Policy A :Third Party (Act Only Policy)

Policy B : Comprehensive

Policy A

Act only policy, commonly referred to as third party insurance as it covers damage or harm caused to third parties other than the insured. It is compulsory to take this cover.

Scope of Cover :

Under this policy the company covers the legal liability of the insured as per the Motor Vehicle Act,1988 in the following cases:

• Death of or bodily injury to any person (unlimited liability)
• Damage to property other than belonging to the insured or held in trust or in the custody or control of the insured. ( Upto Rs.6000 only)
• There is a provision in the motor tariff by which on the payment of additional premium as detailed below, it is possible to take unlimited cover for damage to property also.
• Goods carrying vehicles/passenger carrying vehicles/ Misc. and special types of vehicles : Rs.75 additional premium
• Two wheeler/Private car/Taxi : Rs.50 additional premium

Policy B

Act only & Own Damage (loss or damage to the vehicle), is commonly referred to as comprehensive insurance.

Scope of Cover :

The company indemnifies the insured against the loss or damage to the motor vehicle and /or its accessories arising from:

• Fire,explosion, self ignition or lightning;
• Burglary,house breaking or theft;
• Riot and strike;
• Earthquake (fire and shock damage);
• Flood, typhoon, hurricane, inundation, cyclone, hailstorm;
• Accidental external means;
• Malicious act;
• Terrorism;
• Whilst in transit by road, rail, inland waterways, lift elevator or air.

Note :

Charges for towing the vehicle after an accident to the repairer’s place upto a maximum of Rs.1500 for private cars & taxis, Rs.2500 for commercial vehicles and Rs.300 for two wheelers are reimbursed.

Exclusions to the Comprehensive Insurance Policy

The company shall not be liable to make any payment in respect of :

• Consequential loss, depreciation, wear and tear, mechanical and electrical breakdown, failures or breakages;
• Damage to tyres unless the motor vehicle is damaged at the same time when the liability of the company is limited to 50% of the cost of replacement;
• Loss or damage to accessories by burglary, house breaking or theft unless the motor vehicle is stolen at the same time;
• Any accidental loss or damage suffered whilst the insured or any person driving with the knowledge and consent of the insured is under the intoxicating influence of liquor and drugs.