Car Insurance | Auto Insurance | Motor Insurance | Vehicle Insurance | General Insurance

Vehicle insurance is also known as auto insurance, car insurance, or motor insurance. And this type of insurance is actually purchased for various automobiles like cars and trucks. Primarily, its purpose is to provide protection against great losses that could be incurred as a result of traffic accidents or crashes. However, there are various types and ranges of coverage that these auto insurances have.Information about Motor insurance from The New India Assurance co.Ltd.is given here

Motor Policy of The New India Assurance co.Ltd.

This policy covers all types of vehicles plying on public roads such as:-

* Scooters &Motorcycles
* Private cars
* All types of commercial vehicles
* Motor Trade (vehicles in show rooms and garages)

Two types of covers are available:
1.Liability Only policies:

The policy covers the vehicle owner’s legal liability to pay compensation for:

1. Death or bodily injury to a third party person.
2. Damage to third party property.

Liability is covered for an unlimited amount in respect of death or injury and damage to third party property for Rs.7.5 lacs under Commercial vehicle and private and Rs. 1 lakh for Scooters / Motor Cycles.

2.Package Policy

In addition to the coverage under liability only, this policy covers loss or damage to the insured vehicle and its accessories due to:

1. Fire, explosion, self-ignition or lightning.
2. Burglary, housebreaking or theft.
3. Riot and Strike.
4. Malicious Act.
5. Terrorist Act.
6. Earthquake (Fire and Shock) Damage.
7. Flood, Typhoon, Hurricane, Storm, Tempest, Inundation, Cyclone and Hailstorm.
8. Accidental external means.
9. Whilst in transit by road, inland waterway, lift, elevator or air.
10. By landslide/Rockslide

The policy also pays for towing charges from the place of accident to the workshop upto a maximum limit of Rs.300/- for Scooters/Motorcycles and Rs.1500/- for cars and commercial vehicles. It is also permissible to opt for higher towing charges subject to payment of extra premium.

A restricted cover is also available covering the risk of Fire and/or Theft only, in addition to the compulsory cover granted under “Liability Only Policy”. However the same is not available in case of vehicle ratable under Class D, Tariff for Miscellaneous and special types of vehicles.

The important exclusions under the policies are:

* Wear and tear, breakdowns
* Consequential loss
* Loss when driving with invalid driving license or under the influence of alcohol.
* Loss due to war, civil war, etc.
* Claims arising out of contractual liability.
* Use of vehicle otherwise than in accordance with `limitations as to use ‘ (e.g. private car being used as a taxi)

Rating factors Rating depends upon the following factors:

1. IDV.
2. Cubic capacity
3. Geographical zone
4. Age of the vehicle
5. GVW of in case of commercial vehicles
6. Add on Covers

The policy can be extended to cover the following risks on payment of additional premium:

1. Loss or damage to accessories fitted in the vehicle such as stereos, fans, air-conditioners etc.
2. Personal accident cover under private car policies for:
* passengers
* paid driver
3. Legal liability to employees.
4. Legal liability to non-fare paying passengers in commercial vehicles.
Any vehicle owner whose vehicle is registered in his/her name with the Regional Transport Authority in India.

The sum insured of a vehicle in a Motor Policy is referred to as the I.D.V., which stands for Insured’s declared Value.

In case of theft of vehicle or if the vehicle is totally damaged and beyond repairs in an accident, the claim amount payable will be determined on the basis of the IDV. The IDV of the vehicle is to be fixed on the basis of manufacturer’s listed selling price of the brand and model of the vehicle proposed for insurance at the commencement of insurance / renewal and adjusted for depreciation as per schedule.

IDV of vehicle which is beyond 5 years of age and of obsolete models of the vehicles (i.e. models which the manufacturers have discontinued to manufacture) is to be determined on the basis of an understanding between insurer and insured.

Sources : http://www.niacl.com/