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“How I wish I had renewed my car insurance in time!” - Learn how timely renewal can minimize your financial loss.

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Published on May 18, 2021. EST READ TIME: 3 minutes

As the tropical cyclone Tauktae continues to wreak havoc on India’s western coast, sweeping through coastal states of Kerala, Goa, Maharashtra and Gujarat, the safety of people and property remains a top priority. While individuals can always take shelter in concrete structures to protect themselves, there is an equally crucial responsibility to protect valuable possessions, particularly cars. In these circumstances, car insurance renewal is critical. Existing car owners must ensure that their vehicle is always covered by a suitable insurance policy to minimize any financial losses arising from vehicle damage or other related conditions.

Why car insurance renewal is crucial during natural calamities?

Thankfully, insurance for car covers damages caused by natural calamities, including cyclones, floods, earthquakes, etc. However, in order to take advantage of such benefits, you must have comprehensive car insurance coverage. Thus, in view of the damages that can occur to your car during natural calamities, like the cyclone Tauktae 2021, below are some important reasons why you must go for timely renewal of your vehicle’s insurance policy for all-time coverage.

1. Compensation for external vehicular damage due to calamity

Natural calamities, such as the latest tropical Tauktae cyclone, are potent enough to damage concrete structures and uproot trees. In an unfortunate event where your vehicle is parked within the perimeter of such an occurrence, it may sustain significant damage. However, if your vehicle is insured with comprehensive car insurance policy, along with add-on covers like Return to Invoice, your damages will be taken care of, keeping your finances afloat.

2. Coverage against internal damages due to flooding

Cyclonic rainfalls often result in flooding, posing a severe threat of engine malfunction due to submersion. Thus, timely renewal of comprehensive car insurance policy and choosing add-on covers such as Engine and Gear Box Protection, can provide the required compensation for damages sustained and expenses incurred in repairing engine parts, gearbox parts, and other malfunctioning differential parts.

3. Constant Emergency Roadside Assistance

Driving through a flood-affected area can strand you due to a submerged engine or flat tyre. In case you timely renew your comprehensive car insurance policy, you have the option of purchasing the Emergency Roadside Assistance add-on cover. This cover offers various 24x7 services, including refuelling, tyre changes, towing assistance, among others, for a worry-free drive.

It is important to note that if your car is only covered by a third-party insurance policy, you may be denied such benefits in case of a natural calamity. Thus, you may need to upgrade your vehicle's insurance from third-party to comprehensive coverage.

Conclusion

While third-party car insurance only covers liabilities incurred by a third party due to the involvement of the insured vehicle, a comprehensive car insurance policy offers much wider coverage that includes natural disasters such as cyclone Tauktae. In fact, post the devastating floods in Kerala few years back, the Insurance Regulatory and Development Authority of India (IRDAI) has asked the insurance company to simplify the claim-settlement procedure for natural disasters.

Thus, if your vehicle gets damaged in this cyclone, your insurance company has your back. But ensure you renew your car insurance within time and count in policy exclusions so that you are financially prepared for any unforeseen expenses that are not covered by a car insurance policy.

Disclaimer: The above information is for illustrative purposes only. For more details, please refer to policy wordings and prospectus before concluding the sales.

This blog has been written by:

S. Gopalakrishnan | Motor Insurance Expert | 40+ years of experience in insurance industry

A veteran in insurance industry, S. Gopalakrishnan is a name to reckon with in the field of reinsurance; he has headed the Reinsurance department and has rich experience in other fields of motor insurance. He loves to share his opinion on the latest topics in the insurance industry and how he can help people in safeguarding their assets using insurance products.

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Few Other Articles:

• Still driving your car with a lapsed insurance policy? Here’s what you should know

• Struck by ‘Act of God’? Protect what you love with insurance

• Save more by avoiding these common mistakes while renewing car insurance

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