Package Policy - Section I

Section I (Own Damage - OD) of Package Policy :

Section I of package policy covers loss or damage to the vehicle and / or accessories due to

• Accidental external means
• Fire Self ignition lightning
• Burglary house breaking or theft
• Terrorist activity
• Riot Strike and Malicious Damage
• Earthquake
• Flood cyclone and Inundation etc
• While in transit by rail road air elevator lift or inland waterways
• Landslide or workslide

None of the above perils can be excluded from the scope of a policy.

Loss or damage to accessories by burglary/house breaking/theft:

• For private car it is covered
• In case of Motorised Two Wheelers this can be covered on payment of an additional premium at 3% of the IDV of such accessories.
• Loss or damage to Lamp Tyres mudguard and / or bonner side parts bumpers etc. can be covered on payment of additional premium. This is applicatble only to Commercial Vehicles.

If the vehicle is disabled in an accident cover is provided for the reasonable cost of the following :

• Its removal to nearest reapirers
• The cost of reasonalble repairs immediately necessary subject to the limit provided for.

Package Policy - Section II
Section II ((Liability) of Package Policy :

• Liability to third parties bodily injury and or death and property damage
• Personal accident cover for the owner driver for a specified sum insured

The following are payable under Section II of the Package Policy subject to the limit of liability laid down in the Motor Vehicles Act :

• The insured's legal liability for death / disability of third party
• Loss or damage to third party property
• Claimant's cost as decided by the court
• All costs and expenses incurred with company's written consent
• In case of death of an Insured person entitled to indemnity for a liability incurred under this policy his legal representative will be indemnified in place of insured if he observed all conditions as the insured himself.

What is not payable under the policy ?

• Contractual liability.
• War perils nuclear perils and drunken driving
• Consequentail loss Depreciation Wear and tear mechanical or electrical break down
• Damage suffered due to driving the vehicle under the influence of intoxicating liquor or drugs
• Claims arising outside the geographical area specified in the policy
• Claims arising whilst the vehicle is used in contravention of the limitations as to use
• Claims arising when the vehicle is driven by a person without valid driving licence

Liability only policy :

• Liability to third parties bodily injury and or death and property damage
• Personal accident cover for the owner driver for a specified sum insured

The following are payable under Section II of the Package Policy subject to the limit of liability laid down in the Motor Vehicles Act :

• The insured's legal liability for death / disability of third party
• Loss or damage to third party property
• Claimant's cost as decided by the court
• All costs and expenses incurred with company's written consent
• In case of death of an Insured person entitled to indemnity for a liability incurred under this policy his legal representative will be indemnified in place of insured if he observed all conditions as the insured himself.

What is not payable under the policy ?

• Contractual liability.
• War perils nuclear perils and drunken driving
• Consequentail loss Depreciation Wear and tear mechanical or electrical break down
• Damage suffered due to driving the vehicle under the influence of intoxicating liquor or drugs
• Claims arising outside the geographical area specified in the policy
• Claims arising whilst the vehicle is used in contravention of the limitations as to use
• Claims arising when the vehicle is driven by a person without valid driving licence

Discounts
The following are the discounts available on the premium payable.

• Vintage Cars - Cars manufactured prior to 31.12.40 and duly certified by the Vintage and Classic Cars Club of India :

A discount of 25% on the OD rates is available. Policies issued covering these vehicles are Agreed Value Policies.

• No Claim Bonus :

Ranging from 20% to 50% depending on the number of claim free years.

• Automobile Association Membership Discount :

Discount of 5% on the Own Damage premium subject to a maximum of Rs. 200/- for private cars and Rs. 50/- for Motorised Two wheelers only.

• Discount for Anti Theft Devices :

A discount of 2.5% on the OD component of premium subject to a maximum of Rs. 200/-. Device approved by the ARAI Pune - installation of the same in vehicle certified by the Automobile Association of India.

