number plate (if known), estimated car value and annual mileage, your length of no claims bonus, the type of use the vehicle will be put to, details of accidents and/or convictions in the last five years and of your occupation.

To help narrow down your search you can choose your preferred level of voluntary excess, whether you want to protect your no claims bonus and if you'd prefer to pay annually or monthly, with the policy options available for comparison and customization on our quotes screen.

Whether you're looking for comprehensive insurance, third party fire and theft, or third party only, and whether it's for one car or multiple vehicles, our service makes it easy to find the product that you want, with the latest information from independent financial research and software company Defaqto available to ensure you know exactly what you're getting from your purchase.

You can learn more about the difference between such policies in our car insurance guides, where you'll also find the answers to frequently asked questions.

Our guides offer more information on key areas such as telematics (black box) policies, and cover for women drivers, older motorists, modified and performance cars, young drivers, classic cars, and learner and new drivers.

There's also plenty to read on wider motoring and insurance issues, including vehicle security, flood cover, optional extras on your insurance, fronting, crash-for-cash, how quotes are calculated, claim rejections, how driving convictions impact on premiums and money-saving tips, and we can help you find the insurance group of your vehicle or of a potential purchase.

[Source: http://www.gocompare.com/car-insurance/#2MgvGtOKyj3uIShW.97]

This device will price your car insurance

Insurance Policies for Your Car

Owning a car is an awesome feeling for many. It plays with the instinct to pamper yourself with the very best automobile within your reach. With this comes the headache of insurance and other legalities attached. In Maryland, if you own a car, then you have to opt for a good insurance agent. Car insurance in Maryland is not difficult to find though, but one will have to choose from copious options to get the best rate. Don’t forget to study the rates from various other car insurance companies to avail the fittest. After careful musing over internet data or referrals one can halt at one option for their car insurance in Maryland.

You know what the best part is? Be it a small car or a big car, any person can get or request car insurance in Maryland at the best rate from the authorized insurance companies or from online websites. These companies offer multiple auto insurance quotes from numerous other car auto companies all over the region. A car owners have easy access to the internet for car insurance procedures, thus there’s no need to go to the insurance provider’s office. Wow that is amazing, a person can relax at home and let internet do the job for them.

The car insurance rates are undoubtedly something that one should be concerned about all the time. There are, in reality, quite a few points where you may not be able to bring down the insurance costs or save lot of money. But with few pointers you may be able to make the right choice and save some well-earned dollars in the process. It's actually nice to understand that there are few important factors which can impact the way you pay the car insurance companies. To simplify these factors consists like:

The actual age of the automobile

Your driving record

The make and kind of vehicle you own

Another important factor is the miles you drive yearly

Understanding the regional characteristics is also crucial for example which location you are residing in.

Make sure you know the rest of the drivers involved or listed in the car insurance policy

Your exact credit score is also marked

Lastly, the entire coverage you receive

Certainly by enhancing the credit score of your funds, upholding efficient driving record and proper driving lessons will lessen your total costs. Additionally, while going to shop a vehicle one shall find out the cost incurred to actually understand the overall costs and to check if it is affordable or not.

Furthermore, to avail immediate savings, one should quickly shop around, even if you have a car insurance just to understand the scenario. See it is very simple, I’m not insisting you to shop and spend a lot, and it is by taking help pf the internet, you will get the quotes that will help you to take wise decisions.

Eventually it is a heck of a pain for a person to simplify the entire process of car insurance in Maryland. But there are number of good car insurance companies in Maryland that can ease you out totally.

[Source: http://articles.abilogic.com/136169/insurance-policies-your-car.html]

Car Insurance the best way to protect you against financial loss

Benefits of Purchasing Car Insurance Online

With the development of Internet and e-commerce, plenty of companies are now moving their own business to the Internet, not only the Internet has well development in recent years but also make many industry found his new way on the Internet, even though people used to think that some live services must not be achieved online such as the meal, haircut, etc. However, these industries have a new model of their own today and they are growing very fast. What is more, when the insurance industry goes into thee-commerce, for example, a lot of people think car insurance online is unsafe.
Although, before that it is not accepted by many people, it still has a certain market position. Therefore, come to see some benefits when you purchase it online.

