insurance idv
According to the provision of the Motor Vehicles Act all the vehicles that are playing in a public place shall have at safe policy, at least to cover third party liability as specified in the act. Personal Accident cover is also owner-driver included. While the insured is the first game, the insurance company is the second part and everyone else is third.
India has been divided into the following geographical areas, depending on the location of the office for registration of the vehicle. This is for valuation purposes. There are two areas defined for private cars.
Cities that fall within Zone A are Ahmedabad, Bangalore, Chennai, Hyderabad, Kolkata, Mumbai, Delhi and Pune and the rest of India is under Zone B: Rest of India.
The value Declared insured (IDV) is decided on the basis of the manufacturers listed the selling price of the brand and model of vehicle. It's basically the depreciated value of the vehicle agreed by the insurer and the policyholder's vehicle II is reduced with age. Own Damage (OD) premium is the deck above the mandatory third party cover. Payment of OD premium entitles you to claim compensation in case of theft or damage to your vehicle due to fires, earthquakes, etc.
If you do not make a claim during the policy period, no claim bonus (NCB) is offered on renewals. Insurers reward policyholders for not making statements, giving a discount on the OD premium, up to 50%. However, it should be noted that NCB, provided that the policy is renewed within 90 days from the date of expiry of the previous policy.
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Article Source: ArticlesBase.com – Protecting Your Car
