Sometimes, when a final policy cannot be signed, this is the solution offered by insurers.
We tell you everything you need to know about the insurance proposal. At the time of taking out a policy,it is normal for us to be the insurer, with the details of the vehicle, driver, taker… inform you of coverages and price; If it fits you, you hire it.
Don’t miss out on car insurance types: these are the ones that exist
But sometimes there is no choice but to resort to emergency solutions, because you need insurance right away, and not all the requirements that the insurer requires to take out the insurancecan be met. And it is in these cases that the insurance proposal is used.
What is an insurance proposal?
The following examples show when the insurance proposalcomes into action:
Imagine you want to buy a second-hand car on a Saturday afternoon, and the insurance to hire is a real risk. In such a case, the insurer needs to percite the car, because it must check if it has blows, if it has any broken moons… But on a Saturday afternoon, an expert probably won’t be available. In this case, an insurance proposal is made.
Imagine that an insurance agent is the one who sells the insurance. Agents can’t make some insurance because they don’t have the power to perish. This is another case where an insurance proposal is made.
Suppose you have a car with a few years, and you do the insurance contract with a brokerage. This does not know, for sure, whether or not your vehicle is excluded from the insurance company. In this case, an insurance proposal is made.
Characteristics of the insurance proposal
Therefore, there are many occasions when the insurance proposal is used. To make up our minds, it would be as temporary insurance,and has two fundamental characteristics:
The insurance proposal is valid only for a few days.
In most cases, you only have one coverage, the Compulsory Civil Liability coverage.
The insurance proposal what it actually does is to provide minimum insurance to be able to circulate, that is, that you are not sanctioned by the Civil Guard or Police if you stop, and cover the damages to third parties if you have a claim.
Don’t get lost: Are insurance policies for an electric?
This is in most cases because there are situations where an insurance proposal can have other coverages such as travel assistance, driver insurance, legal defense, or voluntary civil liability.
And even, in certain insurers, and for new vehicles, theft, moons, fire, and damage to your vehicle may be in effect.
Don’t trust yourself; look closely at the insurance proposal you’ve signed, to find out what you’re entitled to. Per course, your intention was to have full insurance, and in the proposal you have no right to:
Remember, by law you are required to have at least compulsory Civil Liability coverage.
What must an insurance proposal have to be valid?
A proposal for compulsory subscription insurance must contain at least the following indications:
Identification of the owner of the vehicle, the habitual driver, the policyholder and the address for the purpose of notifications. If the taker is not the owner of the car, the concept in which he hires must be indicated.
The identification of the car, make, model, characteristics of the same and registration or analogous distinctive sign.
The guarantees that have been requested such as those offered, which in no case may be less than those of compulsory subscription insurance.
Clear identification and stressing that this is an insurance proposition.
The minimum coverage period, with indication of the day and time of its initial count.
Attention, if these requirements are not met, the proposal is invalid, and if you had a claim on those days, you may have problems.
Don’t get lost: Who cheats on insurance?
Example: Imagine that an agent made you a proposal, but it is not valid, and as long as the insurer sends you the final insurance or not, you run over a pedestrian, and you have to compensate him with 300,000 euros.
How long does an insurance proposal last?
During the 15-day period, an application for compulsory subscription insurance, from the time it is made by the insurer, or its agent, produces the effects of risk coverage. It must be known that it is completed when a copy of the application sealed by the insurer or its agent is provided to the applicant.
The insurer within a maximum period of ten days from the insurance application may reject the same, by writing to the taker or by any means reflecting the constancy of receipt, making clear the reasons, and shall be entitled to receive the premium corresponding to it for the coverage of the fifteen days provided for in the preceding paragraph. If after the ten-day period the insurer has not refused the contract, it shall be understood that it has been admitted.
After the application and after the ten-day period, the insurer must send the insurance policy within ten days.
The proposal of compulsory subscription insurance made by the insurer or its agent, will bind the insurer for the period of fifteen days.
Once the proposal is accepted by the policyholder, the contract will be understood to be perfected, always being safe, in case of non-payment of the first premium due to the policyholder, the right of the insurer to terminate the contract through a letter addressed to the member by registered mail with acknowledgement of receipt or by other means valid in law, or to demand payment of the premium. Accepted the proposal by the policyholder, the insurer must deliver the insurance policy within ten days.
Insurers prefer it
There are companies that prefer to make a provisional proposal first as a pre-final insurance step. Why? To avoid picaresque. For example, suppose you buy a car from a friend, but he has some friction on the bumper. Solution: Call the insurer by phone to make the insurance at risk, so you can give a piece after a few days and have the frictions covered.
Insurers solution: they make you an insurance proposal and until you’re stopped by the vehicle, they don’t make you the ultimate insurance.
Try to avoid an insurance proposal,because it may have coverage that you think you have contracted and the proposal does not cover you. If you have no choice, make the proposal, but make sure that all the requirements are met, and also, speed up the procedures so that your insurer will give you, as soon as possible, the final insurance.