Motor Fleet Insurance

Motor fleet insurance, commonly known as commercial fleet insurance also, is a policy designed for businesses with two or more vehicles to insure multiple vehicles (cars, mini buses, trucks, HGVs and taxis) on a single insurance policy.

Under such a policy, the insurance company offers a single motor insurance policy to cover a number of vehicles or the whole fleet. The fleet vehicle company needs to pay a single premium at a point in time and all the vehicles in the fleet remain covered with a single policy. Commercial fleet insurance has competitive pricing as the risk here is shared among all the vehicles.

The benefits of motor fleet insurance policy in India are as follows:

Protection to Vehicle

• Commercial car insurance covers your vehicles for damage due to accidents or loss caused by fire, theft and self-ignition. It also covers natural calamities like earthquake, floods, storm, landslide and rockslide.
• Damage to the vehicle due to terrorist activity, riots or strike, or any other malicious act is covered.
• The policy also covers loss to the vehicles whilst in transit by road, rail and waterways.

Third Party Liability Cover

• Commercial fleet insurance covers legal liability arising from bodily injury to any person caused by your vehicle. The policy also indemnifies all the legal costs in case the victim files a legal case against your business.
• The policy will also pay for the death of any person due to an accident in which your vehicle is involved.
• Damage to property owned by a third party, caused by an accident due to your vehicle, is also covered by this insurance.

Additional Benefits

• Commercial motor insurance offers various add-on benefits such as personal accident protection to owner-driver, paid drivers, and passengers. You can also introduce coverage for towing disabled vehicles.
• Legal liability for the paid driver in connection with the operation of the commercial vehicle can also be included in a policy.
• Damage to vehicle accessories, bonnet and bumpers, tyres and tubes can also be covered.

Motor fleet insurance policy in India is a unique way of insuring multiple vehicles under a single policy. It is managerially simple, hassle-free and cost effective. Below is a list of who can can buy motor fleet insurance policy in India:

• Transport organization - taxi services, commercial transporters, etc.
• An individual who owns more than three or four cars - based on the insurance provider’s requirement
• Any business or individual that owns a number of vehicles for commercial purpose

A motor fleet insurance cost or the premium payable for commercial vehicle insurance depends on factors such as: types of vehicles, the number of vehicles to be covered, the nature of use of the vehicles, the geographic zone and the Insured Declared Value (IDV). The cost of the premium also depends on any type of additional coverage you include in the policy, for example, vehicle accessories cover. Having said that, the cost of a motor fleet insurance, when calculated, would come to less than 1% of the vehicle cost, which is a very small amount compared to the potential loss that could occur if we do not have an insurance in place.

Motor fleet insurance coverage ranges from loss or damage to a commercial vehicle to third-party liabilities arising due to your commercial motor vehicle.

It covers for loss or damage to commercial vehicles associated with your business in case of an accident, or due to specific perils like fire, explosion, lightning and natural calamities. Third party legal liability arising from bodily injury and property damage is also covered by the policy. Also, a motor fleet insurance policy covers for medical expenses of an employee meeting with an accident is also covered.

Note: These items listed here may not be comprehensive. The policy wording will have the details of the inclusions under your motor fleet insurance policy.

There is a list of exclusions or items not covered in motor fleet insurance policy. A commercial fleet insurance usually excludes:

• Accidental damage while driving under the influence of liquor or drugs
• Wilful negligence is also excluded from the policy
• Consequential losses
• Wear and tear
• Depreciation value of the vehicle
• Mechanical & electrical breakdown
• Failure of brakes

Note: This is an indicative list of exclusions only. The policy wordings will contain the detailed list.

Claim process under a commercial motor fleet insurance is easy and hassle-free with SecureNow. Whenever a claim arises, you should immediately inform the insurer and notify us by dropping an email at support@securenow.in.While raising the claim you should indicate the nature and extent of any loss or damage. You must provide vehicle information and the name of the employee involved, if there was an accident.

SecureNow will get in touch with the insurer and help you in furnishing all the necessary documents. You’ll have to present all necessary documents required by the insurance company and co-operate with them. After all the documents are submitted, the insurer appoints a surveyor and based on their report, the claim will be paid. SecureNow will aid you in the whole claim process and ensure a smooth transaction.

The usual documents required for motor fleet policy claim process in India are as follows:

• the duly filled claim form
• the registration certificate of the vehicle
• the driving license of the person who was at the wheel when the accident occurred
• a true copy of the FIR
• the policy copy

In case of vehicle damage you’ll have to submit additional documents such as:

• the estimated cost of repair
• bill and payment receipts are required

The insurer may require other documents as well in case of third-party bodily injury or property damage.