Automobile Insurance Queries? Ask me

[saket77]

Insurance experts, please advise:

Say if I get the registration number changed of a car (due to change of state) which is already covered by the insurance carrying some NCB, how do we go about this change with the insurer?

Thanks in anticipation of advice.

Regards,
Saket.

[hserus]

Send them a copy of the old and new rc books along with a copy of your policy and some ID and address proof if required (eg Aadhaar) as you have changed your address as well when moving out of state.

Please call your broker and he should be able to guide you in what the specific procedure is.

[vinodh_eee]

Hi Guys - I recently purchased a used car and have got the RC transferred to my name. When I called Bharti Axa regarding insurance transfer, they said that I have to bring the car to their office for inspection and complete a few more paperwork to get the insurance transferred.

The insurance is valid only up to Aug 6th. So can I just take a fresh insurance giving my name as the owner from any other insurer, instead of transferring the present insurance? Will this cause any issues with claims in future?

[hserus]

If it is an older than 2..3 year old car you will still have to present the vehicle for inspection to the insurer even if you get a new policy.

Originally Posted by vinodh_eee

Hi Guys - I recently purchased a used car and have got the RC transferred to my name. When I called Bharti Axa regarding insurance transfer, they said that I have to bring the car to their office for inspection and complete a few more paperwork to get the insurance transferred.

The insurance is valid only up to Aug 6th. So can I just take a fresh insurance giving my name as the owner from any other insurer, instead of transferring the present insurance? Will this cause any issues with claims in future?

[vinodh_eee]

Originally Posted by hserus

If it is an older than 2..3 year old car you will still have to present the vehicle for inspection to the insurer even if you get a new policy.

Hi. I have changed insurance provider twice in the last 3 years for my 6 year old car. I have never had to take car for inspection. And when I buy insurance online, the policy document reaches me in about 10 days without any inspection.

Just curious: Is the inspection mandatory or depends on company policy?

[hserus]

When there is an ownership change rather than same owner switching providers all insurers that I've known ask to inspect the vehicle

[green_ninja]

I recently booked RE 350 and the liability only package is about 2500 rupees cheaper than the comprehensive. The sales exec. at RE dealership is telling me that I cannot get liability only for a new vehicle. I understand that this is true for a vehicle bought on loan as the bank will want to secure it's asset. But is there any valid reason why I cannot just get the liability or third party only insurance for a new vehicle bought with cash?

[RS_DEL]

Am in the market for a pre-owned Tata Safari Storme - the EX variant 2014 model .

My questions are:

[] If the owner agrees to transfer the insurance on the vehicle & it is possible to do so , what is the process to be followed to ensure that the transfer of insurance cover happens simultaneously with the change of ownership .

[] Given that the policy of the vehicle in question is up for renewal in September , if I opt to change the insurer which insurer is recommended ? Any specific clauses that I should opt for ?

[hserus]

If it’s within the same city rc transfer should take three or four days max. Insurance will need an endorsed to your name rc before they agree to transfer ownership. New insurance policy will also demand a rc in your name.

If you have an accident before the vehicle is in your name and insurance has been transferred you had better hope that you bought from the direct owner not dealer and that he is willing to put in a claim under his name.

[RS_DEL]

Originally Posted by hserus

If it’s within the same city rc transfer should take three or four days max. Insurance will need an endorsed to your name rc before they agree to transfer ownership. that he is willing to put in a claim under his name.

Transaction is between registered owner of the vehicle and me.

In spite of the above , banking on someone's goodwill / kindness to meet a statutory compliance -even if transiently - does not make sense to me at least. Is there no work around to ensure that this is not left to 'chance'?

Also the vehicle will be financed and the loan officer I am dealing with has tentatively indicated that the bank will disburse on the execution of the loan agreement by me and transfer documents by the seller , would the bank not insist on valid insurance prior to disbursement ?

[hserus]

The bank will typically ask you to submit the RC and insurance xerox copies to them as soon as the transfer takes place. They understand this takes a few days.

They will not be as understanding if you crash the car before the transfer takes place and insurance can't be claimed. So please be patient for 4..5 days before you take the car out. Till then, leave it in the garage or authorized service centre for any necessary fix up work, servicing etc that may be needed.

[fine69]

Originally Posted by hserus

Insurance will need an endorsed to your name rc before they agree to transfer ownership. New insurance policy will also demand a rc in your name.

Tata AIG and New India Assurance transfer the car insurance policy on Form 29 & 30 also, they don't need the RC transfer.

I got the insurance transfer done within a day once Form 29 & 30 reached me.

[hserus]

Originally Posted by fine69

Tata AIG and New India Assurance transfer the car insurance policy on Form 29 & 30 also, they don't need the RC transfer.

I got the insurance transfer done within a day once Form 29 & 30 reached me.

Many insurers will issue a provisional policy. But just try claiming when the rc is in one name and insurance is in another.

There's at least one post on tbhp about someone who bought a pre owned jetta, took it onto the highway before rc transfer had been done, but insurance had been provisionally issued to his name.

He hit a dog causing 40k worth of body damage as estimated by VW ASS, so he was hunting for replacement parts from pudupet (chennai's chor bazaar for auto parts) so that he could minimize his costs. Besides even if the insurance would cover it, a lot of damage was to plastic parts for which only 50% would be given.

[fine69]

Originally Posted by hserus

Many insurers will issue a provisional policy. But just try claiming when the rc is in one name and insurance is in another.

Yeah you did warn me about the Jetta incident but when I wrote to Tata AIG they said that even Form 29/30 or Sale letter would work.

I decided to give it a try and the inspection as well as the transfer was done the same day. I did have to visit the Tata AIG branch twice. If I had the Fortuner with me he could've arranged for inspection at the branch only and saved me the second trip.

You can definitely claim the insurance even if RC transfer is in progress. The insurance company can decide to refuse anything but if insurance is transferred based on sale letter they know that RC transfer is in progress. My dad is with United Insurance from last 1 year and has worked for New India Assurance all his career before it so he did confirm that claims have been given in such cases.

In fact, even when the insurance transfer hasn't happened claims have been given if the new owner can prove the sale but the consumer court process would definitely take some time.

As for plastic parts, if one has paid extra premium for 'Depreciation Reimbursement' then they will have to pay nothing for damage to glass & plastic parts also.

My car's previous owner opted for it and after I paid the NCB deductible everything was transferred as it was. Special clauses like Depreciation Reimbursement, Emergency transport, hotel expenses etc. are mentioned in the certificate explicitly.

Sam Kapasi paid nothing (except for some processing fee) when his Superb was hit just because he had depreciation reimbursement add:on in his insurance policy.

EDIT: Add-ons like Depreciation Reimbursement, hotel expenses, travel etc. are so much worth the extra premium when dealing with an expensive car. I never knew about this till a few days ago but now I will ensure that I keep this add-on because in a car like Fortuner the maximum probability of damage is going to be of bumper, claddings & lights.

[vinu_h]

Since an insurance policy is issued prior to registration of a new vehicle, my policy does not have a mention of the registration number. The insurance company says that they will include it during renewal. As per them, if the VIN and engine number are listed right in the policy, the car is covered. Is this ok ?