With the festive season approaching, car manufacturers have started offering hot deals on their new launches and discounted offers on vehicles subject to stock clearance. Seizing this opportunity, you visited the nearby showroom of your preferred manufacturer and bought your dream car, securing it with comprehensive car insurance. However, since you are still learning to drive, you are considering hiring a driver. Now, the question that arises is whether your comprehensive car insurance plan will cover the additional driver. Let’s address this.
What is Personal Accident Coverage in Car Insurance?
The Insurance Regulatory and Development Authority of India (IRDAI) has made it mandatory for car owners to purchase personal accident cover alongside third-party liability cover. This policy provides coverage of up to ₹15,00,000 if the car owner-driver sustains an injury in an accident.
The compensation for injuries under this policy is detailed as follows:
| Extent of Injury | Payout Percentage |
|---|---|
| Death in an accident | 100% |
| Loss of both limbs | 100% |
| Loss of both eyes | 100% |
| Loss of vision in one eye | 50% |
| Permanent total disability | 100% |
| Loss of one Limb | 50% |
You don't need to purchase a separate cover to ensure that your hired driver has financial coverage in the event of an accident. However, it is important to note that mandatory personal accident cover does not extend to passengers in the car. You must invest in a driver and passenger add-on cover to include passengers in your car insurance.
What is Driver and Passenger Cover?
Driver and passenger cover is an add-on you can purchase to supplement your standard car insurance online policy. It extends financial coverage not only to your paid driver but also to other family members in the event of disability or death.
However, it is important to note that, regardless of the car you own, this rider covers a maximum of three passengers in addition to the driver.
Exclusions Regarding Drivers in Car Insurance
The insurer does not cover incidents where the driver of the insured car was found to be under the influence of alcohol at the time of the incident. Additionally, the following exclusions apply:
- If the mishap causing injury was intended as suicide or is related to a self-inflicted injury, no compensation will be provided.
- Some insurers do not cover the insured driver if, after the incident, he/she has fled the scene.
- The policy will not process any associated claims if a minor was driving the car during the incident.
- No coverage will be provided if the paid driver does not possess a valid driving licence or is not in a sound state of mind to drive.
- If the insured car is used for illegal activities, and an accident injures the driver during such tasks, the insurer will reject any claim.
- No claims will be processed if the insured car is used for racing or testing.
How to File a Claim for an Additional Driver in Car Insurance?
Step 1: Call your insurer’s toll-free number and notify them about the incident. Explain the type of damage your car has sustained and any injuries to the driver or passengers (if you have driver and passenger cover).
Step 2: File an FIR at the nearest police station and request a copy of the same.
Step 3: If the car incident caused third-party damage or injury, keep the details of the third-party damage and the victim handy.
Step 4: Take your driver and passengers to the nearest hospital for medical treatment of their injuries.
Step 5: The insurer will assign an inspection officer to assess whether the incident is covered under the policy, the extent of damage to the car, and the severity of the driver’s injuries.
Step 6: After assessment, the inspection officer will draft a report and send it to the insurer’s claims department.
Step 7: The claims department will review the report. If satisfied, they will process the claim. You can expect the claim amount to be credited to your bank account within a few business days.
Conclusion
When you buy car insurance, you don’t need to purchase a separate cover for your driver or deal with the hassle of adding the person’s name to your existing plan. The mandatory personal accident cover that comes with car insurance covers anyone who was in the driver’s seat at the time of an accident. However, if you wish to cover your loved ones (passengers), you will need to buy a driver and passenger add-on.
Disclaimer: This content is part of a marketing initiative. No TNIE Group journalists were involved in the creation of this content.