Auto Rickshaw Insurance
About Auto Rickshaw Insurance
Among India's many modes of public transport, autorickshaws are a popular choice for swift, affordable and short journeys within the city or town. Owing to the state of traffic and the proliferation of autorickshaws on Indian roads, the vehicle can meet with an accident or suffer major damages.
To protect the owner-drivers, securing these three-wheeler vehicles with an appropriate autorickshaw insurance policy is imperative.
What is Autorickshaw Insurance?
Autorickshaw insurance is a type of Commercial vehicle insurance policy designed to protect three wheelers in India.
This type of insurance policy is designed to secure the three-wheeler vehicle against a multitude of damages and losses that the driver or the owner may face. These losses could arise from third-party liabilities, accidents, fires, natural disasters, and human-made calamities.
Under the Motor Vehicles Act of 1988, autorickshaw insurance has been made mandatory in India. This means that one must have at least a basic liability or third-party cover that will secure the losses to the third-party person or property that has been affected by the insured vehicle. This, in turn, protects the autorickshaw owner against the financial implications of third-party losses.
Tata AIG offers different types of autorickshaw insurance policies that one can select from to protect their autorickshaw from any harm while on the roads. With a quick purchase and renewal method, you can choose flexible coverage for your policy and pay reasonable premiums.
Autorickshaw Insurance Price
The price of your autorickshaw insurance policy can vary, depending on different factors. The price or the cost of the policy is determined by the premium you pay while purchasing and renewing the plan.
The Insured Declared Value or the IDV of the vehicle is one of the important factors that directly impact the autorickshaw's premium and insurance cost. This is the amount you will receive in the event your autorickshaw suffers irreversible damage or is stolen.
When purchasing a Tata AIG autorickshaw insurance policy, you can choose from a range of different IDVs before purchasing the plan of your choice. This allows you to select the coverage for your vehicle and the premium cost you pay towards the policy.
Types of Autorickshaw Insurance Plans
Autorickshaw insurance plans are of two types – third-party insurance and comprehensive insurance.
Third-party autorickshaw insurance:
This is a mandatory cover as required by the law under The Motor Vehicles Act of 1988. This type of policy will only cover the losses and damages incurred by a third party in case of an accident by the insured vehicle. The Insurance Regulatory and Development Authority of India determines and revises the cost of the coverage each year based on different aspects of the vehicle.
The coverage extends to cover damage or loss of third-party property and injuries to or the death of a third-party person or persons.
However, it is important to note that the third-party insurance policy coverage will not secure any loss, damage or injuries to the driver or owner of the insured vehicle or the vehicle itself.
Comprehensive autorickshaw insurance:
Comprehensive autorickshaw insurance offers an extensive insurance plan and covers a wider range of unforeseen risks and events. It includes third-party liability coverage as well as coverage for the autorickshaw owner/driver's own vehicle. Hence, if the vehicle is stolen, damaged in an accident, a natural calamity or due to human causes, the policy covers the cost of repairing or replacing parts of or the whole vehicle (in case of total loss).
This policy can be customised with add-ons, and the policy coverage can be chosen by the insured as per their needs. The premiums of a comprehensive policy are, therefore, higher than a third-party cover.
Comprehensive autorickshaw insurance is not a legal mandate nor a compulsory requirement like a third-party cover. However, since it offers greater coverage to the owner and the insured vehicle, it is advisable to have comprehensive autorickshaw policy coverage.
Key Features of Autorickshaw Insurance by Tata AIG
Tata AIG offers a range of insurance policies for greater selection and enables you to access various efficient modes of claim notification. Enjoy our service benefits of green channel settlement to receive expeditious claim service at the select auto-restore garages with an auto-restore warranty.
We aim to settle all valid claims within 7 business days from the receipt of last mandated document.
With the Auto Secure-Comprehensive Insurance policy, your vehicle can be protected against losses or damages to your arising from accidental means and third-party losses. The Indian Motor Tariff governs the policy terms and conditions broadly covering policy inclusions and exclusions.
- The program also offers some value additions like:
- Master policy program.
- Automated reminders for policy renewals.
- Instant issuance of an insurance policy.
- A convenient administrative benefit in the form of coordinated insurance renewal dates.
Autorickshaw Insurance: Inclusions
The following damages will be covered under the Tata AIG autorickshaw insurance policy:
Loss of or Damage to the Vehicle Insured The insured vehicle will be secured against a number of damages caused by accidental damages, fire explosion from self-ignition/lightning, theft or burglary, human causes of damage such as vandalism or terror attacks and natural causes such as earthquakes, landslides, etc.
