Tuesday, January 23, 2007

Details of Policy Exclusions in Car Insurance

Car insurance, in plain English, protects you and your family financially if you ever have an accident in your car. You have a contractual agreement with your car insurance company. If you pay the premium you agree to in a timely manner, the car insurance company will cover your losses in the event of an accident.

Policy Exclusions:
Under this policy, you are not covered against -
Normal wear, tear and general aging of the vehicle
Depreciation or any consequential loss
Mechanical/ electrical breakdown
Wear and tear of consumables like tyres and tubes
Vehicle being used otherwise than in accordance with limitations as to use
Damage to/ by a person driving the vehicle without a valid license
Damage to/ by a person driving the vehicle under the influence of drugs or liquor
Loss/ damage due to war, mutiny or nuclear risk .

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