Auto or car insurance is activated by payment of premiums.
Premiums are a sum committed against an insurance product after every fixed
period of time. It is very important to make regular and timely payment of
premium so that there is no lagging in the car insurance. The paid sum gives
you the legal right to claim for money to cover your losses in event of
accident. To claim finances from an insurance company a person must have
regularly paid the premiums and only after minimum number of premiums paid can
we make a valid claim. Premiums are fixed depending on the risk associated with
car higher the risk higher is the premium to be paid.
Summary:
Payment of premiums is obligation to minimize your financial
risks in event of a mishap. The insurance may lapse due to non payment and
cause you severe legal penalties in event of mishap.
No comments:
Post a Comment