6 Ways to check whether your car insurance policy is fake

A car insurance policy is a form of protection against any mishaps to your car. It is mandatory for the safety of your vehicle if you drive it on Indian roads. Therefore, you must ensure that you opt for an authentic car insurance policy. Let us look at how you check the authenticity of your insurance policy. 

Why do you need to check the car insurance policy?

There are different kinds of fraudsters in the market. The most common type is the online car insurance agents who link you with providers. A random phone call from a call centre or pollution checker at your petrol pump may deceive you. While one has to determine a scammer, there are other effective ways to prevent you from getting tricked.

With increasing demand, sale, and availability of cars in the consumer market, there is also an increase in fraud documentation, values that are misrepresented, and inflated claims that later turn out to be fake and so can become the cause of more financial and legal hazards.

Measures to take to ensure the authenticity of the car insurance policy

1) It is recommended to refrain from buying insurance from a third-party agent. This is because fake agents might lure you with unclear policy terms with a lower premium and promises of higher benefits. Avoid all those places and sources where these fake agents are most unlikely to be available.
2) If you are associating with an agent, remember to check its authenticity. While they make availing of a car insurance policy relatively hassle-free, it is necessary to look into their documentation and license number.
3) Again, if you are buying a car insurance policy from an agent, remember to establish direct contact with the insurance provider company through email or customer care service to ensure it is authentic.
4) Always make an online payment for better records than a cash payment. In case of fraud, you may be able to file a claim and get redeemed. However, be it offline or online, do procure and keep the payment receipt in a safe space as proof.
5) Look through the essential details of the car insurance policy documents, such as the Insured Declared Value (IDV), the No Claim Bonus (NCB), the deductible price, and so on. Only sign documents after checking the terms and conditions. In case of any kind of doubt, check with the insurance provider.
6) According to the Insurance Regulatory and Development Authority of India (IRDAI), all car insurance policies are issued QR codes. Therefore, install a QR reading app on your smartphone and scan the code to get all the details regarding car insurance.

Conclusion

While the primary purpose of a car insurance policy is to provide safety to your vehicle against all odds, it also comes with several advantages, including personal accident insurance, no-claim bonuses, and so on. Before opting for any policy, you should check the information along with all the terms and conditions.