Third-Party Liabilities The insured vehicle will be secured against third-party losses such as the death of or physical harm to the third-party person. It also covers damages to third-party property caused by the use of the insured vehicle.
Towing of Disabled Vehicles In the event that the insured vehicle is mechanically disabled, the vehicle can be towed if not being towed for rewards/compensation. Furthermore, damages to the vehicle as a result of towing cannot be covered.
Personal Accident Cover for Owner-Driver A compensation of ₹15 lakhs will be offered if the owner-driver suffers injuries or dies due to violent, accidental, external, and visible means. The compensation will be 50% in case of injury to a limb or one eye. In case of the owner-driver’s death, the compensation will be paid out to the insured’s nominee.
Autorickshaw Insurance: Exclusions
These are some of the damages not covered under the Tata AIG autorickshaw insurance policy:
- Accidental liabilities or losses and damages to the insured vehicle in case the incident takes place outside the geographical scope of the policy.
- Claims arising due to contractual liability cannot be covered. If one party in the insurance contract does not honour the agreement, the claim cannot be paid out.
- Consequential losses leading to accidental losses/damages/expenses. If your insured vehicle is non-functional due to damages, losses to your business due to its unavailability cannot be covered.
- Losses due to an accident arising from the use of nuclear weapons, war or war-like activities, hostilities, invasions, and other similar events are excluded from the policy.
- Losses or damages (accidental in nature) to the insured vehicle caused by ionising radiations/contamination by radioactivity particles from nuclear fuel/nuclear waste cannot be covered.
- Losses or damages (accidental in nature) caused to the vehicle when it is being used by any other person apart from the designated driver/drivers.
- If the vehicle undergoes losses or damages when it is being used under restricted areas and conditions or not in accordance with the limitations clause.
Importance of Autorickshaw Insurance
Since autorickshaws are a common mode of transport in India, most towns and cities have a large number of autorickshaws plying on the roads. However, there are also a number of other two-wheelers, four-wheelers and heavy vehicles running alongside autorickshaws.
Due to the severe congestion of vehicles and heavy traffic conditions on the roads, autorickshaws can be prone to damages and losses. Hence, as an autorickshaw owner or driver, these are some reasons why autorickshaw insurance is important:
- Protection for the Owner: The owner of the autorickshaw can protect themselves from the financial implications of the losses and damages to the vehicle.
- Legal Protection: With a third-party insurance plan, the owner/driver can use the vehicle while following the legal mandate of having an autorickshaw policy.
- Third-party Liability: A third-party cover also secures the owner/driver against losses/damages claimed by affected third parties.
- Enhanced Coverage: A comprehensive policy allows you to extend the policy benefits with optional add-ons like Engine Secure, Roadside Assistance, etc.
- Secures Passengers: Autorickshaw insurance plans also cover injuries and accidental losses/damages to passengers of autorickshaws.
- Personal Accident Cover: Comprehensive plans allow for a personal accident cover that protects the owner-driver with a ₹15 lakh cover.
- Business Security: Autorickshaw fleet owners can protect their business interests with adequate insurance coverage and earn the trust of their employees.
Why Choose Autorickshaw Insurance by Tata AIG?
Here is why you should opt for Tata AIG as your autorickshaw insurance provider:
- We offer a range of vehicle insurance policies that suit your individual needs and your business needs. This way, you can protect your vehicle/vehicles from a range of losses/damages.
- The Tata AIG promise has successfully lived up to its name and committed itself to serve its customers with quality products and services.
- We offer a hassle-free and swift online purchase and renewal process to help you save time and effort. You can also calculate and pay your premiums online with ease.
- Our simple and swift online and offline claims processes and our 650+ claims experts are always there to help you right from the time of filing the claim until claim settlement.
- Apart from offering you a hassle-free claims process online, we also enable you to track your claim status.
- With a Tata AIG online autorickshaw insurance policy, you can update your policy and contact details from time to time.
- Our policies are designed to accommodate one or more unique add-on covers so that your policy coverage can be enhanced and extended.
How to Buy Commercial Autorickshaw Insurance Online?
To buy commercial autorickshaw insurance online, you can follow a few simple steps:
- Go to the official website of Tata AIG.
- Click on Auto Rickshaw Insurance under Motor Insurance tab and enter your details.
Benefits of Buying Autorickshaw Insurance Online
Buying autorickshaw insurance online in India has become necessary and important over the years, owing to the emphasis on safety on Indian roads. Here are some benefits of buying autorickshaw insurance online:
Convenience: Buying autorickshaw insurance online is convenient as it can be done from the comfort of your home or office. The need to visit a physical insurance office or the hassle of going outside is eliminated. Tata AIG’s online purchase and renewal processes are simple and can be completed in a few clicks.
