Most car owners in the Philippines are aware that insurance is a must, especially CTPL (Compulsory Third-Party Liability). Additional coverage, such as comprehensive insurance and add-ons, though optional, is highly recommended for that extra, enhanced layer of protection. Despite all this, Filipinos often fail to maintain continuity and neglect the policy’s expiry date. This can lead to severe consequences, including fines, claim denials, issues with car registration renewal, and more.
Therefore, we always emphasise the importance of carefully monitoring the insurance policy's expiry date and completing the renewal work promptly. Additionally, this article addresses some of the most frequently asked questions about car insurance expiration. If you are a car insurance policyholder, whether first-time or experienced, take a thorough read of this guide to clear all doubts and confusion surrounding the subject. In addition, by the end, you’ll know about your rights & responsibilities as a policyholder - renewal and claim filing essentials.
So, without further ado, let’s begin …
Car insurance policies: Basic to know
Before anything else, it is essential to understand your car insurance policy first. Starting with the different types of car insurance policies at disposal.
In the Philippines, a car owner can obtain policies under the following categories: Compulsory Third-Party Liability Insurance (CTPL), Comprehensive Car Insurance, and Add-Ons.
While the CTPL is required by law and is a must for motor vehicle registration, it offers limited coverage that only extends to third-party injuries or death. Comprehensive car insurance, on the other hand, is optional and is known for providing broader coverage. Last but not least are car insurance add-ons that offer personalised coverage tailored to the applicant's requirements.
Also Read: From confused to confident: Car insurance tips for first-time Filipino drivers
Car insurance expiry: Answering important questions
Q1. What are the risks of driving with expired car insurance?
Ans. Several risks are associated with driving without a valid insurance policy. The biggest one is the entire financial burden falling on your shoulders in case of an accident that otherwise would have been taken care of by your insurer. Furthermore, there is the risk of fines and penalties from authorities, as well as legal liabilities in the event of severe damage or injury.
Q2. Does car insurance expiry affect claim eligibility?
Ans. Yes. If your car insurance policy has expired, you lose all your rights to claim benefits. It doesn't matter if the accident occurred just a day after the expiry date; your car insurance claim won’t be honoured.
Q3. How to check a car insurance policy’s expiry date?
Ans. It is simple and can be accomplished in multiple ways, including reviewing the insurance policy documents, contacting the insurance agent or provider, and checking the reminders set on your phone. Furthermore, insurance companies also send alerts about the approaching policy expiry date.
Also Read: How to check your car insurance expiry date online and offline.
Q4. When does a car insurance policy end/expire?
Ans. In the Philippines, most car insurance providers offer policies that last for one year from the date of activation. Measuring your policy needs annual renewal.
Q5. Do insurance providers offer a grace period for policy renewal after the expiry date?
Ans. The provision of the grace period depends on the insurance company, as some offer it while others do not. The providers who offer grace periods typically have a late renewal window of 7 to 30 days. Be sure to review your insurance policy in detail with your provider.
Q6. What documents are required for a car insurance policy renewal?
Ans. To renew your car insurance policy, the following documents are usually required: vehicle OR/CR, a valid ID, and your previous insurance policy.
Q7. What are the car insurance renewal options available to a Filipino applicant?
Ans. There are two types of car insurance renewal options available - online renewal and in-person/offline renewal. As the name suggests, the former is conducted via a digital platform and is therefore faster, more convenient, and available 24/7. The latter is preferred in cases where face-to-face assistance or additional service is required.
Q8. What are some of the common mistakes to avoid during car insurance renewal?
Ans. A policyholder should stay clear of the following mistakes at the time of car insurance policy renewal -
- Waiting until the last day for renewal
- Forgetting to compare quotes from multiple providers
- Not reviewing the policy coverage for updates like modifications, etc
Also Read: How to switch providers when your car insurance is about to expire
Timely car insurance renewal: Why is it important?
If you think car insurance renewal is just another piece of paperwork that can be done at any time, with no rush or urgency required, we’d like to burst your bubble. A delay in the renewal process can lead to the expiry of the policy, and we have already discussed the consequences of it. On similar lines, here’s why on-time car insurance renewal is essential:
Peace of mind for the policyholder - Timely renewal ensures worry-free driving, as it ensures protection against unexpected expenses.
Easy LTO registration renewal - It is essential that your CTPL insurance is active and renewed promptly, for your car registration renewal to proceed smoothly.
