Motor insurance is a type of insurance specifically designed to provide financial protection in the event of accidents, theft, or any other damages that may occur to a motor vehicle. It typically covers cars, motorcycles, and other vehicles that are used on public roads.
Motor insurance policies typically offer coverage for three main areas:
This coverage protects the insured against legal liability for causing bodily injury or property damage to others (Third Party) while operating the insured vehicle.
This coverage covers damages to the insured vehicle resulting from a collision with another vehicle or object, regardless of fault.
This type of insurance covers all the risks covered in the Motor Vehicles Act plus loss or damage caused to the vehicle :
This coverage includes damages to the insured vehicle resulting from non-collision incidents, such as theft, fire, vandalism, natural disasters, or falling objects. Motor insurance policies may also offer additional optional coverages, such as medical payments coverage, zero depreciation, return to invoice, personal injury protection, or coverage for uninsured motorist.
The cost of motor insurance premiums is typically determined based on various factors including the type of vehicle, the insured’s driving history, age, gender, and location. The cost of motor insurance premiums is typically determined based on various factors including the type of vehicle, the insured’s driving history, age, gender, and location. The third-party liability cover or the Act Cover is mandatory by law. The own damage section cover is however optional.