Two Wheeler Insurance
What is Motor Insurance?
A motor insurance policy is a mandatory policy issued by an insurance company as part of prevention of public liability to protect the general public from any accident that might take place on the road. The law mandates that every owner of a motor vehicle must have one motor insurance policy.It is an Insurance cover that is issued for Motor Vehicle, to protect the vehicle against risks, or others who might be at risk due to the vehicle. It is a mandatory policy that is issued by an Insurance Company to prevent public liability , prevent the public from any form of accident that might happen on the roads. The law states that it is mandatory to have one Motor (third party) Insurance policy for every vehicle that an Individual owns.
Section 1 – Loss of or Damage to the vehicle insured
Section 2: Liability to a third party damage
Insured Declared Value (IDV)
- The Insured’s Declared Value (IDV) of the vehicle is the ‘SUM INSURED’ for the purpose of the policy which is fixed at the commencement of each policy period for the insured vehicle.
- The Insured’s Declared Value (IDV) of the vehicle will be deemed to be the ‘sum insured’ for the purpose of the Policy which is fixed at the commencement of each policy period for the insured vehicle.
- The IDV of the vehicle (and accessories if any fitted to the vehicle) is to be fixed on the basis of the manufacturer’s listed selling price of the brand and model as the vehicle insured at the commencement of insurance/renewal and adjusted for depreciation.
- The schedule of age-wise depreciation is applicable for the purpose of Total Loss/Constructive Total Loss (TL/CTL) claims only.