According to the Motor Vehicles Act 1988, it is mandatory for all vehicle owners to obtain a motor insurance policy.
If you are going to become the owner of any kind of vehicle or already own one, then it is very important for you to understand motor insurance cover. Otherwise you may have to suffer a loss. Actually, according to the Motor Vehicles Act 1988, it is mandatory for all vehicle owners to take a motor insurance policy. It provides protection against accidental damage or theft of the vehicle and also provides protection against third party legal liability for bodily injury and/or property damage. It also provides personal accident cover for the vehicle owner, driver/passengers. But this motor car insurance cover is not available in many circumstances and your claim gets rejected.
Regular wear and tear of your car
The car gets old over time and of course needs service and maintenance to keep it working properly. You have to take care of all the repairs and replacements that occur due to regular wear and tear over time. According to Policybazaar, any maintenance or services required due to regular wear and tear of the car are not covered under your comprehensive car insurance policy.
Your personal belongings
Understand one important thing. If your car is vandalised or broken into, your insurer will pay for the damage to your car, but it will not pay for the theft or damage to your personal belongings in the car, such as laptops, phones or other valuables. To keep your belongings safe, make sure you keep them out of sight.
Driving without the required documents
It is illegal to drive without the necessary documents like driving license, PUC certificate, car registration certificate and car insurance policy. In such a situation, if you ever get into an accident and you do not have all the necessary documents, you will not get any cover for loss or damage. Therefore, make sure that you have all the valid DL, RC, car insurance policy and PUC certificate.
Use of personal car for commercial purposes
When a private vehicle is used for commercial purposes, your insurer will not provide coverage. If your car is being used to carry anything related to your business and it collides somewhere, you cannot make an insurance claim unless your policy covers commercial vehicles. This is usually not covered in car insurance for individuals.
Violation of traffic rules
If you do not follow the traffic rules and in such a situation you suffer any damage, then you will not get coverage for any damage caused during that time. Violating road safety rules and obligations such as drunk driving, careless driving or jumping red lights can harm you.
When you are using someone else’s car
If you are driving someone else’s car or the car is rented, and it meets with a collision or accident, the claim for damages will be rejected. The insurance company will pay only for claims that are made for a car registered in the name of the policy holder. Similarly, if your spouse or any other family member drives your car and meets with an accident, the insurer will reject the claim on the same grounds.
Non-renewal of car insurance policy
Always remember that you should always have a valid car insurance policy. Renew your policy on time. Your insurer will send you renewal alerts via call, SMS or email, it is your responsibility to renew it before it expires. If you have an expired or lapsed policy and meet with an accident, your insurer will not consider the claim made by you.
If you are updating something in your car then inform the company
Many people add devices to their car like better braking system, chassis bracing, LSD, engine correction, etc. When you add any accessories or elements to your car, do not forget to inform your insurer else your claim will be rejected as these modified parts were not covered when you bought the policy.
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