Your vehicle is one of the heftiest investments in your life. Even a slight damage to your vehicle might burn a hole in your pocket, then why not prevent the same? Insurance is basically an initial investment which acts as an extra layer of protection to everything, whether it be life insurance, two wheeler insurance, or a car insurance. Despite numerous laws, there are still drivers on Indian roads who haven’t yet insured their vehicles. An uninsured vehicle not only violates the motor vehicle laws but you could end up losing your own vehicle. The consequences can sometimes be really awful – and also expensive.
Things to keep in mind while buying vehicle insurance
- Go for Comprehensive cover over third party: It has become mandatory for every motor vehicle owner to get a third party insurance policy, which provides protection against any damages caused to any third party or their property in an accident. Talking about comprehensive cover, it provides protection to the insured vehicle including the benefits of a third party insurance cover.
- Control your driving behaviors: Driving carefully and safely definitely leads to a reduction in insurance costs.
- Assess the goodwill of insurer: Before opting for any insurance company, a person should check on the company’s background. Insurers should be compared in order to choose the best plan.
Consequences of driving an uninsured vehicle
- Financial losses: Driving an uninsured vehicle comes with its own financial implications. If your uninsured vehicle is involved in an accident, the fine for the same is Rs 2000 for first offence and Rs 4000 for subsequent offence in our country.
- Lose your vehicle: Your vehicle might get impounded by the court in case it is uninsured and you could end up losing your vehicle. If you get in an accident and cannot compensate the opposite party, your vehicle might even get auctioned by the court.
- Suspension of your driving license: There are chances your driving license gets suspended if your motor vehicle is not insured. Not only this, many countries even suspend the vehicle’s registration along with the license.
- Consequences even when not at fault: This might be the worst case scenario. Consider, for example, you are involved in an accident while driving an uninsured vehicle, and the fault is on the other party’s side, even then you can’t claim any sort of compensation for the same.
- Imprisonment: There are cases when the vehicle holder without any sort of insurance may face imprisonment for a time duration.
This is a subjective topic to discuss and might vary from country to country.
Now that you are well aware of the repercussions of driving an uninsured vehicle, make sure that you don’t become a victim of the same. Next time when you take your car for a ride, think of car insurance first.