Personal Accident Cover in Car Insurance
- Author :
- TATA AIG Team
- Published on :
Accidents never come with any pre-warning; unforeseen situations can arise at any time. Data from the Statista Research Department depicts that in 2019 there were reports of more than 1,51,000 cases of road accidents. India accounts for 6% of the world's road traffic incidents. This percentage is alarming because the country has only 1% of the vehicles owned worldwide.
Secure Your Loved Ones with Accident Cover for Car Insurance
In the light of such data, the need for car insurance is indispensable. Personal accident insurance covered under such auto insurance plans mitigates the effects of an accident in the best possible ways. The accident insurance in motor car insurance also protects your loved ones financially by providing compensation to the nominee if the owner-driver’s unfortunate demise occurs.
What is Personal Accident Cover in Car Insurance?
Personal accident cover is a means of protection for owner-drivers against accident-related injuries or financial security to their loved ones in case of owner-driver’s accident-related death. The financial security motor car insurance companies grant you permission to drive stress-free.
A personal accident policy assists in paying off the medical bills as per the predetermined norms of the insurance policy. The policy can also take care of your financial commitments when you are unable to fulfil them post an accident. This includes situations involving disabilities, bodily injuries, and/or loss of a body part. Additionally, it provides a lump sum payout to the family in case of your unfortunate demise due to a vehicular accident while you are driving the car.
Is it Mandatory to have a Personal Accident Cover with Insurance for Car in India?
The Indian government mandates a Personal Accident Cover for all vehicle owners. India Motor Tariff 2002 has integrated the personal accident cover with car insurance policies. This means that the accident cover already forms a part of the liability-only policy as well as the comprehensive car insurance policy. This ensures protection for all owner-drivers against accidental losses. The absence of a personal accident cover can attract legal consequences.
Bundled Personal Accident Cover with Motor Car insurance
Vehicle owners earlier had to buy a new accident cover for every vehicle that they purchased. But the Insurance Regulatory and Development Authority of India, or IRDAI, has now unbundled the personal accident cover from car insurance. This new act, effective January 2019, has replaced the former rule of purchasing an accident cover with every new vehicle. Personal accident insurance is, therefore, now a one-time investment with options of a lifetime renewal. This is helpful to reduce the financial burden on vehicle owners.
Benefits of Personal Accident Cover
- Financial protection against disability or death
- Predetermined depreciation slabs
- Car insurance add-on covers for added features as and when required
- Online mode for purchasing the policy
- Hassle-free claim submission process. Insurance providers address accidental claims with priority
- Surplus benefits in the form of employment coverage, funeral expenses, vehicle alteration benefits, educational allowances, and benefits of home modification
Cost of Personal Accident Cover
The premium amount you pay towards a personal accident cover is based on your occupation and age. Some of the insurance providers may even assess your medical history before quoting a premium. Your premium estimation is also subject to your choice of coverage. Tata AIG car insurance has various coverage plans under its insurance for cars. As the benefits and principal sum varies across the plans, so does the purchase price of the policy. The plan you opt for depends upon your requirements and budget. But your decision will eventually determine the premium.
Personal Accident Cover for Passengers/Driver
Personal accident cover is mandatory for owner-drivers. But covering the passengers and/or other drivers involves different options. One option is to pay an extra premium and add the driver to your accident cover. In this case, only the diver listed under your policy can claim the financial benefits from an accident. If the car is driven by some other driver during the accident and the person is not under your policy, he/she cannot claim any benefit.
Similarly, you need to add co-passengers to your accident policy. And only those listed passengers are eligible to receive accident benefits from your policy.
Personal Accident Cover with Tata AIG Car Insurance
Tata AIG's motor car insurance is loaded with a wide variety of coverage options. The personal accident cover of ₹15 lakhs ensures that an accident does not leave you financially drained due to medical costs arising from the treatment of your injuries. The policy also protects your purse against the repair costs incurred on your damaged vehicle and liabilities to the third parties involved in the accident.
Tata AIG car insurance policy allows you to renew car insurance in 30 days. You also get an evaluation period of 15 days, within which you can decide to cancel the policy.
Thus, a personal accident cover is an umbrella that ensures the safety of all those under its protection plan. Accidents are very common on Indian roads. The best way to deal with them is to stay financially protected. You can avail of outstanding monetary benefits for owner-drivers with TATA AIG's insurance for car.
A quick recap of the article through some commonly asked queries
What is covered under accident insurance?
An accident insurance policy covers losses such as partial or total disabilities, accidental bodily injury, and disabilities of temporary or permanent nature. In case of the insured's demise, the insurer provides the nominee with 100% compensation.
Does insurance cover accidental death?
Yes, accidental death is covered by both life and personal accident insurance. Life insurance covers death from natural causes or accidents. But insurance of a four-wheeler only covers accidental deaths.
What is personal accident benefit cover?
A personal accident policy is a protection that you seek against injuries caused by accidents of any sort. The injury may result in partial or total disability, bodily injuries, loss of limbs or speech, or, in the worst-case scenario, the death of the insured. Accident insurance ensures financial protection against all such odds.
What covers accidental death?
Accidental death involves death occurring from a motor vehicle collision, air, road, or rail accident, fire explosions, or the like. Some events are classified as non-accidental. Car insurance lists such events as exclusions. Some of the common exclusions include suicidal attempts, driving when intoxicated, and indulging in hazardous sports.
Please refer policy wordings to know about PA cover in Car insurance