What is an insurance policy number?

Buying an insurance policy might seem like an unnecessarily forced expense to you, but it is very important. Depending on the type of insurance you choose, it might serve as a protective cover for your family or a valuable investment.

Every vehicle on the road has a unique number for identification purposes. Just like that, every insurance policy has a unique policy number. It serves various purposes. In this article, we will learn what is an insurance policy number and the purposes it serves.

What is an insurance policy number and why is it important?

An insurance policy number is a unique set of number combinations allotted to a policy holder. Through this number, its recognition and coverage span is made viable. It is a set of 8 to 10 digits, usually printed on the insurance card or statements issued by the company. 

Every policyholder must remember or note their policy number as one might need it under certain situations. All types of insurance policies, be it motor insurance, health insurance, life insurance, term insurance, property insurance, etc have a unique policy number associated with it.

Let’s cover a few aspects of when and why is an insurance policy number is deemed important.

Importance of an insurance policy number

1. Renewing your insurance– Every time you plan to either change or renew your insurance policy, this number comes in handy. It ensures that your no claim bonus (NCB) gets transferred to your new policy from the previous one.
2. Police checking– Police routine checks are done so as to make sure of the vehicle’s legitimate owner and possession of certain other documents for safety reasons. It is here that you would need to show your unique insurance number for verification.
3. Requesting for a duplicate policy– Getting a copy of your original policy (if lost) can be done easily when you provide the company with your policy number. Once the system is fed with your previous insurance policy number, details of the same can be easily retrieved to produce a copy. Hence, the workload is reduced to zero!
4. Selling your vehicle– At some point in time, you’d want to sell your vehicle to get a new one. To check the validity of the vehicle’s insurance, the buyer might ask for your policy number to feed his contentment for making a safe and cautious purchase.
5. Updating your insurance policy details– There are times when wrongly pronounced information, like your phone number, address line, name, etc. gets included in your policy details which demand to be rectified at the earliest. To have this done, an insurance policy number proves immensely useful and essential.

The insurance policy number provides your insurance policy with its identity. Being aware of the insurance policy number can help you in several situations. 

You cannot enjoy the benefits of the policies without the unique set of the number assigned for your insurance. Now, that you are aware of what is an insurance policy number and its importance, it is essential that you remember the number and educate others about its importance and benefits.