Car Insurance

MOTOR INSURANCE
(Two Wheelers & Private Cars)
TYPES OF POLICIES
Motor vehicles are to be compulsorily insured under the Motor Vehicles Act 1988. The insurance
available to meet this requirement is the “Liability Only” policy. This policy covers third party liability
for bodily injury and/or death and property damage. Personal accident cover for owner-driver is also
included. Apart from the statutory cover, the vehicle owner has the option to avail the cover for the
damage to his vehicle. Damage to the vehicle and legal liability to third parties are both covered under
the “Package” policy.
 
FIXING OF SUM INSURED
Insured’s Declared Value
Insured’s Declared Value (IDV) of the vehicle shall be deemed the “SUM INSURED” under the
policy and will be fixed at the commencement of each policy period. The IDV of the vehicle is fixed on
the basis of manufacturer’s listed selling price of the brand and model and adjusted for depreciation (as
per schedule). The IDV of the side car and/or accessories, if any, fitted to the vehicle but not included
in the manufacturer’s listed selling price of the vehicle is/are also likewise to be fixed.
 
The schedule of age-wise depreciation
 
Age of the vehicle for Private Cars and Motorized two wheelers---- Depreciation
Not Exceeding 6 Months                                                                   5%
Exceeding 6 Months but not exceeding 1Year                                15%
Exceeding 1 Year but not exceeding 2 years                                  20%
Exceeding 2 years but not exceeding 3 years                                30%
Exceeding 3 years but not exceeding 4 years                                40%
Exceeding 4 years but not exceeding 5 years                                50%
           Exceeding 5years                                                                          To be agreed
 
SCOPE OF COVER:
 
Loss or damage to a vehicle is included in the “Package Policy” form of insurance when the
contingency is caused by following perils:
Fire, explosion, self ignition or lightning
Burglary, housebreaking or theft
Riot and strike
Earthquake (fire and shock damage)
Flood, typhoon, hurricane, storm, tempest, inundation, cyclone, frost
Accidental external means
Malicious act
Terrorist activity
While in transit by road, rail, inland waterways, lift elevator or air
Landslide and rockslide
 
NO CLAIM BONUS (NCB)
 
For every claim free year, the insured becomes eligible for a “No Claim Bonus” i.e., a discount in the Own Damage premium at the time of renewal of the policy.
 
The policy should have run for a duration of 12 months in the name of the insured.
 
All Types of Vehicles                                                                                 % of depreciation
No claim made or pending during the preceding full year of insurance                     20
No claim made or pending during the preceding 2 consecutive years of insurance  25
No claim made or pending during the preceding 3 consecutive years of insurance  35
No claim made or pending during the preceding 4 consecutive years of insurance  45
No claim made or pending during the preceding 5 consecutive years of insurance  50

 
In the event of a claim, the NCB will become NIL at the next renewal
 
Kindly Contact us for your Car Insurance and other Motor Insurance need ( Bus, Truck, Dumper, Taxi, Auto, Construction Equipment like JCB etc etc) we have policy with cashless and non cashless claim settlement facility.