Commercial Vehicles Insurance
Shivalik Insurance Marketing LLP covers commercial vehicles under the Motor Insurance in India, providing protection for all vehicles licensed in India for the purpose of transporting passengers or goods.
Types of commercial vehicles included under Shivalik Insurance Marketing LLP’s coverage are as follows:
- Passenger Carrying Commercial Vehicles: Buses, Vans, Taxis, etc.
- Goods Carrying Commercial Vehicles: Trucks, Trailers, Multi-axle trucks, etc.
- Tractors
- Miscellaneous Classes of Vehicles: Ambulances, Cranes, etc.
Premium Factors
- IDV (Insured Declared Value)
- Registration Zone
- Commercial Vehicles: including vehicles available under Section 41 C3 and C4
- Zone A: Ahmedabad, Bangalore, Chennai, Hyderabad, Kolkata, Mumbai, New Delhi, and Pune
- Zone B: Other locations
- Private Cars and Motorcycles: including vehicles covered under Section 41 C3 and C4
- Zone A: Chennai, New Delhi, Kolkata, and Mumbai
- Zone B: Other locations
- Make and Model
- Fuel Type: Petrol / Diesel / CNG / LPG
- Age of Vehicle: Insured’s Driving Capacity (IDV) is applicable
- Vehicle Value
- Add-on Covers
Key Benefits
In case of loss of vehicle under a comprehensive policy, Shivalik Insurance Marketing LLP provides coverage for commercial vehicles and protects the owners from damages, liabilities to passengers, and third-party risks.
Additional coverage for commercial vehicles also includes legal liability for an accident or loss involving a vehicle, under a third-party liability policy.
Coverages
The policy covers losses resulting from:
- Fire and Other Natural Disasters: Damage caused by fire, explosion, self-ignition, lightning, landslide, flood, typhoon, hurricane, storm, hailstorm, cyclone, frost, and other natural disasters.
- Theft and Malicious Acts: Protection against burglary, housebreaking, or theft; including malicious acts or riots by other parties, terrorism, and any damages due to vandalism.
- Accidents or External Means: Compensation for damage resulting from accidents or external impacts.
- Transit by Rail, Road, Inland Waterway, Lift, Elevator, or Air
- Total or partial theft or breakage – 100%
- Full replacement of parts like pipes, tubes, batteries, and oil tanks – 50%
- For fiberglass components – 30%
- Rate of parts made of glass – 70%
- Damages to other car parts like windshield wipers will be as per the following schedule.
Third-Party Liability
Shivalik Insurance Marketing LLP compensates for third-party bodily injuries or fatalities caused by the insured’s vehicle, covering damages caused by pedestrians or other vehicle passengers.
For vehicles with specific liability, Shivalik Insurance Marketing LLP provides additional cover for the “owner” and “operator,” covering accidental death or permanent disability.
Add-on Covers
Shivalik Insurance Marketing LLP offers the following add-ons on payment of additional premium:
- Personal accident cover: Available for the driver and passengers.
- Legal liability to paid driver and other employees on duty.
- Increased cover for third-party property damage.
- Extended coverage for spare parts, tires, bumpers, headlights, and paintwork of a damaged portion.
Exclusions
The policy excludes the following:
- Damage or liability outside the covered area.
- Mechanical or electrical failure unless covered under specific terms.
- Normal wear and tear, depreciation, and any consequential loss due to faulty maintenance.
- Damage due to intoxication or driving under the influence of drugs.
- Damage to tires unless the vehicle itself is damaged due to an accident.
No Claim Bonus
Policyholders are eligible for a No Claim Bonus (NCB) on the Own Damage section of the policy, provided no claims are made or pending during the preceding year. The applicable NCB percentages are as follows:
| Policy Period | % of NCB on OD Premium |
|---|---|
| For the preceding year | 20% |
| For two consecutive claim-free years | 25% |
| For three consecutive claim-free years | 35% |
| For four consecutive claim-free years | 45% |
| For five consecutive claim-free years | 50% |
Note: The No Claim Bonus is applicable only if the policy is renewed within 90 days of the expiry date of the previous policy.
Depreciation Schedule for Calculating IDV
The Insured Declared Value (IDV) of a vehicle is calculated based on its depreciation. The schedule is as follows:
| Age of the Vehicle | Depreciation Rate |
|---|---|
| Up to 6 months | 5% |
| Exceeding 6 months but less than 1 year | 15% |
| Between 1 and 2 years | 20% |
| Between 2 and 3 years | 30% |
| Between 3 and 4 years | 40% |
| Between 4 and 5 years | 50% |
Note: For vehicles older than 5 years or obsolete models, the IDV is determined based on mutual agreement between the insurer and the policyholder. IDV is considered the market value of the vehicle during the policy term and is used for Total Loss (TL) or Constructive Total Loss (CTL) claims without any additional depreciation.
Claim Process
In the event of a loss, the following steps should be taken promptly to ensure a smooth claim process:
- Inform the insurer immediately about the loss or damage and submit a written statement detailing the nature, extent, and estimated value of the loss.
- Prevent further damage by taking all necessary precautions.
- Notify the police in case of theft or if the incident involves a third party.
- Provide all cooperation required by the surveyor or insurer for claim assessment.
- Submit all necessary documents, including the claim form, policy document, vehicle RC copy, driver’s license, and any other relevant proof as requested.
- Preserve the damaged vehicle or its parts until inspected by the surveyor/insurer.
- Adhere to all conditions stipulated in the policy and provide accurate details about the incident.
This ensures that the insurer can efficiently process the claim and provide the necessary compensation for the loss or damage incurred.