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Will Your Car Insurer Give Coverage for Stolen or Damaged Car?

If one has purchased comprehensive car insurance online, their insurance company will allow them to file a theft claim for their stolen car. Besides this, in order to submit a claim with one’s insurer, they need to notify the theft within a certain amount of time through online or offline claim intimation. In addition, they should present a copy of the FIR that was reported to the police in connection with the car theft.

Car theft is a horrific incident that causes an individual to feel anxious and frightened. If there is one good thing about this situation, it could be that their car insurance covers the theft. In addition, it depends on the exact terms and conditions of the car insurance provider whether your policy covers theft.

Also remember that even if your insurance covers car theft, the belongings in the stolen car will not be protected. To find out about vehicle insurance theft, scroll on to understand more about this.

A car is a priced possession and losing one can be devastating in any way. While car damage from accidents is very prevalent, one cannot rule out the chance of car theft.

Does your car insurance cover theft or damage? 

A car insurance policy is intended to provide risk coverage for your vehicle in the event of loss or damage. The Motor Vehicles Act, 1988, requires all car owners to purchase car insurance when they buy their vehicles. The basic car insurance plan doesn’t cover all of the damage that could happen to the owner. A big majority of car insurance providers in India would only cover the car’s damage in the event of an accident.

Some insurance policies may not include coverage when the car is stolen. This causes an enormous loss for the owner, especially if the car was recently purchased and was stolen soon after! The situation worsens when the police could not find the stolen car, which causes the owner to suffer a significant financial loss.

What is covered by Shriram Car Insurance?

The two primary types of insurance offered by top car insurance companies are third-party and comprehensive coverages. Car insurance companies are accountable for paying for third-party damages up to a certain limit. Shriram Comprehensive Car Insurance coverage includes protection against both personal accident damages and car theft. The plan also offers add-on depreciation coverage, no-claim bonus protection, etc.

How much does your car insurance company compensate you for theft?

If an individual’s stolen car is never found, their insurance company will pay the claim as per the Insured Declared Value (IDV) of the car with applicable deductibles.  In this particular scenario, only people with comprehensive insurance or Own-Damage (OD) cover are eligible for coverage.

Shriram Car Insurance claim procedures

  • An individual should immediately report the incident to the police and their insurance provider.
  • If their car has been stolen, they must file an insurance claim for car theft.
  • Each step of the procedure will be assisted by a representative of the insurance company.

What are the things one should keep in mind when filing a theft claim?

The steps that an individual must take while making a theft claim are as follows:

  • The police will issue you an untraced vehicle report stating that it is not possible to find the insured car. This report’s release could take a few months. If this report is missing, there is a decent chance that your claim request may be rejected because it is such an essential document.
  • A duplicate RC book would also need to be obtained, which would require a visit to the road tax officer’s office.
  • If the car is financed, the insurance company will pay the payable claim lender and you will be accountable for the remaining balance if any.

Make sure to keep the documents available (Checklist)

  • Police FIR copy
  • A copy of your license
  • Copy of the policy papers
  • Original car keys
  • RTO transfer documents signed (forms 28, 29, 30)
  • If there is an active car loan, the financier’s NOC and form 35
  • Vehicle’s Original RC
  • Filled in claim form and duly signed
  • Final Report
  • Indemnity Bond-cum-Subrogation letter

Although having your car stolen is the last thing you want to happen to you, it is always beneficial to be ready for this problem and know what to do in case it does. Make sure your car insurance is up to date and that you have the proper add-ons by reading the document to ensure that you are protected against all potential risks.

Final Note

If you have purchased a new vehicle or are thinking about doing so, be sure to purchase comprehensive car insurance online and take advantage of the add-on Return to Invoice protection. Get Shriram Car Insurance policy to protect your finances and your vehicle against unanticipated damage or loss from theft.

Key highlights

  • If one has comprehensive car insurance online, their insurance company will allow them to file a theft claim for their stolen car.
  • Make sure your car insurance is up to date and that you have the proper add-ons by reading the document to ensure that you are protected against all potential risks.
  • Comprehensive coverage includes protection against both personal accident damages and car theft. The plan also offers add-on depreciation coverage, no-claim bonus protection, etc.
  • An individual should immediately report the incident to the police and their insurance provider.
  • If you have purchased a new vehicle or are thinking about doing so, be sure to purchase comprehensive car insurance online and take advantage of the add-on Return to Invoice protection.
  • Check here for other finance related news

 

 

 

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