Easy Comparison: When you buy our policy online, you can compare different plan options and select the one that suits your needs appropriately. This makes it easier for you to choose a policy, calculate the premiums, determine the coverage, and also see how add-ons can enhance your policy coverage.
Affordable Premiums: We enable you to calculate your premiums online so that you can decide how much you pay. This can result in affordable premiums as per your budget. Moreover, buying the policy online removes many overhead costs since you can easily follow the process on your own. This can help you save more money.
Instant Purchase/Renewal: Buying autorickshaw insurance online means the policy is issued instantly after payment. This eliminates the need to wait for the physical policy documents to be delivered.
24/7 Access: Online insurance platforms are available 24/7, meaning the owner/driver can buy or renew their policy at any time of the day or night. In addition, online platforms also provide access to policy documents and other information at any time.
Add-Ons Available for Better Coverage
When you purchase a comprehensive autorickshaw insurance policy, the following add-ons will be available for you to choose from:
Depreciation Reimbursement Under this cover, the depreciated value deducted from the value of the parts under the own-damage component is protected. Therefore, the claim amount is not affected by the deduction of depreciation.
Additional Transportation Expenses The overhead cost of getting an alternative means of transportation and the labour charges at the accident site in the event of an accident is covered under this add-on.
Loss of Income In the event of an accident, the insured can be compensated for the loss of income (to the business or insured) for a fixed period when the insured vehicle is being repaired in the garage.
EMI Protector With this cover, the insured can pay the Equated Monthly Instalments (EMIs) to the financial institution or lender. At the same time, the vehicle undergoes repairs in the garage for a covered loss or damage.
Repair of Glass, Fibre, Plastic & Rubber Parts The insured can file a single claim with this add-on only for repairs on the glass/rubber/plastic/fibre parts that need repairs at any of our network garages.
Additional TPPD cover Under this cover, if damages to only third-party property and not the insured’s property are caused by the insured vehicles, the loss can be covered up to a specified limit.
Engine Secure This add-on covers the repair/replacement expenses for the loss or damage of internal engine parts, gearbox, and cost of consumables such as gearbox oil, engine oil, lubricating oil, etc.
Consumable Expenses After an accident, the cost of lost consumables that need to be replaced/replenished can be covered. Engine oil, lubricants, nut & bolt, screw, etc., can be covered but not fuel.
No Claim Bonus Protection Cover This add-on lets you retain your No Claim Bonus (NCB) during renewal if the discount for one or more claim-free years has been accumulated. Only one claim can be filed under this add-on during the policy term.
Emergency Medical Expenses In case of an accident and physical injury to the owner, driver or passengers of the insured vehicle when it is in use, the cost of emergency medical expenses will be compensated.
Return to Invoice In case of the total loss of the vehicle, the difference between the amount received by the insured and the new vehicle’s purchase price (same make and model as per the invoice) will be compensated.
Loss of Personal Belongings If the vehicle’s occupant’s/driver’s personal belongings are lost or damaged when they are in the vehicle, this loss will be compensated as per the specified and applicable items in the policy.
Emergency Transport & Hotel Expenses If the vehicle cannot be used after an accident, the accommodation and transport costs for the driver/passengers will be covered for the night. The cost of returning to their nearest city or destination will also be covered.
Key Replacement Under this add-on, the cost of key replacement, which includes replacing lost or stolen vehicle keys, will be compensated. The cost of labour for the lock replacement will also be provided.
Additional Personal Accident Cover to Owner-Driver This add-on covers bodily injury to the owner-driver in case of violent, accidental external and visible damage when the vehicle is in use. The compensation can be either 50% or 100% of the add-on.
Factors Affecting Autorickshaw Insurance Premium
Several different factors can influence the insurance premium of your autorickshaw insurance policy. They are:
Insured Declared Value (IDV): The autorickshaw’s IDV is the highest amount you can receive in case your vehicle suffers a total loss –complete damage or theft. A high IDV means a high premium due to greater coverage. A lower IDV translates to lower premiums however in case of Total Loss or Total Theft you may tend to receive lower amount than the market value.
The Engine Capacity: Considering the engine capacity or the cubic capacity of the autorickshaw is essential when deciding on the premium. If the engine capacity of the autorickshaw is high, premiums will be relatively higher
Geographical Location: The geographical location or area of the autorickshaw is crucial when fixing the premium amount. Vehicles operating in risk-prone zones will attract a higher premium due to the high risk of theft, accidents, and other damages. This also includes cities with dense traffic situations.
