expired driving license

There is no link in between the two.

Accident may not happen only when you are driving a vehicle, and accidents may happen due to some other unfortunate things, even when you are walking.

When the premium is Rs.120/- per annum, do not hesitate to take the policy.

Knowing that DL expired, and still not making efforts not to renew it is gross negligence.

Forget about others, if others are involved in accidents on your negligence, you have to shell down huge amounts to third party from personal amounts and likely be arrested also for driving without valid license.