[Mr.Boss]

Originally Posted by vsrivatsa

I am in the same boat and Tata AIG is insisting that I bring the vehicle for Inspection as well for transfer of insurance apart from the documents.

That's the regular procedure I believe, at least I had similar experience with New India assurance & United India.
Reliance & HDFC were different story.

[naughtyfaction]

I recently got my office lease car transferred in my name. Car was previously registered under RTA Hyderabad Central and it was re-registered in RTA RangaReddy (based on my residential address). Now, HDFC Ergo is asking me to pay Rs. 4799/- for RTA change. But they asked Rs. 392/- for RTA change to Kukatpally for my colleagues. HDFC Ergo is claiming that the price varies based on RTO location (Kukatpally vs Ranga Reddy). Is their claim correct? Such a big price difference between two RTOs in Hyderabad.

[swiftnfurious]

Originally Posted by vsrivatsa

I am in the same boat and Tata AIG is insisting that I bring the vehicle for Inspection as well for transfer of insurance apart from the documents.

Though its a very late response, I NEVER had to take the vehicle for inspection.

[SpeedFanatic]

Guys i have bought a pre owned car last week. RC has been transferred in my name. It has a 3rd party insurance (National insurance) which now needs to be transferred to my name too. I have been given to understand that in the case of 3rd party insurance, transfer is not mandatory and will solve the purpose even without transfer until expired as it goes by car reg. no. and not the car owners name mentioned in RC.

Can anyone confirm the same please?

Also, another apprehension is that i have a NCB reservation letter from another insurance company (ICICI Lombard) for my own car that i sold a few days back. If i transfer the National insurance for my existing car in my name, will i still be able to use the NCB letter (from ICICI Lombard) to claim NCB next year on insurance renewal for my existing car?

[ghodlur]

Originally Posted by SpeedFanatic

I have been given to understand that in the case of 3rd party insurance, transfer is not mandatory and will solve the purpose even without transfer until expired as it goes by car reg. no. and not the car owners name mentioned in RC.

Can anyone confirm the same please?

If i transfer the National insurance for my existing car in my name, will i still be able to use the NCB letter (from ICICI Lombard) to claim NCB next year on insurance renewal for my existing car?

Reg the 3rd party insurance query, transfer of the Insurance policy on the car from previous owner to current owner is mandatory irrespective whether the Insurance is 3rd party only or comprehensive.

You should be able to use the NCB accumulated during the Insurance renewal next year. Or alternatively you can cancel the Insurance and buy a new one where you could use the NCB accumulated.

[ghodlur]

Originally Posted by naughtyfaction

I recently got my office lease car transferred in my name. Car was previously registered under RTA Hyderabad Central and it was re-registered in RTA RangaReddy (based on my residential address). Now, HDFC Ergo is asking me to pay Rs. 4799/- for RTA change. But they asked Rs. 392/- for RTA change to Kukatpally for my colleagues. HDFC Ergo is claiming that the price varies based on RTO location (Kukatpally vs Ranga Reddy). Is their claim correct? Such a big price difference between two RTOs in Hyderabad.

Is this related to the Insurance ownership change or car ownership change? If an Insurance co is asking for some amount I suppose this would be related to the refund of the NCB amount claimed by the Office ownership. AFAIK, the amount to transfer the Insurance ownership is very minimal.

[satnan]

Looking for some advice:

A friend of mine had sold her car through True Value. The RC Transfer was done, but the new owner did not do insurance transfer. The car later met with an accident and my friend received a notice to appear in court related to claim settlement. Respondents are: Current owner, insurance company and my friend who is the previous owner.

I had always thought that the after RC transfer, the new owner has no cover without the transfer of insurance, but it seems I am wrong as per the court notice. Can the informed forum members advise the right course of action in this case? Does she need to appear before court in this scenario?

[thanixravindran]

Originally Posted by satnan

Looking for some advice:

A friend of mine had sold her car through True Value. The RC Transfer was done, but the new owner did not do insurance transfer. The car later met with an accident and my friend received a notice to appear in court related to claim settlement. Respondents are: Current owner, insurance company and my friend who is the previous owner.

I had always thought that the after RC transfer, the new owner has no cover without the transfer of insurance, but it seems I am wrong as per the court notice. Can the informed forum members advise the right course of action in this case? Does she need to appear before court in this scenario?

Irrespective of the events, your friend must appear in the court. Please hire a lawyer to represent and it may need some affidavits to be drafted and filed about the transfer scenario.

