Off late a new type of motor insurance policy has been approved by the IRDAI where Premiums are calculated as per declaration given at time of policy.
Motor insurance are also classified by scope of their coverage and having some inclusions & exclusions in motor insurance.
1 ) Earthquake 2 ) Landslide 3 ) Fire 4 ) Burglary 5 ) Riots. 6 ) Strike 7 ) Terror act 8 ) Other accidental damages
1 ) Damage due to driver being under the influence of alcohol or drugs 2 ) Illegal usage of the vehicle 3 ) Not having a valid driving license 4 ) Loss outside the jurisdiction (i.e., India) 5 ) Any other loss which violates the policy agreement
Insurance firms consider multiple factors before finalizing the premium, which are -
1 ) Age of owner of vehicle. 2 ) Driving/claim history. 3 ) Owner’s profession.
4 ) Vehicle make and year of production. - This also determines the vehicle’s IDV (Insured Declared Value) amongst other factors. 5 ) Geographic location etc.
To know complete procedure and other details, click below.