Add-on Covers: An additional but optional cover on your policy comes at an extra but nominal premium cost. Be it Engine Secure or Roadside Assistance, you can choose one of the many Tata AIG add-ons to give your policy added coverage against unforeseen risks and damages.
Safety Installations: When you install safety devices like GPS trackers or anti-theft alarms to your autorickshaw, the risk on the vehicle decreases. This also brings down the premium amount as it indicates that the vehicle is less likely to be stolen, vandalised or damaged in any other way.
Age of the Vehicle: The vehicle’s age is an important factor as the value keeps depreciating over the years. If you are insuring an old autorickshaw, the premiums will be higher due to the increased risk that comes with operating an old vehicle that has suffered wear and tear.
Claim History: If the driver of the autorickshaw has filed too many claims in the past, it shows that they are not a safe driver. This can hike up the premiums considerably. In case of repeated accidents and traffic offences as well, the policy premiums will be high.
No Claim Bonus (NCB): The NCB is a benefit given to the insured in the form of discounted premiums for not filing any claim during a policy year. If the owner avails of this benefit by not filing a claim, then they can avail of a discount on their premium for the upcoming year.
There are a number of other minor and variable factors that may impact the policy premiums, subject to the terms and conditions of the policy.
Who can Purchase Autorickshaw Insurance?
Autorickshaw insurance can be purchased by an owner of one or more autorickshaws or businesses that operate an entire fleet of autorickshaws. Here are two categories of owners who can avail of autorickshaw insurance:
Individual autorickshaw owners: As an individual owner-driver of one autorickshaw, you need to have a comprehensive autorickshaw policy. This can help you protect your vehicle from damages due to accidental causes, natural disasters such as floods and earthquakes, and fires.
Since the earnings from operating a single rickshaw may be a singular source of income, it is essential to safeguard the vehicle from these losses and damages at all times. Moreover, if you are mainly operating in the city, your comprehensive policy, comprising a liability-only cover, will secure you against traffic fines and legal penalties.
Documents Required to Start the Claim Process
To file a claim with Tata AIG for your autorickshaw insurance policy, you need to provide the following documents:
- Fill in and sign the Claim Intimation Form (Preliminary Claim Form). You can download the form from our official website.
- The driving license of the driver or the owner using the vehicle at the time of the incident.
- The Vehicle Registration Certificate.
- The FIR should be provided in case of theft of the vehicle, property damage or bodily injuries.
- Fitness Certificate
No Claim Bonus Feature
The No Claim Bonus (NCB) is an important part of your autorickshaw insurance policy. With a Tata AIG insurance policy, if you do not file a claim for one or more consecutive policy years for damages or losses to the insured vehicle, you can earn an NCB discount on the upcoming policy year on the own-damage component of the policy.
Hence, a third-party insurance policy will not have a No Claim Bonus benefit.
The No Claim Bonus starts accumulating after the first claim-free year and is applicable on the next year’s premium.
Hence, from the 5th year onwards, till you file a claim, you can continue enjoying a 50% discount on every year’s premium.
However, it is important to note that once a claim has been filed for a policy year, the No Claim Bonus ceases to exist until the next claim-free year. If you file a claim in the first policy year, you cannot avail of the NCB on the second year’s policy premium. However, if you do not file a claim in the second year, you can get a 20% discount on the premium for the third year.
Adding the No Claim Bonus Protection add-on to your comprehensive Tata AIG policy lets you make one claim during the policy year and still retain your No Claim Bonus benefit for the upcoming year’s premium. However, this add-on can only be used once for your policy term.
How to Register an Autorickshaw Claim?
Here is how you can file an autorickshaw insurance claim with Tata AIG:
- Get medical help in case of bodily injuries at the earliest.
- Note down the other vehicle’s number involved in the accident.
- Also, note down the names and contact details of any witnesses present, if possible.
- Contact the Tata AIG 24x7 helpline number 1800 266 7780 (Toll-free). Alternatively, you can call 022 66939500 (tolled) to file a claim
- To file a claim via text, SMS “CLAIMS” to 5616181.
- Fill in and sign the preliminary claim form so that your responses are ready before you contact us.
In case of theft of the vehicle, bodily injuries, or property damage, report to police authorities within 48 hours of theft, by anyone of the following ways:
1) By reporting of theft on Dial 100 2) By way of written complaint with an acknowledgment from respective police station 3) By way of an email to the police station. 4) By way of an FIR.
We have a 4-hour turnaround time (TAT) during which the spot inspection of the vehicle will take place. We will then swiftly work towards settling your claim.
How Fast Are Tata AIG Insurance Claims Settled?