• 50% discount on the OD premium on the vehicle specialy designed / modified for use of the blind handicapped and mentally challenged persons
• Use of vehicles withing Insured's premises/sites :

A discount of 33 1/1 % on the tariff rates is permissible.

Extension of Cover on payment of additional premium
Additional premium is payable to extend the cover under the Package and Liability Only policies in case of the following :

• The Geographical area may be extended to include :

a) Bangladesh b) Bhutan c) Nepal d) Pakistan e) Sri Lanka f) Maldives by charging additional premium of Rs. 500/- per vehicle in case of package policy and Rs.100/- per vehicle in case of Liability only Policy.

• Personal Accident covers are available to names and unnamed persons travelling in the Motor Vehicles including employees
• In case of vehicles belonging to Embassies / Consulates etc. where the "import duty" element is not included in the IDV the premium for Own Damage shall be loaded by 30%.
• Electrical / Electronic Fittings :

Electrical / Electronic Fittings which do not form part of the vehicle manufactured and imported have to be specifically covered separately by paying additional premium of 4% on the value of such fittings.

• CNG / LPG-Bi-fuel Kits :

Vehicles fitted with CNG/LPG Bi-fuel kits have to be separately declared and premium is chargeable at 4% on the value of such kit.

• Fibre Glass Fuel Tanks :

An additional premium of Rs.50/- for OD cover for all vehicles except Miscellaneous Type of Commercial Vehicles : for Miscellaneous Type of Commercial Vehicle it is Rs. 100/-.

• Transfers

In case of change of ownership please ensure to effect the transfer of Insurance policy within 14 days from the date of transfers of ownership.

• Change of Vehicles

A vehicle can be substituted by another vehicle for the same class for the balance period of a policy subject to adjustment of premium if any on prorata basis from the date of substitution.

1) CLAIMS MADE BASIS
The policy is on `Claims made basis. This means that the accident giving rise to the claim shall occur during the period of insurance and further that the claim shall be first made against the insured during the policy period.

2) RETROACTIVE DATE
This is the date of commencement of the first `Claims made product liability policy. This date will remain unaltered as long as the policy has been renewed without break and there has been no substantial material change in the risk.

3) PERIOD OF INSURANCE
This is the period commencing from the retroactive date and terminating on the expiry date of the policy.

4) POLICY PERIOD
This is the period commencing from the midnight on the inception date and terminating at midnight on the expiry date of the policy.

Special Exclusions

• The policy excludes liability for costs in the repair reconditioning modification or replacement of any part of any product which is or is alleged to be defective.
• For cost arising out of the recall of any product or part thereof.
• Arising out of any product which is intended for incorporation into the structure machinery or control of any aircraft.
• Arising out of deliberate willful or intentional non-compliance of any statutory provision.
• Arising out of pure financial loss such as loss of goodwill loss of market etc.
• Arising out of fines penalties punitive and exemplary damages.
• For injury and/or damage occurring prior to the Retroactive date shown in the schedule.
• Arising out of deliberate conscious or intentional disregard of the insured's technical or administrative management of the need to take all reasonable steps to prevent claims.
• For injury to any person under a contract of employment or apprenticeship with insured where such injury arises out of the execution of such contract.
• Arising out of contractual liability which would not have existed in the absence of the specific contract.
• Arising out of any product guarantee.
• Arising out of claims for failure of the goods or products to fulfill the purpose for which they were intended

General Exclusions

• War Perils
• Nuclear Exclusions

Policy will not pay loss or damage due to:

• War and war like perils
• Wear and tear depreciation consequential loss
• Nuclear group of perils
• Gross and wilful negligence of Insured
• Violation of policy conditions
• Loss/damage/liability where Insured's family or Insured's employee are involved as principal/accessory
• Intentional act/self injury/ influence of drug/intoxicant.

