The Supreme Court has ordered stronger digital checks on uninsured vehicles. Here is how to check your policy status, the penalty for driving uninsured, and what happens if your cover has lapsed.
India’s Supreme Court has ordered a tighter system for detecting vehicles that do not have mandatory third-party insurance, bringing automatic checks, e-challans and real-time verification into the enforcement process.
In its August 4, 2026 ruling in National Insurance Company Limited v. Smt. Thungala Dhana Laxmi & Ors., the Court recorded that 16.54 crore vehicles out of 30.48 crore were uninsured. It directed the Ministry of Road Transport and Highways and the Insurance Regulatory and Development Authority of India to improve enforcement through technology.
It called for Automatic Number Plate Recognition cameras to be linked with VAHAN and Insurance Information Bureau data so uninsured vehicles can be detected and e-challans issued. Further, it also asked IRDAI and the Ministry of Road Transport and Highways to work on a pilot linking fuel supply with valid insurance status.
The Court further directed that third-party insurance for new cars should run for four years and for new two-wheelers for six years.
Fine for driving without insurance
Third-party insurance is compulsory under Section 146 of the Motor Vehicles Act, 1988. Under Section 196, a first offence for driving, or causing or allowing a vehicle to be driven, without the required insurance can attract imprisonment of up to three months, a fine of Rs 2,000, or both. A subsequent offence can attract imprisonment of up to three months, a fine of Rs 4,000, or both.
Check your vehicle insurance status
You can check basic insurance details through the Ministry of Road Transport and Highways’ VAHAN service.
- Open the official “Know Your Vehicle Details” page on Parivahan.
- Enter the vehicle registration number.
- Complete the captcha or login verification shown.
- Open the vehicle record.
- Check the insurer name and insurance validity or expiry date.
The official mParivahan app can also be used to view vehicle details linked with the registration number.
Another option is the Insurance Information Bureau portal. Open the IIB website and use its vehicle insurance or V-Seva search facility, where available. Enter the requested registration and contact details to look for the policy record. If a recently renewed policy is not showing, confirm the policy directly with the insurer. Keep the certificate of insurance available.
What to do if your policy has lapsed
IRDAI says a motor policy must be renewed before its due date and that insurers do not offer a grace period for premium payment after expiry.
A break in insurance can require a vehicle inspection before own-damage or comprehensive cover is renewed. IRDAI also notes that extra charges may apply for this inspection. Insurers may use a physical inspection or a digital inspection process, depending on their procedure.
A lapse can also affect your No Claim Bonus. According to IRDAI, if a comprehensive motor policy remains lapsed for more than 90 days, the accumulated NCB is lost. NCB applies to the own-damage premium and normally ranges from 20% to 50%, depending on the claim-free period.
Can uninsured vehicles be seized
Section 207 of the Motor Vehicles Act allows authorised officers to detain vehicles for specified offences involving matters such as driving licence, registration, lack of insurance and permits. A vehicle owner should therefore check insurance validity as well as registration, fitness and permit requirements before driving. If the insurance has expired, renew the required cover before using the vehicle on public roads.
Before renewing a lapsed motor policy, compare the cover, costs and terms that apply to your needs. Need help understanding your options? Connect with MyRupia to get personalised financial guidance.
Disclaimer: This MyRupia article is for informational purposes only and is based on publicly available government, regulatory and industry sources. It should not be treated as investment, financial, tax, insurance, or legal advice. Information, examples, market data, and expert views mentioned in the article may change over time and should not be considered a recommendation to buy, sell, invest in, or surrender any financial product. Readers should evaluate their individual circumstances and consult a qualified financial professional before making decisions.