Is own damage mandatory?

Asked by: Enola Macejkovic  |  Last update: February 11, 2022
Score: 4.6/5 (2 votes)

This type of insurance provides coverage for the damage to the policyholder's vehicle. It is not compulsory, however, provides greater protection than just third party insurance.

Is it necessary to renew own damage insurance?

Thus, apart from third-party liability cover, this type of policy covers the damage to the vehicle due to accident, calamities, fire and theft. Those who opted for this policy last year or have bought the policy this year, don't have to renew the policy for the next two years.

Is own damage insurance mandatory for car in India?

It is compulsory as per the Motor Vehicles Act 1988; ... Only covers the third person affected by the insured vehicle. Not compulsory but offers protection against vandalism, theft, natural calamities etc. Not compulsory but offers benefits of both third-party and own damage insurance, along with NCB and add-ons.

What is own damage coverage?

​ Own Damage (OD) helps you stay covered against damage caused to your vehicle due to accidents like fire, theft, etc. In case of an accident, an own damage cover compensates you for expense to repair or replace parts of your car damaged in the accident.​

Is OD car insurance mandatory?

✓ Is OD insurance mandatory by law? No, an OD insurance for your car or bike isn't mandatory but is recommended for protection for your own vehicle. As per the Motor Vehicle Act, the basic Third-Party Insurance is mandatory for all vehicles.

What is Own Damage Motor Insurance Policy? - Vehicle Insurance Basics By Reliance General Insurance

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What is own damage period?

In case of an accident, an own damage cover compensates you for expense to repair or replace parts of your car damaged in the accident. This policy covers the cost of damages to your car due to- 1. Natural calamities like floods, earthquake, fire and more. 2.

Is own damage insurance same as comprehensive?

While the Comprehensive insurance is more expensive than your standard Third Party Liability policy or Own Damage insurance, it does offer you more benefits and more coverage, which can actually be more cost-effective in the long run.

Which insurance is mandatory in India?

In India, as per the Motor Vehicles Act, it is mandatory that all vehicles that operate in any public space must have a motor vehicle insurance cover. Policyholders must have at least 'third party liability' motor insurance cover even when opting for the basic insurance plans.

What is own damage cover in bike insurance?

Own Damage (OD) helps you stay covered against damage caused to your vehicle due to accidents like fire, theft, etc. In case of an accident, an own damage cover compensates you for expense to repair or replace parts of your two wheeler damaged in the accident.

Is third party insurance mandatory?

Yes, as per the Motor Vehicles Act of 1988, third-party insurance is mandatory for all vehicles driving in India.

Can I buy only own damage car insurance?

Come September 1, motor vehicle owners will be allowed to purchase standalone own damage (OD) insurance cover. ... Having OD insurance helps you cover any damages your vehicle suffers in an accident, such as fire, road collision or vandalism, as well as theft of the vehicle or its parts.

Can I claim if I damage my car?

If I damage my own car can I claim on my insurance? This depends on the type of insurance you have. If you have comprehensive insurance, it should cover you for damage by anyone else or yourself. If you have third-party only, or third-party only with fire and theft, you might not be covered if you've damaged your car.

Is 3 years insurance mandatory for cars?

Traditionally, the validity for any kind of motor insurance has been for a period of one year from the date of policy issuance. However, in July 2018, the Supreme Court mandated that all new motor insurance policies will compulsorily cover third-party liability for a period of three years.

Is it compulsory to buy 5 years insurance?

Following a Supreme Court ruling in September 2018, IRDAI has made it mandatory for all new two-wheelers to be issued a 5-year insurance cover. This has been done to ensure that maximum number of two-wheelers remain insured and also to minimise incidents of lapsed, expired policies and uninsured vehicles.

What is the difference between own damage and third party insurance?

While a Third-Party insurance only covers you against third-party damages and losses, a comprehensive car insurance will cover for your own damages as well. ... After all, having at least a basic insurance that covers for third party is part of the law.

Is it compulsory to have own damage insurance for bike?

Comprehensive Bike Insurance

It is not compulsory, however, provides greater protection than just third party insurance. This type of cover provides coverage for both third party liabilities as well as own-damage costs under a single premium. It is compulsory and without it you can be heavily fined.

Is OD insurance compulsory for bike?

Unlike the mandatory Third-party bike insurance, buying OD insurance is optional. You can be financially protected in case your two-wheeler gets damaged by including the OD bike insurance with the Third-party Liability Policy.

How do I claim my own bike damage insurance?

In case a claim arising for own damage, you will have to furnish the following documents:
  1. Copy of the insurance document.
  2. FIR in case of an accident/theft.
  3. Registration Certificate of the vehicle.
  4. Proof of the accident, images etc.

Which insurance is mandatory?

Taking Third Party Liability (TPL) car insurance coverage is mandatory in India. The TPL policy covers you against the legal ramifications of an accident caused by you.

Which type of insurance is mandatory?

Mandatory General Insurance a User Should Have

The general insurance cover that is mandatory is third-party liability car insurance. This is the minimum coverage that a vehicle should have before they can ply on Indian roads.

What is the compulsory insurance?

The Employers' Liability (Compulsory Insurance) Act 1969 ensures that you have at least a minimum level of insurance cover against any such claims. Employers' liability insurance will enable you to meet the cost of compensation for your employees' injuries or illness whether they are caused on or off site.

What is the difference between own damage and zero DEP?

Zero Depreciation is also known as Nil Depreciation or Bumper to Bumper cover that leaves out the 'depreciation' factor from the coverage. It basically means that if your car or bike gets damaged following a collision, no depreciation is subtracted from the coverage of wear and tear of any body parts of your vehicle.

Does own damage cover third party insurance?

The Importance Of Own Damage Cover:

A liability-only plan protects the car owner from legal liabilities arising out of an accident. This includes liability for third-party injuries, death, or property damage. ... Own damage cover - This cover protects the vehicle from the following events: Accidental damages.

Which type of car insurance is best?

Which is a better Car Insurance? Taking a comprehensive car insurance cover is always advisable as it provides complete protection of not only someone else's car like a Third-Party car insurance, but also the Own damages to your car, as well as any injury to the owner driver.