covers your car against risks like theft, accident, explosion etc.
There is a good chance that the agent you have trusted has delivered to you a fake car insurance Policy and you are still not aware about it. Every year the insurance industry has to bear a significant loss due to policies sold by fraudulent agents. The cost of a motor insurance policy is significant and if such a thing happens to anyone of us, it would pinch our pockets. The pain inflicted is even worse when you are filing Claim for a vehicle that you have either lost due to theft or is completely damaged in an accident.
1) Pay your policy Premium by cheques and make sure that you address it on the right name - If you are mindful about this fact, it is very unlikely that you would become a victim of fraudulent practice. Most insurance companies have the details on what name should people address the motor policy premium payment cheque.
2) Call the Insurer to verify - When you receive the policy, make it a point to call the toll free number listed on the policy document and enquire with them if they have your policy in their records.
3) If you are making cash payment, please ask for premium paid receipt - Paying by cash is risky, but if you get a premium payment receipt you can avoid the wrong person.
4) Beware when somebody is offering you unusually low premium - In your hunt for the lowest premium, make sure that you get all the benefits that you would need and the basic details in the policy are true to your knowledge. Once you receive the policy, check for Insurer Declared Value (IDV), the Deductible portion and the no claim Bonus amount. It is important that these are true and as agreed upon. These values are often manipulated to keep the policy premiums low, and if incorrectly stated you may have a bad claim experience.
Also, compare car insurance policies online. If the insurance premium quoted by your agent is too good to be true, stay away from the policy. Rather, you can also opt to buy online car insurance from a reliable insurance comparison website and save yourself from being a victim of a fraudulent insurance policy.
5) Sign and Verify the Proposal Form - The proposal form includes details on your car and it is important that you sign the proposal form on your own and make sure that the details put in the form are correct. The proposal form would carry details regarding engine capacity, whether the car is run on diesel, CNG or petrol and details on number of claims you have filed for your previous policy. Please either fill the form on your own or care to verify the details after the agent has filled it up for you.