Having a vehicle insurance policy is mandatory as per the Motor Vehicle Act; however, having the same insurance provider for many years may not be a wise decision. It is easier to renew your policy with your existing insurance provider as you don’t have to go through the hassles of checking other policy providers, their advantages and disadvantages, etc. But generally, people fail to understand that in this process they might be spending unnecessary money which can be saved by opting for a new and better policy.
If you are planning to switch your vehicle policy from one insurance provider to another insurance provider, you might be wondering how to go with the switching process? There are few things that you need to be aware of while switching your vehicle insurance policy. You can follow the below easy steps to ensure that you save money while switching your policies.
Look Around
It is always advised to get quotes from at least 3 insurance providers so that you can compare and choose the best one. You can compare their features, discounts, coverage, deductibles, limits, benefits, etc.
Talk to your Current Provider
You can also talk to your current provider as because of the tough competition, your current insurance provider can give you a better deal to retain you back. There are chances that they might match to your rival’s prices.
Penalties
In case you are planning to switch your insurance provider at the time of renewal, the switching process is smooth and easy and there are no penalties. Whereas if you are switching in between your insurance term, you can do so by purchasing another policy and then cancelling the existing policy and in this case, you will need to find out if there are any penalties involved.
Research
You need to be thorough in your research. You cannot assume that just because an insurance company is giving a good deal, it is the right choice for you. One way would be to check the ratio of that company’s customer complaints. You could also check the company’s reviews on its Facebook page, Twitter or through your friends and family.
Cancellation
After switching to a new insurance provider, you need to confirm that your previous insurer has cancelled the policy so that you don’t get any unwanted bills. This step would also keep your credit score safe and sound.
New Insurance Policy
The final step to ensure a smooth and easy switch of your vehicle insurance policy is to get your new insurance policy printed. It is a good idea to save all the documents related to your previous policy as well.
Switching your vehicle insurance policy is not an easy task. We hope these 7 steps would help you in overcoming this task in a smooth, easy and efficient manner. A little bit of research and planning can go a long way in saving some mega bucks for you!