Knowledge Centre

Consequence of Not Having a Motor Insurance in India

In India, driving on a public road without a valid third party liability policy is illegal. One needs to understand the fact that a valid motor insurance policy not only helps to keep the legal complications at bay but also secures you and your vehicle against unprecedented incidents. It safeguards your finances and allows you to drive with a complete peace of mind. Be it a two-wheeler, car or commercial vehicle, motor insurance is a mandate for all vehicles. Just like buying a motor insurance in India could be beneficial; similarly not getting one may invite troubles.

Disadvantages of not having a motor insurance

Motor Insurance policies act as a friend and helps you when you need it the most. In case of an accident, theft or vehicle breakdown, your  motor insurance policy helps in safeguarding the risks without creating financial losses.

1. Legal Liability

In case of an accident, if you do not have a valid motor insurance for third party liability policy then two cases will be filled against you- criminal case (for negligent driving) and the second one to get claim you would have to give compensation to the family of the deceased. Such a situation can shatter your financial stability and lead to mental stress.

2. Legal Penalties for not having third party liability insurance

If you are caught driving without a valid insurance policy, traffic police may impose a heavy fine or imprisonment up to 3 months as per motor vehicle act.

3. Financial burden

In case you land up in trouble due to driving without an insurance policy, you will have to waste a lot of time in sorting out the legal issues and pay heavy fine as well as compensation to get rid of the liabilities. In many accidental cases, where the third party person dies or has faced serious injuries, you might have to bear the medical expenses and pay the compensation too.

Keeping the above disadvantages in mind, it is always better to stay safe than say sorry. When the damage is done and you have no control over the situation, you mayhave many choices to deal effectively and fight back the crisis; hence buying a motor insurance in India is a wide decision.

Motor insurance benefits

Just like the disadvantages, there are several advantages comprehensive motor insurance policy offers. Let’s take a quick glance to understand those benefits.

Own damage cover

Covers partial or total loss caused to the vehicle due to accident, theft, fire perils or natural calamities.

Motor insurance third party

Covers legal liabilities arising due to damage caused by your vehicle to third party property or person.

Personal accident cover

It covers costs incurred during medical treatment of the driver. However, you can choose to cover the occupants by paying additional premium

The above listed benefits are the major reasons why one needs to buy a motor insurance policy and secure the vehicle. You can also visit to  buy insurance policies online instantly without any documentation and hassle.

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