What I am seeing in NCB is crazy…it is absolutely crazy. Look at the following: If there is no claim during the first year i.e., zero number of claims then HDFC Ergo General Insurance will give 45% on Own Damage (OD) premium as No Claim Bonus (NCB). NUMBER OF CLAIMS IN THREE YEARS NCB % […]
Category: Insurances
16. India Motor Tariff
Please check your Motor Insurance policy wording…where 80% of the policy wording and / or the 80% of the policy wording pages consist of India Motor Tariff (IMT). In a sexy way, they call it as IMT 1, IMT 2… so on., and I guess the IMT series ends at IMT 65. Let us come […]
15. Conditions Precedent to the Contract
The problem with the Indian consumers is no one reads the policy conditions. They spend huge money in paying the compulsory Motor Insurance premium. However, once the policy is issued, they never read the policy terms and conditions. They simply keep the policy either in the glove compartment or at home and forget all about […]
14. Personal Accident Cover for Owner – Driver
Personal Accident cover for owner-driver is dealt in Section 3 of the Motor Insurance policy. This section talks about bodily injury or death of the owner-driver while driving the car. It says that the said bodily injury or death of the owner driver must happen in direct connection with the vehicle insured: while driving while […]
13. Conditions for Renewal of the Contract
Under the Conditions for the Renewal of Contract, it is mentioned whether the Motor Insurance policy will be renewed or not and if yes, what is renewal procedure. Generally, Motor Insurance policies are issued for one-year duration, though we do have policies for 3 years. In either case the policy renewal conditions will apply. What […]
12. Compulsory and Voluntary Deductible
These deductibles i.e., Compulsory Deductible and Voluntary Deductible are stated in IMT 22 and IMT 22A. You may be wondering what is this IMT. It stands for India Motor Tariff. I will discuss about IMT later. The word deductible as described in the policy conditions in this manner: The Company shall not be liable for […]
Why Motor Insurance Policies do not have Same Policy Wording in India?
Why Motor Insurance Policies do not have Same Policy Wording in India? It always bothered me as to why the motor insurance policies do not have the same wording in India. Motor Insurance is a compulsory insurance. None has thought about the wordings earlier i.e., to know whether all the insurance companies are having same […]
11. In Writing, Immediately and Reasonable Period
The common man asks one real question…in case of motor accident claim, what am I expected to do? This is what will be discussed in this article. The policy wording reads ‘this policy and the schedule shall be read together and any word or expression to which a specific meaning has been attached in any […]
10. Limitation as to Use
There are certain general exceptions in the Motor Insurance Policy. These are applicable to all sections of the policy. The present one which is being discussed reads as follows: “The company shall not be liable under this policy in respect of any accidental loss or damage and / or liability caused, sustained or incurred whilst […]
9. Loss or Damage to the Vehicle Insured
Motor insurance policy is compulsory. We have to subscribe. There is no option given by the law. We pay thousands of rupees towards premium. We know, very generally, two phrases: Comprehensive and Third-Party insurance. If I were to ask anyone – What is comprehensive insurance, they will simply say it covers everything!! It includes all. […]
