Please wait... We are calculating your premium.

How to transfer Car Insurance after selling your car to another person

17

If you possess a car, it is mandatory for you to get a car insurance policy in India. That apart, it is also a very sensible thing to do as it will protect you financially not just in the event of an accident, but also against thefts and damages caused by natural disasters. However, there comes a time when you would wish to sell off your car. It may be for any number of reasons, such as upgrading to a newer model, or if you are relocating, or even if you simply don’t need a car anymore. Moreover, selling your car will directly impact the insurance cover you have on it. When you sell your car, you do not just have to transfer the ownership of the car, but you also have to transfer the car insurance policy on it or recommend the buyer to take out a new car insurance policy. Let’s look at the process of selling a car in more detail.

Transferring the ownership of your car

When you sell your car, you will have to transfer all the documents related to the car to the new buyer. These documents include the registration certificate of your car, the form 29/30, the taxation certificate, the PUC certificate, a declaration stating that you are selling the car, a copy of the existing car insurance policy, and a no objection certificate.

Transferring the car insurance policy

At the time of selling your car, if you are entitled to a no-claims bonus, you can reserve it, and avail the bonus whenever you buy a new car and a new policy with it. If you are selling your car on which you have already paid an insurance premium which is valid for some more months, you can factor that in a while putting a value on the car you are selling and claim it from the buyer. However, you will have to avail your no-claims bonus within three years, after which it will stand nullified.

Advise the buyer to buy a new car insurance policy

If at the time of selling your car, the insurance policy on it is close to renewal time, you should recommend the buyer to take out a new car insurance policy. It is relatively easier to take out a new insurance policy at the time of buying a used car, as later the process will be more cumbersome for the buyer. Online car insurance premium calculators can be of great help at such times.

Ensure that the transfer of insurance is properly complied with

You should ensure that the insurance policy is transferred properly in the best interest of both you and the buyer. If the transfer of insurance is not done properly, the buyer will not be able to claim any damages in case of a mishap, while at such a time, it is you who may be held liable.

While buying or renewing a car insurance policy, take a look at the various car insurance plans that Bharti AXA has, as they offer comprehensive coverage at very reasonable premiums. They are also very efficient when if comes to settling claims.

Bharti AXA Advantages

We've raised the bar in being your car ideal insurance companion

101 BRANCHES ACROSS INDIA

INSTANT POLICY

9.8 MILLION POLICIES ISSUED

24/7 CLAIM ASISTANCE

Request Call Back

Disclaimer : The information published on this website is for the public's reference only. Content of this information is to provide an overview of your Travel needs and should not be relied upon for personal, medical, legal or financial decisions and you should consult an appropriate professional for specific advice. Bharti AXA General Insurance Company Limited makes no representations about the suitability, reliability, timeliness, and accuracy of the information, travel, services, or any other items mentioned on this subject for any purpose whatsoever.

Error Occured
Error Occured