Financial protection - Renew your policy on time and enjoy financial independence against expenses related to car repairs and medical bills arising from an accident, damage due to car theft, or a natural disaster.
Also Read: Step-by-step guide to renewing your car insurance in the Philippines
Car insurance claim - Essential details
Once your car insurance policy gets renewed, you can easily file a claim when needed. However, there are a few essential details you need to know, including the basic steps of filing a claim, common reasons for denial, and tips for a smooth claim application process.
How to file a claim?
Begin by notifying the insurer as soon as possible, submit all necessary documents, cooperate fully with the adjuster, await the inspection, and then receive compensation or coverage.
Common reasons for claim denial
The provider can deny a car insurance claim due to the following reasons -
- False or incomplete information provided by the policyholder
- Expired insurance policy
- Illegal acts caused the accident
- Policy exclusions involved
- Incomplete document submission
What to do for a smooth claim approval process
Wanna get your insurance claim approved? Note these tips -
- Keep an open communication with your insurer or agent.
- Ensure your policy is up to date and renewed on time.
- Submit accurate documents.
Also Read: Filing a car insurance claim: Key coverage you’ll need after an accident
Practical tips for all car insurance policyholders
- Always shop around for better premiums and coverage.
- Set a policy renewal reminder on your phone calendar.
- Choose your insurance coverage wisely, match it to your driving habits and budget.
Bottom line
Car insurance expiry isn’t just about a crucial date that shall not be passed; it is about maintaining your financial security, safety, and mental peace. It doesn’t matter if you are a first-time applicant or a long-time policyholder - policy renewal is crucial for a worry-free driving experience.
In addition, we recommend that all Filipino car owners familiarise themselves with the essentials, including understanding the claim process, keeping their policy updated, and knowing the renewal process to implement it before expiry.
Also Read: How your driving habits impact your insurance rates – What you need to know
FAQs
Q1. Can I avoid missing the insurance expiry date?
Ans. Yes, by setting reminders, subscribing to renewal alerts from the provider, and going for early renewal, you can avoid missing your car insurance expiry date.
Q2. Does an expired car insurance policy status affect the owner's driving record?
Ans. No, not directly. However, driving with an expired license can result in financial and legal penalties.
Q3. How to find out a car insurance policy’s expiry date?
Ans. Check the insurance certificate/papers, ask your insurance provider or agent, or visit the provider's dedicated app.
Q4. Can I renew a car insurance policy online?
Ans. Yes, several insurance providers these days offer fast online renewal facilities - via dedicated apps or third-party providers.
Q5. Can you switch providers before policy expiry?
Ans. Yes, you can choose a new insurance provider mid-term or at the time of renewal.
Q6. What documents are required for car insurance renewal?
Ans. Typically, the following documents are required: the vehicle’s OR/CR, the old policy, and a valid ID.
Q7. Is CTPL insurance the only requirement for a motor vehicle owner?
Ans. CTPL insurance is a legal prerequisite for every Filipino motor vehicle owner. It offers limited coverage, which does not include protection against damages to the policyholder and their vehicle. So, no, it is not enough.
Q8. How much does renewing expired car insurance cost?
Ans. It all depends on several factors, including vehicle type, coverage, and the insurer.
Q9. What happens if my car insurance policy expires?
Ans. This would result in a lapse of policy, with coverage stopping immediately. Meaning the policyholder is no longer protected.
Q10. Can I renew my car insurance policy after its expiry?
Ans. Yes, a car insurance policy can be renewed post expiry; however, coverage will only resume upon renewal.
Q11. Will the authorities charge me for driving with an expired car insurance policy?
Ans. Yes, driving without a valid car insurance policy and getting caught can result in fines and possible impoundment.
Q12. Is vehicle inspection required at the time of policy renewal?
Ans. It depends on the insurer; however, usually, an inspection is not carried out at the time of policy renewal.
Q13. How long does the insurer offer the grace period?
Ans. The grace period varies from insurer to insurer, typically ranging from 7 to 30 days.
Q14. My policy just expired. Can I still file a claim?
Ans. No, as claims can be filed until the insurance policy is active.
Q15. If I switch my provider, will it impact my insurance cost?
Ans. It will lower your premium if you compare two to three providers and choose the one offering the best deal.
Also Read: Car insurance endorsements simplified: A guide to smarter coverage.
