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Second Hand car insurance

What You Need to Know About Insurance on a Second-Hand Vehicle

20th July 2020 8min read 7694 views

Getting yourself a car is always quite thrilling. It doesn’t matter whether this is your first car, a new car or a second-hand car. The entire process of looking for something you like, finding something that fits your pocket and finally getting the keys is a truly wonderful feeling. But, dealing with insurance on a second-hand vehicle can seem really tricky. So, we’re here to break the process down a bit.


Here’s what you need to know about getting your second-hand vehicle insured as a buyer:

The Claim History

Before you hand over your payment, you can check the vehicle’s insurance policy and note down details such as the policy number. You can then call the insurance provider to check the claim history of the vehicle. This will shed a bit of light on the kind of repairs the car has had to go through, allowing you to make an informed decision.

Transferring the Existing Policy

Once you purchase the car, you will need to get the insurance policy transferred to your name within 14 days. For the 14-day period, only the third-party cover of your policy will be active, the rest of the policy will not be active until you transfer the policy. In order to do this, you will need to fill up Form 29 and Form 30 and submit it to the insurance provider. These forms will also have the signature of the car’s previous owner on them. Along with these forms, you must attach the transfer fee and transfer of the registration certificate as proof of sale. You also need to fill up a new proposal form and submit it with all your documents.

Purchasing a New Policy

If you are not happy with the current policy under which the vehicle is covered, you can easily purchase a new policy for your vehicle. In order to do this, you first need to ensure that the car has been transferred to you and that the registration certificate is in your name. Once this is done, you can go ahead and purchase any policy you like to keep the car covered on the road.

Insurance for the Seller

Now, let’s assume you’re at the other end of the deal. Instead of purchasing a car, you’re selling your car off to somebody. If this is the case, you need to make sure you transfer your policy to your next vehicle as well. Don’t forget, you can even transfer your No-Claim Bonus (NCB) to your new vehicle and policy, so it’s important that you get all the paperwork in order before you hand over the keys. Along with the sale affidavit and delivery note, you should also have Form 28 ready. This form is an application for an NOC that will state that you are no longer liable for the vehicle you have sold. You will also have to sign Forms 29 and 30 to enable the car’s new owner to transfer the existing policy in his or her name. Before the policy is transferred, call your insurance provider and make sure that NCB is transferred in your name. This way, you can save your NCB and get it transferred to your next vehicle’s policy.


When it comes down to it, purchasing a car, or selling one, and getting the insurance transferred as required is quite easy. By following these simple steps, you’ll be able to transfer the policy and NCB as required to enjoy a smooth and easy journey.

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