Tata AIG has been settling claims within the recommended turn-around time (TAT) as per the current regulations and guidelines. Our claim settlement ratio of 99% for FY 22-23 has been proof of our swift and efficient claim settlement process, and our team of more than 650 claim experts is always available to help you with filing a claim. You can easily reach out to us via any of our channels and file a claim with us online.
If you want to know more about our offline claim settlement process, please visit any of our office branches all over the country to experience a hassle-free claim process offline.
Frequently Asked Question
Why do you need commercial vehicle insurance?
Commercial vehicle insurance is important for the following reasons:
- At least a third-party insurance policy is mandated by law if you own a commercial vehicle that carries passengers such as a taxi, school bus, etc.
- A commercial vehicle insurance financially covers your trade, and your vehicle from losses and damages caused by/to your vehicle and the parties involved.
What is the Motor Vehicles Act of 1988?
The Motor Vehicles Act of 1988 is legislation passed by the Government of India that regulates the registration, licensing, and operation of motor vehicles in India. The Act is designed to ensure the safety of road users and to reduce the number of accidents on Indian roads. The Act provides for various provisions including, but not limited to:
- Registration of motor vehicles
- Licensing of drivers
- Control of traffic on roads
- Insurance of motor vehicles
- Control of pollution caused by motor vehicles
- Establishment of the National Transport Development Policy Committee The Act is administered by the Ministry of Road Transport and Highways, and is enforced by the state governments through their respective transport departments. The Act also provides for the establishment of tribunals to hear appeals against the decisions of the transport department.
What does a comprehensive commercial vehicle insurance policy cover?
Apart from accidental damage, comprehensive commercial vehicle insurance covers fires, thefts, natural disasters, personal accidents, and a range of other losses to the vehicle.
What are cashless garages in commercial vehicle insurance?
Cashless garages are the network of garages available under Tata AIG. You can choose to have your insured vehicle repaired at any of these cashless garages in the event of any losses/damages covered under the policy. Instead of paying the garage for the repairs out of your own pocket, you can simply file a claim with Tata AIG and the cost of the repairs will be covered by the insurance plan. The insured needs to bear a portion of the repair cost based on policy obtained, such as deductibles, depreciation etc.
How many add-ons can I include with my insurance policy?
You can include one or more add-on covers with your base insurance policy. The choice of these add-ons will depend on the needs of your vehicle and can be selected as per your understanding.
When can I avail of the No Claim Bonus on my insurance policy?
You can avail of the No Claim Bonus (NCB) discount on your insurance policy at the time of policy renewal. If no claim has been made or is pending in the preceding policy year after the first year or consecutively for several policy years, your NCB discount will accumulate over the years. You can get up to a 50% discount on the own-damage premiums paid towards the policy.
Why is the Insured Declared Value important for choosing your insurance policy?
The Insured Declared Value or IDV is the current market value of your vehicle. This value is the coverage that you can receive for your insured vehicle. In the event of total loss that could either be irreparable damage to or the theft of the vehicle, the losses will be compensated with the sum insured under the policy coverage.
What is the difference between comprehensive and third-party policies in commercial vehicle insurance?
A comprehensive policy provides coverage for both third-party liability and own damage. This means that if a commercial vehicle is involved in an accident and causes damage to another vehicle, property and Physical injury to third party the insurance company will pay for the damages. Additionally, if the commercial vehicle itself is damaged in an accident, the repairs or replacement of the vehicle will be covered. Comprehensive policies include coverage for natural disasters, theft, and a range of named perils and unforeseen events. A mandatory third-party policy, on the other hand, only provides coverage for third-party liability. This means that if a commercial vehicle is involved in an accident and causes damage to another vehicle, property and Physical injury third party the insurance company will pay for the damages. However, if the commercial vehicle itself is damaged in an accident, the policyholder will have to bear the cost of repairs or replacement. Third-party policies are cheaper than comprehensive policies, as they provide less coverage. You can consider a comprehensive policy, especially if the commercial vehicle is a significant asset to the business or is used on a regular basis.
Will the IDV also affect my premium amount?
Yes, the IDV will also impact your premium amount. If you choose an IDV higher than the current market value of your vehicle, the sum insured of your policy will be greater. This will result in expensive premiums. But, on the other hand, it is advisable not to opt for a very low IDV for lowering the premiums as it will lead to inadequate compensation in the event of total loss.
How do I contact Tata AIG if my commercial vehicle is involved in an accident?
Please immediately contact the Tata AIG 24x7 helpline number 1800 266 7780(Toll-free) or 022 66939500 (tolled) to contact us and file a claim. To file the claim online, please visit the Claims section on our website.