NRI and Planning To Take Car Insurance? Here’s What You Should Know

Are you a non-resident India (NRI) looking for an appropriate and suitable health insurance plan?

Well, before proceeding ahead you must be aware of certain factors to make the process easier.

It is nothing unusual that the economic condition in India is booming and thus, any investment plan made on Indian soil will boost your overall finances in the long run.

There are lots of insurance companies which offer customized plans only to suit the needs of the customers and prove to be dedicated to them.

At the initial stage, you need to create an NRO account. It is similar to a regular bank savings account but has certain restrictions.

You can deposit the earned rupee in the account and also deposit funds from abroad.

Checking the eligibility

NRIs can buy a life insurance or car policy in India but only after meeting certain conditions.

The individual must have an Indian passport or anytime in the past to prove the identity.

Also, the person or his/her grandparents were a citizen of India under the Constitution of India of the Citizenship Act in 1955.

An NRI is eligible to buy any insurance plan only if he/she is a spouse of an Indian citizen. Make sure you have a valid passport issued by the Government of India.

After meeting these criteria, choose the insurance company carefully.

Finding a reliable insurer is pivotal. There are lots of insurance companies in India which offer a range of plans.

You need to choose the appropriate based on personal requirement.

Never compromise with the factors like the pedigree of the management, track record, claimed settlement ratio and parent’s group experience.

When it comes to NRIs, there are no specific policies.

However, there are some insuring companies which have considered restructuring the plans only suited for NRIs.

They can help you with the entire documentation process and other legal requirements. These companies can also help you with the taxation process especially when it comes to car insurance policies.

In a general policy life cycle, there are three stages – investment, accumulation, and maturity. Well, in India, current tax laws exempt at all three stages.

Therefore, you must also look at whether the same applies in your country or not.

What to look for?

As you are located outside the country, make sure that the payment premium method is clear to stay away from confusion in the future.

However, you can always opt for a payment policy that is suitable for foreign currency.

The benefit will be; you can pay the premiums in foreign currency. As per the convenience, you can also opt for a policy that is rupee dominated.

In most cases, insurers prefer bearing the cost of the requisites. However, you can also choose to do this from overseas and send the reports to the insurance company.

If you are looking for car insurance online policies, always consult thoroughly with the experts before investing.

Taking the expert’s opinion is always recommended especially if you are not aware of the policies.

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