Motor Insurance : How to utilize no claim bonus completely?
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Insuring things that we love owning so much has never been our strong suit as Indians but the nineties are long gone and specially after the pandemic people at large have realized nothing is certain or to simply put it, back up options are always necessary.
Simply buying the Porsche with a insurance ain’t gonna cut it either but having the right insurance in the right way with the right documents is the key.
Points of Focus
- While buying a second hand vehicle when five to six years have passed already generally a no claim bonus of about 50% can be availed. In order to get this no claim bonus every step in the way should be right and one of major such steps is a getting the Registration certificate(RC) transferred from the transferor to the transferee while checking if any kind of hypothecation was done on the vehicle ever, if yes then as soon as the tenure of the hypothecation is over get the name of the money lender (usually a bank) removed from the RC.
- After getting the hypothecation removed the first and the foremost thing you need to get is a No objection certificate from the bank commonly known as NOC.
- For getting an RC transferred the documents required of transferor and transferee are usually Aadhar card and PAN card while in case when transferor of the vehicle is not an individual but rather a partnership firm other than the former two a GST certificate as well as the partnership deed is necessary.
- In case of individual transferor only one person i.e individual himself is responsible to attest all the documents while in other cases such as partnership firm the GST certificate should be signed by all the partners whereas all the other documents need to be signed by authorized signatory as well as the stamp of the related concern would also come in play in such documents.
- For getting the RC transferred one other hurdle that comes in your way is whether the vehicle carries a high security number plate with it or not since it needs one to complete the process of transferring. The process of getting a high security number plate for the vehicle usually takes about a week.
- Getting the RC transferred can sound a bit complicated with all the details involved and one of such detail is if the vehicle of the transferor has a registration which is paper based rather than chip based than the government fee of getting it transferred is more.
- Other than the above documents Form 29 (Notice of transfer of ownership) and Form 30 (Intimation and transfer of ownership) are required to be filed which include details of the car as well as requires signature of the transferor and the transferee.
- The last thing to pay attention towards is when the RC transfer is complete and the transferee now has to get a fresh insurance policy since transferor already claimed the NCB on the vehicle, the picture verification process would also done again since the motor insurance policy is being freshly issued.
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