While car insurance is bought with the intention of driving on the road safely, what happens after the policyholder’s demise?
Whether it is a third-party car insurance or a comprehensive policy, there are certain factors that demonstrate the course of action after the policyholder dies.
Note that the process may differ based on whether the type of car insurance policy is an open claim on the policy or not. Navigating car insurance after the owner’s death might sound complex. But with the following things performed, you will be able to handle the matter seamlessly. Get an insight into insurance policies from the official website of Kotak Car and Bike Insurance online.
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Who All are Involved in Transferring Vehicle Insurance After the Policyholder’s Death?
A straightforward vehicle insurance agreement involves the insurance company and policyholder when purchased directly. For offline purchases, the agent or vehicle car dealer will be the facilitator. In case the policyholder dies, the following are the parties involved during the process of navigating the insurance policy:
The Insurance Company should first be informed about the demise of the policyholder. After they are informed, they will modify the policy details accordingly.
If that person had earlier their nominee’s name when availing of that policy, it would be transferred directly to the legal heir. If not, the vehicle insurance policy passes on the deceased legal heir after the due process is completed.
The legal heir needs to transfer the vehicle’s registration certificate to their name from the deceased policyholder’s name. So, they must approach RTO or Regional Transport Office where the vehicle was earlier registered. For RC transfer, authorities may need a NOC (or No Objection Certificate) from the bank if bought on loan.
Documents Required for Navigating Car Insurance after the Death of the Owner
Here are the documents that are required for navigating the vehicle insurance after the owner’s death:
- The original Registration Certificate
- PUC or Pollution Under Control Certificate
- The vehicle’s chassis imprint
- Four-wheeler details & sales certificate
- Four-wheeler insurance policy
- The death certificate of the deceased
- ID proofs and address of the deceased’s legal heir
- Attested Aadhaar copy
- Applicable RTO forms
- Succession Certificate
Vehicle Insurance Transfer Considering Succession Certificate
For natural succession, different individuals may become legal heirs for the insurance policy transfer depending on the relationship of the deceased:
A Single Parent
If the policyholder was a single parent, their child would become the legal heir according to the natural succession. But what if the policyholder has more than one child? The legal heir will be evaluated as per the eligibility for the will or other possessions. If one child is mentioned as the nominee, that individual will be the legal heir of the car insurance policy.
Has a Spouse
If the deceased individual has a spouse, that person becomes the legal heir. Most individuals specify their spouse’s name as the nominee in the insurance policy.
The Closure
Now that you have learned how to navigate car insurance after the owner’s demise, it is time to learn further about car insurance online.
