Loss of Personal Belongings in Car Insurance

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Loss of Personal Belongings in Car Insurance

Imagine this: you park your car at the mall, shopping bags in hand. Reaching for your purse in the backseat, you discover a broken window and your belongings gone. Car insurance can help in such situations, but does it cover personal items stolen from your car?

The answer depends on your specific policy. Standard car insurance protects your car itself in case of accidents, theft, or fire. But does it cover your belongings inside? Luckily, many insurers offer an add-on specifically for this purpose: Cover for Loss of Personal Belongings.

This article will explain loss of personal belongings coverage, how it works, and why you might consider adding it to your car insurance policy.

So, let’s get straight to it below.

Loss of Personal Belongings in Car Insurance Meaning

Loss of Personal Belongings (LPB) in four-wheeler insurance is an optional add-on that financially protects your valuables kept inside your vehicle. Think laptops, phones, cameras, or even sports equipment. With LPB, you are covered if these items are stolen or damaged in certain situations.

However, a basic Third-party insurance plan will not provide this coverage to the policyholders. It will only cover injuries or damage to other people or property in an accident where you are at fault. It will not cover your belongings stolen from your car.

Loss of Personal Belongings coverage is an optional add-on available with comprehensive car insurance policies. For a slightly higher premium, you can gain valuable protection for your stuff inside the car.

Think of it like a separate insurance policy for your belongings. If your car gets broken and your laptop or purse is stolen, this add-on can reimburse you for their value. In some cases, it may even cover damage caused by fire, theft, or vandalism during a covered event.

What is Covered Under the Loss of Personal Belongings in Car Insurance Add-on?

Personal belongings coverage in car insurance acts like a safety net for your valuables while they are in your car. It typically covers loss or damage caused by:

Theft: If your car gets broken into and your belongings are stolen, this coverage can reimburse you for their value. This includes items like laptops, cameras, purses, wallets, or even sports equipment.

Vandalism: If someone vandalises your car and damages your belongings in the process, this coverage can help.

Fire: In case of a fire that damages your car and your belongings inside, this add-on might cover the cost of repair or replacement.

What is Not Covered (Exclusions) Under the Loss of Personal Belongings in Car Insurance Plans?

Exclusions refer to situations in which the insurance company will not provide coverage. Different insurers may have different exclusions, so it is important to review them before purchasing and making a claim. If you file a claim for a situation listed as an exclusion in our policy, we will not approve your claim.

Here are some common exclusions for a Personal Belongings Cover Add-on in car insurance from Tata AIG:

  • Loss caused by the policyholder's negligence.

  • Loss when the car's doors and windows were left unlocked.

  • Loss of belongings related to trade or business kept in the insured car.

  • Loss of data stored in an electrical device.

  • Damage or loss of belongings left in the vehicle overnight.

  • Claims were made for a mishap that happened out of a borrowed vehicle.

  • Loss due to wear and tear, bad climatic conditions, electrical or mechanical failures, and so on.

  • Loss of personal items due to a car accident caused by the negligence of the driver.

  • Insufficient documentation such as invoices and First Information Report (FIR).

  • Notifying the insurance company more than thirty days after the incident.

  • Other exclusions listed in the Policy Wordings.

Also Read: Car Insurance Renewal: Documents Required

How to File a Claim Against the Loss of Personal Belongings Cover in Your Car Policy?

It is crucial to inform your car insurance provider within 24 hours of discovering the theft. You will need to provide personal information such as your name, contact details, and policy number, as well as details regarding the theft, including the date, time, and location of the incident.

It is mandatory to file a Police Report and submit it along with a copy when filing your claim. This report serves as essential documentation for the claim process.

Steps to Successfully Filing a Theft of Personal Belongings Claim

  • To ensure a successful car theft claim process, it is important to follow these steps:

File an FIR: As a prerequisite, immediately report the theft to the nearest police station by filing a First Information Report (FIR). This is the first step in initiating your car theft claim process.

Inform your Car Insurance Provider: Next, contact Tata AIG to inform us about the car theft. It is crucial to inform us within 24 hours of discovering the theft.

Note: Each insurance company follows a specific process for car theft claims, and they will guide you on the next steps.

Intimate the Regional Transport Office (RTO): This step is necessary if the car has been stolen. According to the law, you must inform the Regional Transport Office about the theft to facilitate the transfer of documents.

Collect Claim Settlement Documents: Gather all the necessary documents required to authenticate your claim.

Finally, fill out the Claim Form, which can be downloaded online, and submit it along with the required documents.

What Claim Amount Can You Expect?

Age of the Asset Percentage of Depreciation on Invoice Value
Not more than a year 20
More than a year but not exceeding 2 years 40
More than 2 years but not exceeding 3 years 50
More than 3 years but not exceeding 4 years 60
More than 4 years 80

Note: This is a general depreciation rate chart. The insurance company will determine the actual depreciation and refund value.

Documents Required to File a Claim Against the Loss of Personal Belongings in Car Policy

During the claim settlement process, you will need to provide the insurer with the following documents:

Properly Filled and Signed Claim Form: Ensure that you complete all sections of the claim form accurately and sign it before submission.

Copy of the FIR: Include a copy of the First Information Report (FIR) you filed with the police regarding the incident.

Copy of the Final Investigative Report: Submit a copy of the final investigative report related to the claim.

Original Invoices & Receipts: Provide original invoices and receipts that support your claim for the loss or damage incurred.

Report on Property Irregularity: Include any report or documentation regarding property irregularity if applicable to your claim.

Why Should You Opt for a Loss of Personal Belongings Add-on?

Tata AIG’s Car Insurance Plans

Tata AIG offers a variety of car insurance plans to suit your needs and budget. Whether you are looking for basic third-party liability coverage or a comprehensive plan with all the necessary car insurance add-ons, we have you covered.

Choose from third-party liability, standalone own damage (which protects your car itself), or comprehensive plans (which protect both your car and belongings and offer an all-around protection to your vehicle).

As discussed earlier, this valuable add-on can provide peace of mind regarding your belongings in the car. However, you can also choose from several other add-on covers, such as roadside assistance, zero depreciation car insurance, and engine protection, to enhance your coverage further.

Also, if your car needs repairs after an accident, we offer a large network of garages across India. This means you can conveniently get your car fixed at one of their authorised centres.

Simply put, our car insurance plans are designed to provide peace of mind and financial protection in case of unforeseen road events.

Choose Tata AIG for reliable and comprehensive car insurance coverage tailored to your needs. Contact our insurance experts today for any help regarding policy purchase or car insurance renewal online.

Disclaimer / TnC

Your policy is subjected to terms and conditions & inclusions and exclusions mentioned in your policy wording. Please go through the documents carefully.

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Can I buy the Loss of Personal Belongings add-on when renewing Comprehensive Car Insurance online?

Can I buy the Loss of Personal Belongings add-on when renewing Comprehensive Car Insurance online?


Absolutely! You have the option to purchase the Loss of Personal Belongings add-on when renewing your comprehensive car insurance policy online. This convenient feature allows you to enhance your coverage easily during the renewal process. Whether you are renewing your policy for another term or switching to a new plan, you can include the Loss of Personal Belongings add-on to protect your valuable belongings inside your car. Simply select the add-on option during the online renewal process and ensure added peace of mind, knowing your personal items are covered in case of loss or damage while travelling.

Do I have to file a First Information Report (FIR) for theft from my insured car to make a claim on this add-on?


Generally, an FIR must be filed in such cases. However, you can communicate with Tata AIG’s insurance experts to explore options. This open communication ensures a smoother claims process and helps you navigate the requirements effectively.