Any Query on this policy mail us at:
More Personal Policies
This policy covers all types of vehicles plying on public roads.
This policy covers all types of vehicles plying on public roads such as:-
Scooters & Motorcycles
All types of commercial vehicles
Motor Trade (vehicles in show rooms and garages)
As per the Motor Vehicles Act, 1988 it is mandatory for every owner of a vehicle
plying on public roads, to take an insurance policy, to cover the amount, which
the owner becomes legally liable to pay as damages to third parties as a result
of accidental death, bodily injury or damage to property. A Certificate of
Insurance must be carried in the vehicle as a proof of such insurance.
Two types of covers are available:
Liability only policy. This covers third party liability for bodily injury
liability and / or death and property damage. Personal Accident cover for
Owner-driver is also included.
Package policy. This cover loss or damage to the vehicle insured in addition to
No- claim discounts are available on renewal of policy, ranging from 20% to 50%,
depending upon the type of vehicle and the number of years for which no claim
has been made.
Liability Only policies:
The policy covers the vehicle owner's legal liability to pay compensation for:
Death or bodily injury to a third party person.
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.
In addition to the coverage under liability only, this policy covers loss or
damage to the insured vehicle and its accessories due to:
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 and Hailstorm.
Accidental external means.
Whilst in transit by road, inland waterway, lift, elevator or air.
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
Loss when driving with invalid driving license or under the influence of
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 depends upon the following factors:
Age of the vehicle
GVW of in case of commercial vehicles
Add on Covers
Add on covers
The policy can be extended to cover the following risks on payment of additional
Loss or damage to accessories fitted in the vehicle such as stereos, fans,
Personal accident cover under private car policies for:
Legal liability to employees.
Legal liability to non-fare paying passengers in commercial vehicles.
Who can take the policy?
Any vehicle owner whose vehicle is registered in his/her name with the Regional
Transport Authority in India.
How to select the sum insured?
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
How to claim?
In the event of an incident giving rise to a claim under the policy, the
following steps should be taken:
In case of accidental damage to the vehicle:
Immediate intimation to the nearest office, which will issue a Claim Form.
Claim Form duly filled in to be submitted along with copy of Registration
Certificate and driving license of the driver of the vehicle at the time of
accident as also estimate of repairs.
Vehicle will be surveyed by a Surveyor, appointed by the insurance company, who
shall submit his report to the company. In case of a major damage to the
vehicle, a spot survey, at the site of accident, would also be arranged by the
Final bills/cash memos are to be submitted duly signed by the insured.
Salvage of the damaged parts may be required to be deposited with the insurance
company after approval of the claim.
In case of theft of the vehicle:
Lodge an F.I.R. with the police immediately.
Inform the policy issuing office with a copy of FIR.
Submit the Final Police Report as soon as it is received.
Extend full cooperation to the surveyor and/or investigator appointed by the
After approval of the claim by the company, get the Registration Certificate
transferred in the name of the company, hand over the keys of the vehicle,
submit a letter of Subrogation and Indemnity on stamp paper duly notarized.
In case of liability claim:
Inform insurance company immediately of any incident likely to give rise to
On receipt of summons from Court, the same should be sent to the company
Claim Form duly filled in along-with copies of Registration Certificate, Diving
License, FIR are to be submitted.
Note: Policy details given are indicative, not exhaustive. Please contact your nearest NIA office for further details.
More Personal Insurance