What Is E-Rickshaw Insurance?
E-rickshaw insurance is an insurance policy offered by multiple insurance companies. It works as a legal agreement between the insurer and the insured under which the insurer is liable to provide coverage for any unforeseen damage or loss caused to e-rickshaw.
Reasons To Purchase E-Rickshaw Insurance
Here are some of the reasons behind purchasing e-rickshaw insurance. They are as follows:
- As per the Motor Vehicle Act, 1988 you are legally required to purchase third-party e-rickshaw insurance. This insurance plan provides coverage from any third-party liability in case your e-rickshaw damages a third-party’s vehicle, person, or any of their personal belongings.
- It is recommended to purchase a comprehensive insurance plan because it provides coverage for own damages as well as damage caused due to natural disasters, terrorist activities, theft, fire, etc.
- Purchasing e-rickshaw insurance reflects that you are responsible and think about the safety of your passengers which shows goodwill.
- If you run a business that uses e-rickshaw then this insurance policy makes sure to provide you coverage for any unforeseen loss or damages caused.
Type Of E-Rickshaw Insurance Provided By Insurance Company
The insurance companies provide two types of insurance policies for e-rickshaw. They are as follows:
- Third-Party: It is mandatory for the e-rickshaw owner to have third-party e-rickshaw insurance as per the Motor Vehicle Act, 1988. The third-party liability insurance policy provides coverage against any third-party liability caused by an accident.
- Comprehensive Insurance: The insurance company offers a comprehensive insurance policy. Under a comprehensive insurance policy, the insured gets coverage for his own damages, damage caused by natural calamity. However, it is not legally mandated and the e-rickshaw owner can purchase it as per their requirement.
Factors To Consider While Purchasing E-Rickshaw Insurance
While purchasing e-rickshaw insurance you need to consider several factors to make sure that you get the right coverage for the amount you pay as a premium.
- Insured Declared Value: While purchasing the e-rickshaw insurance policy, take a look at the insured declared value provided by the insurer. It is the maximum amount that you get as financial coverage when you raise a claim. It is recommended to go for higher IDV if you can afford it.
- Services: While purchasing the insurance plan, inspect the company’s service policy and check if they provide a good service when you raise a claim. If not then you can choose the one that provides better services.
- Claim Settlement Ratio: While purchasing the e-rickshaw insurance make sure to check the claim settlement ratio of your desired insurance company. This ratio tells the percentage of claims settled by the insurance company in the previous years.
- No Claim Bonus: No claim bonus is a kind of reward provided by the insurer for not raising a claim in a year. Usually, companies provide this bonus as a decrement in a premium amount in the consecutive year’s plan so make sure to check if the company considers the NCB in their insurance policy.
What Is Covered Under E-Rickshaw Insurance?
E-rickshaw insurance policy provides coverage for the following:
- Accidental Damage: Any kind of damage caused to the e-rickshaw in an unfortunate accident is covered under the comprehensive insurance policy.
- Man-made disasters: Any loss or damage caused to the e-rickshaw due to man-made disasters such as riots, strikes, malicious acts is covered.
- Natural Calamity: Damage caused due to any natural calamity such as earthquakes, floods, hurricanes, typhoons, etc. is covered.
- Personal accident: If the passengers of e-rickshaw get injured or become the reason for the death of the owner or driver, personal accident cover will provide financial coverage for it.
- Third-party liability: Any kind of damage or loss caused to the third-party vehicle, passengers or their personal belongings is covered.
- Fire Accident: Any kind of loss or damage caused to the e-rickshaw due to a fire accident is covered.
- Theft: In case of theft of the e-rickshaw, the insurance company provides coverage for it that comes under the total loss clause of the insurance policy.
What Is Not Covered Under E-Rickshaw Insurance?
It is important to know about the exclusions of the insurance policy as much as it is important to know about the inclusions. Here are the things that are not covered under the e-rickshaw insurance policy.
- Own Damage For Third-Party Policyholder: Any kind of own damage caused is not covered if the insured is only covered with third-party liability insurance.
- Electrical or Mechanical Failure: In case of any mechanical or electrical damage caused to the e-rickshaw is not covered.
- Consequential Loss: In case of any consequential loss or damage caused to the e-rickshaw is not covered.
- Without License: If the insured is found driving the e-rickshaw without a valid driving license when the accident took place, the insurer will not provide coverage for the damage.
- Drunk Driving: If the insured is found driving the e-rickshaw under the influence of alcohol or drugs when the accident took place, the insurer will not provide coverage for the damage caused.
- Intentional Negligence: In case the driver intentionally neglects a situation that can cause damage to the e-rickshaw and still goes on driving the e-rickshaw that eventually causes damage, then the insurer will not provide coverage.
E-Rickshaw Insurance: Add-Ons
Apart from the coverage provided under the comprehensive insurance policy, you have the option of enhancing the coverage with the add-on provided by the insurance company. Here are some of the add-ons that you can purchase to widen the coverage:
How To Raise A Claim Under E-Rickshaw Insurance?
You purchase this commercial vehicle insurance policy to get coverage for any unforeseen incident causing loss or damage by raising the claim. Here are the steps that you can follow to raise a claim.
- Tell your insurer about the accident as well as the whole scenario.
- You are advised to take pictures of the accidental vehicle and the damage caused that you can use as proof later on.
- Get your documents ready so that you can submit them along with a duly filled claim form to make the process smooth.
- Inspection: The insurer will send an inspector who will inspect the whole scenario and check the damages physically to begin the claiming process from their end.
- Once the inspector is satisfied they will inform the company to provide coverage for the damage caused.
- Later on, the insurer will compensate for the repairing of the e-rickshaw. If you send the e-rickshaw to a network garage then the insurer pays the bill on your behalf however if you get the e-rickshaw fixed in a non-network garage then you have to make the payment and the insurer reimburse the amount within the specified days.
How To Renew E-Rickshaw Insurance?
To get the coverage benefits under E-Rickshaw Insurance you need to keep on renewing the insurance policy one time. Here are the steps to follow to renew the insurance policy.
Step 1: Visit Policybazaar Insurance Brokers Private Limited official website
Step 2: Access your account by filling in the policy number and password.
Step 3: Once you access your account, you can add or remove any add-on if you want.
Step 4: If you add an add-on the insurance premium increases and if you remove and add on the insurance premium decreases.
Step 5: Click on the “Renew” button.
Step 6: Make the payment using your debit/credit card, UPI, or net banking.
Step 7: Click on the “Payment” tab.
Step 8: Once the payment is done, the insurer sends the updated insurance policy documents to your registered email ID and your home address.
