Motor Vehicles Insurance and Distinction PDF

MOTOR VEHICLES INSURANCE AND DISTIINCTION by: Samruddhi Basis of Distinction Life Insurance Fire Insurance Marine Insurance Long Term contract usually Period of Contract for one year....

MOTOR VEHICLES INSURANCE AND DISTIINCTION by: Samruddhi Basis of Distinction Life Insurance Fire Insurance Marine Insurance Long Term contract usually Period of Contract for one year. A short term contract A short term contract Purpose Protection and investment Only protection against risk Only protection against risk Nature of risk Risk due to premature death Risk due to fire - risk is Risk due to marine adventure - risk covered - risk is certain uncertain is uncertain Payable generally in Premium installments Payable in lump sum Payable in lump sum Actual loss suffered or the Compensation The sum assured plus bonus Actual loss suffered or the sum sum insured, whichever is payable in case of , with profits policy insured, whichever is less less  Chapter 1 Motor Vehicles Insurance 1. Risk of loss or damage to motor vehicles - accident, fire, theft, etc. 2. Risk of injury, death of the driver 3. Risk of loss fue to injury or death of third party by the vehicle in an accident Types Third Party Insurance: Comprehensive Insurance: injury to any person or vehicle all types of risks causing damage or loss to owner compensates the third party insurer insured vehicle --> compensate the insured  Importance: owner of the vehicle receives cost of vehicle in case of loss by theft, fir, etc. compensation payable to third party in case of accident can be recovered as well a person who earns his livelihood from his taxi, auto or bus is not deprived permanently from his source of income. - can restart occupation Motor Vehicles Act, 1939 --> compulsory for the owners of motor vehicles to insure against the risk of liability to third parties.