Applicable in case of Doctors Policy

• Any criminal act or violation of any Act of Statute
• Services rendered under the influence of intoxicants or narcotics
• Performance by Dentists under general anesthesia or any procedures carried out under general anesthesia unless performed in a hospital.
• Willful neglect or deliberate act
• Third Party Public Liability
• Pure financial loss due to loss of goodwill or loss of market

Insurance limits are as below:

• Any one accident : Minimum equal to Paid up Capital upto a maximum of Rs.5 crores.
• Any one year : 3 times of `Any one accident limit subject to a maximum of Rs.15 crores.

Liability beyond Insurance

• In case of claim/s exceeding the above statutory limit/s it is to be met by the Environmental Relief Fund to be set up under Section 7A of the Act and managed by the Authority appointed by the Central Government.
• The liability beyond the total of the insurance and the Relief / Fund is to be borne by the Owner.

Contribution to the relief fund

• An amount equal to the insurance premium chargeable is to be paid simultaneously by every owner with the insurance premium to the underwriting Company.
• All proposals can be rated and accepted at DO level in terms of the rating structure laid down.

Policy will not Pay under below circumstances:

• Reimbursement of medical expenses incurred upto a maximum of Rs.12 500 in each case.
• For a fatal accident the relief will be Rs.25 0 per person in addition to reimbursement of medical expenses if any incurred on the victim upto a maximum of Rs.12 500
• For permanent total or permanent partial disability or other injury or sickness the relief will be :

(a)Reimbursement of medical expenses incurred if any upto a maximum of Rs.12 500 in each case and
(b)Cash relief on the basis of percentage of disablement as certified by an authorized physician. The relief for total permanent disability will be Rs.25 0

• For loss of wages due to temporary partial disability which reduce the earning capacity of the victim there will be a fixed monthly relief not exceeding Rs.1 0 per month upto a maximum of 3 months provided the victim has been hospitalized for a period exceeding 3 days and above 16 years of age.
• In respect of damage to private property upto Rs.6 0 per claim.

Apart from Public liability insurance Act policy policies are also available to cover the legal liability of the insured against third parties for claims arising due to industrial accidents. Two different types of policies are available to cover accidents in industries like factories etc and non industries like hotels schools exhibitions and storage tanks etc.

Subject to the provisions of WC Act the amount of compensation / reimbursable would be as follows:-

• Where employment injury results in death then we pay 40% of the monthly wages of the deceased multiplied by the relevant factor or Rs. 20 0 which ever is more.
• Permanent Total Disablement 50% of the monthly wages of the injured disabled (PTD) workman multiplied by relevant factor or Rs. 24 0 which ever is more..
• Permanent Partial Disablement

a) For an injury specified in Part II of disablement (PPD) schedule. The percentage of loss of earning capacity caused applied to the compensation payable for permanent total disablement
b) For an injury not specified in schedule - the percentage of permanent loss of earning capacity as assessed by qualified Medical Practitioners applied to the compensation payable for permanent total disablement.

• Where more than one injury caused by same accident it shall be aggregate but in any case not to exceed the amount payable for permanent total disablement.
• Temporary disablement - A half monthly payment equivalent to 25 % (total or partial) of monthly wages of the workman to be paid in accordance with the provisions of Sub section (2) of the WC Act.
• Actual medical expenses incurred in connection with on-duty accident ranging from Rs.80/- to 2400/- per case as per the option given at the inception of the policy by the insured and extra premium paid.
• Legal costs and expenses incurred with the Company's consent.

Policy will not Pay under below circumstances:

• Any injury which does not result in fatality or partial disablement for period exceeding 3 days
• First 3 days of disablement where the total disablement is less than 28 days
• For any non-fatal injury caused by any accident which is directly attributable to

(a)Influence of drinks or drugs
(b)Willful disobedience of an order for securing safety of the workman
(c)Willful removal or disregard of safety guard device.

• War group and nuclear group of perils
• Liability to employees of contractors of the insured (unless specifically declared)
• Employee who is not a "workman" as per WC act.
• Liability of insured assumed under an agreement.
• For occupational diseases mentioned in part "C" of schedule III of WC Act unless cover is extended on extra premium.
• Increase due to any change in statute provisions after policy had incepted.Under more than one statute / one forum for the same injury