So, you have bought a new car! And along with it, you must have purchased your car insurance policy also, as it is mandatory under Sec 146 of the Motor Vehicles Act, 1988. While you would have comprehended most of the important aspects of car insurance, there may still be certain issues that you seek more information about. Portability of your motor insurance policy could be one of them.

What is car insurance portability?

Simply put, porting your motor insurance policy means switching from your existing insurance provider to a new one.

Why would you want to port your car insurance policy?

There could be a mix of reasons to opting for a switch in insurance provider. Stated below are some of the more common ones:
  • You might have got increased/similar coverage at reduced premiums
  • You might benefit from better value-added services and an easier claims settlement procedure
  • You might see benefits of additional covers at exactly the same or reduced premiums than what you’re shelling out now

When can you port your motor insurance?

There is no restrictive clause with regards to the timing of porting your motor insurance policy – you may choose to do it any time while your policy is still in effect. That being said, the ideal time would be when your existing policy is up for renewal, i.e. a period of around 45 days prior to the date of policy expiration.
This will ensure that you avail all the benefits from the existing insurer and then smoothly move onto another insurance company.

Will I get to port my No Claim Bonus (NCB) as well?

Yes, you can. As per the Insurance Regulatory and Development Authority (IRDA)’s regulations, you can transfer your NCB benefit along with your insurance policy. All you need is the proof of your NCB from the previous insurer. This can be the confirmation of the NCB from the previous insurance company or a notice of policy renewal.

A few important pointers regarding portability of motor insurance

Look before you leap
A lower insurance premium cannot be the sole reason for porting your car insurance. While zeroing in on an insurance company, you should also examine factors other than premium. These can be claims settlement ratio, claim settlement procedure, network of cashless facilities, smooth web interface, quality of value-added services and the likes.

Compare your quotes
If you wish to port your motor insurance policy, it would be a wise move to compare the policies and various add-ons offered by different insurers. Additional covers galore, including cashless garage service, road assistance cover, zero-depreciation cover, etc. The idea here is to assess the add-ons that you would need the most, factor in your budget and then proceed.

Time it right
If you decide to port your insurance, you should do it at the time of renewal of your policy. Hence, searching for a suitable alternative, say a couple of months prior to policy renewal, would serve the purpose.
In case the policy expires while you are still in the process of finalizing the new insurer, it would tantamount to taking out a new policy - which might prove to be expensive.
So, armed with this knowledge about portability of motor insurance, make wise choices and avail the best possible insurance cover that fulfils your needs to a T.

Click here to apply for a motor insurance.


The information contained herein is generic in nature and is meant for educational purposes only. Nothing here is to be construed as an investment or financial or taxation advice nor to be considered as an invitation or solicitation or advertisement for any financial product. Readers are advised to exercise discretion and should seek independent professional advice prior to making any investment decision in relation to any financial product. Aditya Birla Capital Group is not liable for any decision arising out of the use of this information.

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