When you purchase a bike or a car, you strive to do your best in your beloved vehicle’s best interest. Getting two-wheeler or four-wheeler insurance, for once, is one of the most important things. Since it is also a legal mandate, you have no option but to buy car insurance or a bike policy at the time of the purchase of your vehicle.
Comparing various policies using a car insurance premium calculator to find the best plan is also the norm. This choice of car insurance policy is a big task since you have to protect the vehicle from external and financial losses and also protect yourself from the liability towards a third party. But how does a third person know whether or not the bike is insured? Through the certificate of insurance!
The certificate of insurance is an important document in the world of automobile insurance and motor vehicles. It is the kind of document that stands as proof that the vehicle is insured and also provides important information about the two-wheeler, 4-wheeler/car insurance. This blog will discuss the key information about this certificate of insurance.
Obtaining a Certificate of Insurance
Getting a certificate of insurance is necessary according to the Motor Vehicle Act. If you buy a vehicle; a car or a bike, you must purchase an insurance policy that best suits your vehicle.
When it comes to the certificate, there is no other requirement to obtain the certificate. Just buying a policy will win you the document.
Whenever there is a police inspection, you will have to show your driver’s licence, identification card, pollution certificate, registration certificate, and bike or car insurance certificate.
The certificate of insurance is normally in the format that is mentioned in the form 51. Let us look at it in detail.
What Information Does Form 51 Contain?
Form 51, also known as the “Certificate of Insurance,” is an official document issued by an insurance company that provides important details about a motor vehicle insurance policy.
The form 51 is also known as the certificate of insurance. It contains all the necessary information regarding your insurance policy.
- Insurance Policy Number
The policyholder is given a number that is unique to the vehicle and the policy. The policy number is allotted to the insurance plan and the insured vehicle. It serves as a reference point for the insurer, the policyholder, and the authorities.
- Policyholder’s Details
This section of the form 51 contains the information regarding the policyholder. Details like name, address, email, and contact number.
- Vehicle’s Details
In this section of the form, you will find the registration number, vehicle identification number, chassis number, make and model, and more such information about the vehicle. This is essential information when it comes to insurance and its effect on the vehicle.
- Policy Tenure
The policy tenure section in Form 51 signifies the start and end dates of the insurance policy. They are clearly mentioned so that the authorities and policyholders know the expiry date for important reasons like renewal and premium payments.
The certificate mentions the limitations the bike or the car has regarding its usage. If the vehicle is being used for something beyond its capacity, it will not be considered for a claim in case of an accident.
Importance and Benefits of Certificate of Insurance
- When we look at the law, the Motor Vehicle Act, each and every owner is obligated to have insurance for their car or bike. This, by default, means that they are supposed to carry proof of that insurance. This mandatory proof is the certificate of insurance.
- If you are caught riding a bike without an insurance policy, you will have to pay fines or penalties. Nowadays, since the digital copy of the insurance certificate is allowed, it is easier for the authorities to penalise people who do not even have digital copies.
- It is proof of your liability towards the third party in case of an accident. This is an extremely important point because this sustains safety on the road.
- In case of an accident, the certificate plays a pivotal role. You can raise a claim immediately and save yourself from a lot of trouble. Since it mentioned the expiry date, the policy providers, policyholders, and the authorities know the policy is active and can work towards claim and damage repair.
To summarise the discussion, we can say that the insurance certificate is a tool that promotes road safety and financial security for the policyholder as well as the insured motorcycle.
This makes it an important document you must carry with you, a physical or digital copy. It isn’t something you should only own. You should be well-informed about it and should be able to navigate the information thoroughly!