As it is obvious with road/driving rules in most countries, including the U.S., driving any type of vehicle without valid vehicle insurance is against the law. It’s also important to note that getting new car insurance is one thing, renewing the policy in time is quite another.
It’s common for many vehicle owners to miss out on insurance policy renewal dates and come at a greater risk of legal tangles when driving with an expired policy. Recklessness is a common reason with some drivers while many drivers simply tend to forget about policy renewal dates.
However, the good part is, you can easily renew your car’s insurance policy after it gets expired. But how to know whether premium differs for car insurance before and after the expiry of policy? Read below of the answers:
How much do premiums for car insurance differ before and after the expiry of the policy
If you are totally unaware as to whether premium amounts change during policy renewal, the answers is yes. However, it majorly depends on several factors. One of the most important factors that determine whether the premium amount will change or stay the same is the claim history of the previous policy.
If you have not made any claim throughout the tenure of your last vehicle insurance policy, the odds of the premium amount remaining the same are in your favor. This is because many vehicle insurance provides offer a perk called a ‘no claim bonus.’ With this feature, you can get discounts on the premium amount during policy renewal if you haven’t made any claim during the tenure of the last policy.
On the other hand, if you have made several claims during your last insurance policy, there’s a high likelihood of your vehicle insurance provider offering you a higher premium quote.
Can we renew car insurance after expiry?
Yes, there’s a common misconception that it’s important to renew car insurance policy before its tenure comes to an end. However, many people miss the policy renewal dates, but they sure can apply for policy renewal even if their last policy has already expired.
What’s more to know is you have the option of renewing the policy either from the same vehicle insurance provider or from another. However, it’s important to note that car insurance expiry grace period depends on one insurance provider to another.
The option of renewing any type of vehicle insurance policy online has made things easier for vehicle owners. They are no longer tied to the obligation of visiting the insurance company’s office and dealing with the hassle of filling up policy renewal forms.