To begin with, certainly, in order to attract more drivers to become their clients, car insurance companies try their best to let everyone know that car insurance can purchase online. So, this seems an advertisement to tell people purchase online car insurance is cheaper than offline. Furthermore, it saves our a large proportion of labor costs and the intermediate link, the motorists you only need to fill in the relevant information on the Internet so both you and your car will have a good protection.
What is more, purchasing it online we can enjoy the favorable that we ever never touch offline, for example, the first time the user can enjoy the purchase of the maximum 10% of the preferential costs. In addition, our life is inseparable from the Internet, when you buy car insurance online, only need you gently move the mouse in front of your computer that your car is a guarantee which fully realized the docking of the car with the Internet.

Last but not the least, we take into consideration that different insurance companies have different quotes and price. The online application for car insurance, all the processes and the cost is transparent, in addition to the shortcut and convenient, the information on the Internet is all open, as long as you have a certain understanding of car insurance.

Purchasing car insurance online is another way to let you choose a better one. Although many people think that online shopping there still have a lot of security holes, but with the constant improvement of e-commerce and law, the Internet will be more close to people's life.

Your Vehicle Insurance Is Critically Important

How To Purches A Better Motor Insurance Policy

How Telematics can help you get a lower rate on your Auto Insurance

Everyone likes saving money - why else would we cut coupons or shop at those big-box stores? Well, what if we told you there was a way that you could be saving money on your auto insurance? And it’s easy. So what is it? Telematics.

What is telematics? Think of it like the little black box on an airplane. Your insurance company inserts one of these devices into your vehicle and it monitors the following:

Number of miles you drive

Speed

How quickly (and often) you brake – i.e. the smoothness of your ride

What types of roads you travel on

What time of day or night you are driving

Why is this information useful? It helps us, you car insurance company, evaluate just how safe of a driver you are. Do you speed regularly? Or slam on the brakes a lot? Do you do most of your driving during rush hour on the freeway? We compile all of this information and use it to adjust your auto insurance premium. Safer drivers are typically rewarded with lower rates, although there is no penalty for drivers who aren’t so safe.

But there are other reasons we value these telematics devices. For starters, they can help us settle your accident claims faster. We can take the information from your little black box and use it to determine the speed you were driving at the time of the accident or how quickly you had to brake. Not only that, but the GPS on it helps to cut down on theft and help us get your car back. insurance

There is also a societal benefit to telematics: People are more likely to drive safe when they know their driving is being monitored – they are more likely to obey speed limits and traffic signs. And hey, we’re all about making our roads a safer place!

[Source: http://www.texaninsurance.com/client-service/blog/entryid/6136/how-telematics-can-help-you-get-a-lower-rate-on-your-auto-insurance]

buying or selling your car insurance can make or break the deal

A Simple Guide to Buying Car Insurance

Car Insurance: The best way to protect you against financial loss

Buying a motor car is like a dream for most of us and it is still considered as a major milestone in life for many people in India. However, just like you wish to fulfill your dream you should also plan to protect it from unwanted incidences like sudden accidents, natural calamities or being stolen. It will definitely make a huge hole in your pockets.

Purchasing suitable car insurance would be an ideal solution to tackle your finances during unexpected incidences. However, most people think it’s an added burden on their finances and don’t wish to purchase an insurance cover. But, insurance could be your best companion during rainy days of finances.

In India, there are various insurance companies who offer policies with customized benefits and features. You can visit the branches or call customer service, as well check quotes online to buy a suitable policy for your car. It is advisable don’t leave sorting out your insurance until the last minute. Buy it a few weeks before you need to can help you cut the cost of premiums significantly.

From lowering your premium costs burden to adding a teen driver, buying car insurance can often seem to be a daunting and expensive process. However, getting insured has become the necessary part of your car purchase and will help you save a lot of stress and money in the future. With the emergence of internet based facilities, it is easy to find out the most suitable insurance quotes. The authentic websites help you get insurance quotes from insurance companies and ensures that you get to crack the best deal possible for your car safety.

Here are some reminders to ensure you get the best possible insurance for your car.

A car cover is mandatory in India and requires that you carry liable insurance, which pays when a damage is done to yourself, your car and others. It is advisable, go for a comprehensive car cover that will help you protect against third party losses as well as your own car damage. If this is your first car and you don't already have insurance, you'll need it before you drive the car off the roads. In addition, if you’re financing the vehicle, then your lender will insist  you have an insurance at the time of the purchase as it is bought from your hard earned money.

