Private car insurance policy provides coverage for loss of or damage to your vehicle against the risk of accident, fire, theft, floods, earthquake, riot, strike etc. The policy also gives coverage for your liability arising out of death, injury to third party and/ or third property damage.
If you do not make a claim during the previous policy period, you are eligible for a No Claim Bonus (NCB) discount on renewals provided there is no name transfer.NCB discount can be allowed till 90 days break in Insurance subject to satisfactory pre inspection of the vehicle and NCB declaration confirmation from the Insured.
You can transfer full benefits of No Claim Bonus when you shift your motor insurance policy from one Company to another during renewal The discount rate remains the same. The following documents are required to claim the No Claim Bonus discount from your previous motor insurance during a renewal:
Renewal notice and NCB declaration letter by the Insured. Trasfered copy of the RC
NCB Reserving letter can be provided only on Sale of vehicle evidenced by transferred RC copy OR Sale Deed and Form 29 & 30. The OD section of the policy needs to be transferred to the new owner or cancelled.
Electrical and/ or non-electrical items fitted to the vehicle can be insured separately. For example: fog lights, music system In case of vehicles fitted with bi-fuel system such as Petrol/ Diesel and CNG/ LPG, permitted by the concerned RTO, the CNG/LPG kit fitted to the vehicle is to be insured separately at an additional premium of 4% on the value of such kit. You need to specifically declare this in the proposal form.
The vehicles are insured at a fixed value called the Insured's Declared Value (IDV). IDV is calculated on the basis of the manufacturer's
listed selling price of the vehicle (plus the listed price of any accessories) after deducting the depreciation for every year as per the schedule provided by the Indian Motor Tariff.
If the price of any electrical and / or electronic item installed in the vehicle is not included in the manufacturer's listed selling price, then the actual value (after depreciation) of this item can be added to the sum insured over and above the IDV.