You spend a sizable portion of your savings on a car. The decision to buy a car requires considerable thought and research. You buy it when you find a car that is both within your price range and meets your needs. In addition, you must get third-party liability insurance for car, which is required by the Motor Vehicle Act of 1988.
The third-party liability insurance covers only damage or loss to third parties. Hence it is advised to buy a comprehensive policy that offers the policyholder comprehensive coverage*.
*Standard T&C Apply.
However, there remains uncertainty among policyholders over the coverage. What if the policyholder’s friend was driving the car and had an accident that caused damage? Does the insurance provider offer coverage if someone else drives the car instead of you? Let’s continue reading to learn the answers to these queries.
Who is covered?
Knowing who else is protected by your car insurance policy when driving your car besides you can be confusing. However, an insurance policy’s features and coverage can differ from one insurer to the next.
As a general rule, your insurance provider may offer coverage to everyone who drives your car. The insurance company may identify someone who is not covered by the insurance, and they might not be covered if they are involved in an accident while driving your car.
Factors that affect coverage
If you have given your car to anyone for permissive use, the insurance company might cover it. However, the following considerations could have an impact on your car insurance coverage:
- The individual you lend your car to must be within the insurance policy’s specified age range.
- Please verify that the person receiving your car has a valid driver’s license before letting them drive it. They may only receive coverage from the insurance company if they possess a valid license.
- Verify that the individual is not under the influence of drugs or alcohol. You may have an accident due to this and not be covered for any loss or damage.
- In most circumstances, if the requirements are met, the insurance provider offers coverage if you have rented your car to someone else and they are involved in an accident that causes minor damage. The company covers you, the driver, and the car.
- The insurance provider may not provide coverage if someone else drives your car without your permission.
- Your insurance company might only pay for the property damage your car causes if a friend or family member smashes into your car and causes substantial injury and bodily harm to the person inside. The insurer will not offer coverage for injuries to third parties.
- The Diver at-fault policy would cover only the driver’s and passengers’ physical injuries.
How to claim car insurance
Immediately following an accident, one must file a claim with the insurance provider. The insurance provider checks the supporting documentation, and if the claim is legitimate, the insurer compensates for the car’s damages.
It is entirely your decision whether or not to lend your car to anybody else. However, it would be wise to make sure the individual has a valid driver’s license and won’t be behind the wheel while intoxicated. You can buy car insurance coverage online, where you can find out all the details regarding your policy. You must also periodically do a car insurance validity check to ensure timely renewal.
As Insurance is a matter of solicitation its recommended to obtain complete information about the exclusions, benefits, terms & conditions and limitations of the insurance. Kindly carefully go through the sales policy/brochure before opting for any Insurance.
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