For the ones who already own a car insurance but planning to buy a new car, should notify their insurance company about the purchase. The insurance rate will then be adjusted as per the new vehicle model. Make sure you inform them at appropriate time else you would be driving away without a coverage which can prove fatal in the event of any mishap. For adding a new car to your existing insurance it has slightly different set of rules for which you’ll need to contact your insurance provider.

Insurance companies provide you with a very valuable service, but that doesn’t mean you have to pay hefty fees to keep them happy. One of the ways to lower your insurance rates would be urging young drivers to keep clean driving records. Shopping online will help you avail different form of discounts. Car insurance comparison might be slightly tedious but the end result will help you save a lot of money in the future. 

Car Insurance Rates Can You Lower Them ?

Car insurance: no-fault claims are the Elephant in the room

If someone drives into the back of your car while you are stationary, you wouldn't expect to be penalized by your insurer would you? At least, I didn't – but that's exactly what happened to me.

The incident happened last summer when a van driver turned into the entrance to the car park I was parked just outside of (in a marked bay), damaging the rear bumper and paintwork of my VW Golf. The van driver admitted fault and we swapped insurance details.

I contacted my insurer,  which is part of the Admiral group, and it swiftly sorted out repairs to my car and, sometime later, claimed successfully from the van driver's insurer. I asked before I made the claim whether it would affect my premium – although I assumed it wouldn't as I wasn't at fault – and was assured it wouldn't.

Yesterday I was given a renewal quote and it has risen from approximately Car insurance renewal has been rising steadily, but I hadn't expected an increase of quite that much. In fact, I had assumed that my six years no-claims bonus would ensure I was paying roughly the same, which had been the case for the past five years.

So I asked Elephant: why the hefty rise? The lady I spoke to in the renewals department told me it was because of the incident last summer. Although it had been resolved and registered as a no-fault claim, the Admiral group charges higher premiums whether drivers are at fault or not. Apparently, now I have made a claim Admiral considers that statistically I am more likely to make another claim in the future.

And the increased insurance premium is not confined to the damaged vehicle: one of my colleagues, whose car was damaged by vandals last autumn while parked in London (the wing mirror on the pavement side was smashed off), found that although her car insurance premium was unaffected, when she came to insure a horsebox that will never be parked in London the insurer insisted on taking this previous – and in 30 years of driving, only – claim into account.

I suggested to Admiral that maybe I shouldn't have claimed at all and paid for the damage myself, but was I informed that I am legally obliged to report any incident to my insurer, whether I pursue the claim or not. So damned if I do or damned if I don't.

Apparently, the member of staff in the insurance claims department who told me my premium would be unaffected must have meant my existing premium, not my renewal premium. 

[Source: https://www.theguardian.com/money/blog/2012/feb/15/car-insurance-no-fault-claims-elephant]

Can I Transfer My Insurance To My New Car?

Car Insurance how is The Premium Calculated

Is Budget Car Insurance Cost Effective?

Budget car insurance is widely available on plenty of broker quote sites online.

If you have really good credit, you will automatically pay a lot less for car insurance than most people. Most insurance companies will pull a copy of your credit report as a matter of prudence.

It has been proven that there is a direct relation between your credit score and how likely it is that you will file an insurance claim with an insurance company. This means that if you are a high claimer and are looking for budget car insurance, it may prove difficult.

If you are seeking budget car insurance you could be construed as high risk.

In addition, your insurance company wants to know that you will pay your bills on time, so if your credit score shows that you pay bills late as a matter of routine, you may have some problems getting budget insurance.

Unfortunately, a lot of companies will judge you automatically via your credit score, including budget car insurance companies.

If you drive a fancy car, you can expect to pay more for insurance. New cars cost more to fix, so do expensive cars. Don't expect to get great budget car insurance if you drive a luxury car.

Some auto insurers have a rating system according to your car make and model. Each car has a number on that rating system from 1 to 27. Factored into these numbers are risk factors such as theft and also the overall safety of the vehicle. For example, older model cars that do not have air bags will probably be more costly to ensure as well therefore budget insurance will not fit this criterion.

If you find what you think is really cheap budget insurance, pay special attention to the "hidden" costs. If you are paying via instalment payments, you can definitely expect to pay a lot more over the long run because of administrative costs and interest that are factored into those payments.

When you get a budget car insurance quote, read the fine details.

Sometimes what you think is a good deal for budget car insurance may not be in the end.

