Can Car Insurance Be Transferred To New Owner In India?

In India, when you purchase a car, you need to insure it with a car insurance policy. But what happens when you decide to sell your car? Does the existing car insurance policy transfer to the new owner? Well, the answer is yes, it is possible to transfer your car insurance policy to the new owner of your car.

When you are selling your car, you are naturally eager to ensure that the new owner is well protected from any financial burden that may arise due to a road accident or any other damage caused to the car. Therefore, it is prudent to transfer your existing car insurance policy to the new owner. This way, the new owner has the same coverage and protection you enjoyed with the car insurance policy.

How To Transfer Car Insurance To A New Owner?

The process of transferring your car insurance policy to a new owner is simple. You need to inform your insurance provider of the sale of the car and provide the details of the new owner. The insurance company will then amend the name of the policyholder to the new owner. However, you need to bear in mind that the process may take some time, as the insurance provider will have to verify the details of the new owner.

In addition to transferring the policy, you also need to transfer the ownership of the car to the new owner. This can be done either online or offline. If you are transferring the car ownership online, you need to visit the Vahan portal of the Ministry of Road Transport and Highways (MoRTH). You will have to provide the registration number of the car, the chassis number, the engine number and other details. You also need to provide the details of the new owner of the car. Upon completion of the process, the new owner will receive a new RC or registration certificate.

Things To Remember When Transferring Car Insurance

When transferring car insurance to a new owner, you need to keep a few things in mind. First and foremost, you need to ensure that the new owner is covered for the same benefits and coverage you enjoyed with the policy. You also need to make sure that the new owner is aware of the terms and conditions of the policy, including the premium amount and the coverage offered.

You need to remember that the transfer of car insurance is only possible if the new owner is eligible for the policy. The new owner may not be eligible for the same policy if he/she does not meet the eligibility criteria, such as age and other requirements. In such cases, you need to purchase a new car insurance policy for the new owner.

When transferring car insurance to a new owner in India, it is important to keep in mind the abovementioned points. This will help you to ensure that the new owner has the same coverage and protection that you enjoyed with the policy.