What Are the Consequences of a Lapsed Car Insurance?

[Angel]

There are many consequences of a lapsed car insurance. Increased Premiums: If the vehicle's insurance lapses and is not renewed promptly, the cost of reinstating the insurance will be higher. No Claims Coverage: In the event of an accident during the lapse period, all losses will have to be borne by the vehicle owner as no claims can be made. Penalties: Driving a vehicle without valid insurance can lead to penalties and impoundment by traffic police. Purchasing Insurance Car insurance can be purchased according to the owner's needs, either at a 4S dealership or elsewhere. Generally, for vehicles purchased with a loan, insurance must be bought at the dealership, along with a certain renewal deposit. Compulsory traffic insurance is mandatory in China and must be purchased for all vehicles.