If you have a newer vehicle, for example, find out what value your insurance company considers "replacement value" on your car. It may be worth it to pay a little extra to get the value of your vehicle at the time you insure it, rather than the blue book value. It may surprise you to find out that most insurance companies will not give you replacement value if you write your car off.

If you switch insurers, be sure to cancel the existing policy you have with your previous insurer, or you may end up paying both policies. Just because you decide to go with a lower cost policy does not mean that your previous insurer will automatically cancel your insurance policy.

It is a good idea to be aware of all the ins and outs of a lower cost insurance policy. Just because you are paying less for the cheapest car insurance does not mean that you are getting the best deal in the long run.

Due diligence is a must as budget insurance may not be the best option.

Car insurance in an expensive purchase therefore look to Budget Car Insurance to make savings, please see Specialist Auto Insurance for your best options.

Article Source: http://EzineArticles.com/expert/Steven_A_Wright/369999

A Simple Guide to Buying Car Insurance

Find the Right Motor Insurance to Maintain Your Budget

Person who possesses a vehicle needs to purchase a motor insurance policy for the auto. The Motor Vehicle Act makes it compulsory for the vehicle owner to buy this type of insurance. According to the law, mandatory policy is needed to cover the liability of the vehicle owner towards the third parties who get hurt or whose property gets smashed or scratched by the use of vehicle.

In fact, this Act recommends fine/penalties/punishment for not having legal policy for the auto. Vehicle is a valued asset for every auto owner; basically, people prefer to cover the vehicle against accidental damage or loss. It is possible by availing a comprehensive package policy for the motor that includes in addition to the compulsory third party liability and damage to the vehicle as well.

Points to Consider while Buying Auto Insurance

In case the motor is new, make sure that the delivery is received only after a comprehensive insurance is availed. In some cases, manufacturers offer free policy or the dealer helps in getting the motor covered. Do not forget to review the credentials of the insurance companies in India, coverage provided under the plan and the premium charged. Insurer's credentials relate to the customer service track record of the insurance companies in India. This should associate to insurance servicing as well as timeliness in claim settlement.

Currently, this can be easily checked by taking a opinion from current policyholders of that particular insurer, colleagues, friends or relatives. If customer is dissatisfied with the existing insurer which is recommended by the dealer, then he or she can selects their own choices and avail the policy through online insurance broker. These standard motor insurance policy are available with add-on covers like depreciation buy-back or nil depreciation, no claim bonus protection, increased personal accident, return-to-invoice, accidental hospitalization etc are some of the popular add-on covers. These add-on covers give extended protection to the policyholders. 'Return-to-invoice' is the most important add-on covers for a new motor because it helps the policyholder to avail the complete value of the motor in case of a total loss in an accident.

No Claim Bonus

Insurance companies in India provide 'no claim bonus' for claim free years. Remember to declare the claim status at the time of renewing auto insurance under the expiring plan in case the renewal is being taken from a new insurance company. In case customer can successfully produce a renewal notice given by the expiring policy's insurance company, the new insurer will provide 'no claim bonus' as mentioned in the renewal notice. Even if customer is not able to produce renewal notice, sometimes insurance companies in India give no claim bonuses depend on a declaration by the policyholder about claim under the existing plan. Many people forget to renew their auto insurance on time.

In India, all insurance companies provide 'no claim bonus' in which the policyholder will be eligible for around 25 percent bonus in the third year in case he has not claimed policy for nearly two years.

Sarika Kodag helps readers to select the best Auto Insurance as she has vast experience in this sector. She always looks out for subjects related to insurance and writes informative yet interesting articles on investing, saving and financial planning. Her forte is to comparatively analyze and suggest different insurance policies to her readers. She provides knowledge about various investing options and make reader aware of current news about insurance field. So, they can use it to improve their future. She specializes on topics about health, car and life insurance. In her free time, she writes on business and travel insurance as well. Also, she advises many people including her friends, family and relatives who require wealth management solutions. All the best to you while comparing insurance and I hope that you get a beneficial deal by visiting this space regularly. Most of the people who got help from her feels that with her advices, process of purchasing insurance became easy.

[Source: http://www.sooperarticles.com/finance-articles/insurance-articles/find-right-motor-insurance-maintain-your-budget-1306031.html?page_tag=CawEojev75ty5sAhGr_cTRdSpRTjD29Bk_eMetdDIZiDIbeZoAnAwAn4yLcMh-c4e10MMH7673gbHm6HjLoK7w~~]