Suggested
Motor Blog
17 Nov 2024
95 Viewed
Contents
As a car owner, you must have heard about the mandatory requirement to buy a car insurance policy. It follows the Motor Vehicles Act that stipulates a third-party insurance cover as the minimum requirement. Violating the law not just attracts legal penalties by way of fines, it also attracts risk of legal liability in case of an accident injuring a third person or their property. Hence, you must buy third-party four-wheeler insurance to the least. Alternatively, you can also purchase a comprehensive insurance plan that also includes the damages to your car. A car insurance policy also requires all vehicle owners to have personal accident insurance. It is mandatory, irrespective of the type of insurance policy bought, i.e., third-party plan or comprehensive policy. This personal accident cover provides coverage for the owner-driver of the car. So, in case of an accident that results in the death or disability of the insured individual, a personal accident plan provides compensation to the legal heirs. But in many situations, it can be difficult for such an individual to prove about being the successor. Thus, in these kinds of situations, the nomination facility comes handy. A nominee is an individual whom the insured proposes to be the receiver of any proceeds in the event of death.
Section 39 of the Insurance Act of 1938 confers a right by using which the policyholder can nominate an individual to receive any death or disability benefits that the personal accident cover provides. Generally, a person nominates either their spouse, children, sibling, or parents as a nominee. You are free to appoint any individual as a nominee while - buying a new insurance plan, renewing it, or even at the time of a car insurance transfer.
Adding a nominee is a crucial step when buying or renewing your policy. You must not miss it for the following benefits:
The simple answer is no, it isn’t mandatory to make a nomination. However, in the event of an ill-fated demise due to an accident, such a nomination will be helpful, as your immediate successor will not be required to prove the legality of being the heir and can swiftly receive any compensation amount. To summarize, appointing a nominee helps your dependents receive any policy benefits in your absence. Thus, do not overlook this step when buying or renewing your car insurance plan. Insurance is the subject matter of solicitation. For more details on benefits, exclusions, limitations, terms and conditions, please read the sales brochure/policy wording carefully before concluding a sale.
3177 Viewed
5 mins read
20 Oct 2024
175 Viewed
5 mins read
16 Nov 2024
49 Viewed
5 mins read
15 Dec 2025
95 Viewed
5 mins read
07 Jan 2022
What makes our insurance unique
With Motor On-The-Spot, Health Direct Click, etc we provide fast claim process , Our sales toll free number:1800-209-0144