[condor]

Originally Posted by satnan

I had always thought that the after RC transfer, the new owner has no cover without the transfer of insurance, but it seems I am wrong as per the court notice.

It's a loophole, IMO, that the insurance continues on previous owner's name even after transfer of car.

Most times, the buyer does not transfer the insurance to himself since it needs one trip to the insurance company office, with the car, and a small fee to do the transfer. The Buyer typically thinks - why spend time and transfer fee - let me do it at time of renewal.

In your friend's case, since the RC transfer was done, the onus should be on the new owner - for not transferring the insurance.

Like @Thanixravindran said, a lawyer will be required for the case.

One question: in the delivery note/document, did your friend mention the list of documents handed over ? If yes, I hope it includes a point about the Insurance transfer forms.

[ninjatalli]

Originally Posted by satnan

I had always thought that the after RC transfer, the new owner has no cover without the transfer of insurance, but it seems I am wrong as per the court notice. Can the informed forum members advise the right course of action in this case? Does she need to appear before court in this scenario?

No, it still stays on the existing owner till the new owner submits a request to the insurance firm to transfer and completes it. For that he'd have to share updated RC and ID documents and they'll have a process from their side to evaluate the condition of the car and charge a fee for the transfer as well as NCB differences (since the previous discount goes to existing owner). Its your friend's headache unfortunately till the insurance expires or is transferred.

In my case, the first owner of my car followed up with me diligently till the transfer happened (took about 6 weeks in total for the RC card and then insurance process). No visibility if the court recognises this loophole as @condor put it, but ask your friend to make her case with a proper lawyer.

[hrishig]

Originally Posted by ninjatalli

No, it still stays on the existing owner till the new owner submits a request to the insurance firm to transfer and completes it. For that he'd have to share updated RC and ID documents and they'll have a process from their side to evaluate the condition of the car and charge a fee for the transfer as well as NCB differences (since the previous discount goes to existing owner). Its your friend's headache unfortunately till the insurance expires or is transferred.

In my case, the first owner of my car followed up with me diligently till the transfer happened (took about 6 weeks in total for the RC card and then insurance process). No visibility if the court recognises this loophole as @condor put it, but ask your friend to make her case with a proper lawyer.

What happens when the (old) insurance expires in the name of the previous owner?

[ninjatalli]

Originally Posted by hrishig

What happens when the (old) insurance expires in the name of the previous owner?

Legally I am not sure of the exact process.

Illegally three scenarios come to mind
- the second owner buys insurance offline via brokers or sites like policy bazaar (if they still allow) with the insurance policy still in 1st owner's name
- the first owner gets 'requested' to support the renewal of the insurance with promises of the renewal being done (sounds ridiculous but I have heard of cases on and off the forum)
- the second owner rides without insurance (quite common for 2-wheeler at least)

[adisan]

Originally Posted by hrishig

What happens when the (old) insurance expires in the name of the previous owner?

The seller can go one step ahead and terminate the insurance when s/he sells the vehicle, no need to wait till it expires. This can be made clear to the buyer as well, that after sale the vehicle will not have a valid insurance at all and s/he needs to get a new policy.

[condor]

Originally Posted by hrishig

What happens when the (old) insurance expires in the name of the previous owner?

At that point, the car is without insurance. When the current owner tries to take a new policy, he has to submit the RC to the insurance company. And new insurance policy will be in the name of the person mentioned on the RC card.

So, if the RC transfer has happened, then the new policy will be on the new owner's name. Ref the point in my prev post here.

[satnan]

Originally Posted by thanixravindran

Irrespective of the events, your friend must appear in the court. Please hire a lawyer to represent and it may need some affidavits to be drafted and filed about the transfer scenario.

Originally Posted by condor

Like @Thanixravindran said, a lawyer will be required for the case.

Thank you for your views. Yes, she is planning to talk to a lawyer and take it forward. The fact that this happened in a different city makes things a little more complicated.

Originally Posted by ninjatalli

In my case, the first owner of my car followed up with me diligently till the transfer happened (took about 6 weeks in total for the RC card and then insurance process). No visibility if the court recognises this loophole as @condor put it, but ask your friend to make her case with a proper lawyer.

Thank you. Yes, I am aware of the process that needs to be followed (what happens when the due process is not followed by the buyer is what is unclear). Even I sold my car recently and followed up with new owner to ensure that the insurance was indeed transferred and got NCB reservation letter in my name. Later when I bought my current ride (pre-worshipped), I used this NCB benefit while transferring the insurance in my name as well. This way, ensuring insurance transfer while sale of the car has financial benefits too, than just avoiding these legal hassles.