This is What Could Happen if You Drive Without Car Insurance

Car insurance is a type of insurance that is meant to protect your car from
unexpected risks or accidents. In case of instances wherein loss is inevitable, car
insurance offers protection and sometimes, reimbursement. It helps the insured
in case of theft, major financial problems due to an accident, and any other
liabilities. The insured, the car of the insured, and the third party are all covered
under car insurance. As in the case of other insurance policies, you have to pay
a premium every year for car insurance. The premium depends on factors such
as the current value of the car, type of coverage, and the classification of the
vehicle. Thanks to the advancement of technology, you can opt for car
insurance online as well as offline. You can also compare the quotations of
various car insurance policies before you buy car insurance online. Car
insurance gives the insured a sense of confidence in case of accidents and has
proven to be a huge blessing to the insured. However, there are some people
who fail to buy car insurance online or offline and this is what could happen if
you drive without car insurance:

1) You will have to pay a hefty fine- In 2014, the Government replaced the
Motor Vehicles Act of 1988 with the Road Transport and Safety Bill of
2014. If you are caught driving without car insurance, according to the
Road Transport and Safety Bill of 2014, you will be penalized quite
heavily. For light motor vehicles, the fine is INR 25,000 and for heavy
 motor vehicles, the fine is INR 75,000. We would call that a hefty fine,
wouldn’t you?
2) You have to pay for the damage of a third party- If you get into an
accident and the third party or their property is damaged, you have pay
for the damage caused. This is called third party liability. Car insurance
covers this liability and you do not have to pay for the damage. However,
if you are not insured, these losses will burn a huge hole in your financial
pocket especially if the third party dies.
3) You have to pay for your own damage- Not only do you have to pay
for the damage caused to the third party or their property; you also have
to pay for damage caused to your own car. Car insurance covers the cost
of repairs; however, without insurance, the exorbitant repair costs are
yours to bear.

4) You lose your no claim bonus if your insurance is expired- When you
buy a new car, getting car insurance is mandatory. Renewing your
policy is then your responsibility. However, if you fail to renew your
policy and it expires, you lose your no claim bonus which has been
accumulated throughout the year.
Not buying car insurance comes with consequences that you will have to
tolerate for a long period of time. We hope this article gave you some clarity
and strengthened your decision to buy car insurance online or offline.