Leaving your native place and relocating to an entirely new city or state is a very emotional process. Hence, while you are surrounded by the memories of your old house, the thought of managing your car insurance details may be something that does not even trigger your mind. Having said that, it cannot be ignored that making changes or upgrading your policy cover is very important.
This article explores a complete checklist of essentials that you need to keep in mind while relocating to another city/state in India.
1. Update Your Address
Your permanent address is the key to communication with your car insurance provider. The documents communicating essential information related to your policy (like coverage, increase in premiums, renewal, etc.) are often sent to your home address. Therefore, updating your address in the policy details is very important.
2. Upgrade Your Policy
Your insurance policy may be valid all across the country. But you may still need to upgrade your policy for several reasons. For example, if you are moving to a metro city from a tier 2 city, you will observe that the number of road accidents is more due to the increased traffic density in the metropolitan cities. Therefore, to keep yourself protected against uncertain financial losses, you will have to buy motor insurance policy that is comprehensive in nature. You can also simply get your old policy upgraded to a comprehensive one for more benefits.
3. Look for Add-Ons
In addition to a comprehensive policy, you must also look for add-ons that provide extra value and coverage to your policy. Now, this completely depends on you as to which add-ons (for example, passenger cover add-on, engine protection add-on) you need to add in the policy cover. So, discuss your needs with the insurance provider to understand the ideal 'add-ons'.
4. Transfer NCB
Before relocating to your new address, if you plan to buy a new car, you must transfer the No Claim Bonus part of your insurance policy to the new car. NCB is related to the policyholder and as the name suggests, it is a discount or reward provided from the insurer's end for not making a claim during the policy period.
5. Get NOC from RTO
Your car must be registered with the state's RTO where you are currently residing. Now, if you wish to relocate, you will have to obtain a No Objection Certificate from your state's Regional Transport Office. Once it is done, you will have to register the car again with the RTO of that new state.
6. Pay Attention to The Premium
Depending on the risks covered, the premium may vary when you relocate. The insurance terms may also vary as the legal regulations differ from one region to another. For example, if you relocate to a high-risk area, you will have to pay a higher premium.
Keeping these points in mind will help you manage your car insurance details without any hassle. However, do have a word with your insurance provider for a clearer understanding of the details.