What is General Insurance ?

General Insurance comprises of insurance of property against fire, burglary etc, personal insurance such as Accident and Health Insurance, and liability insurance which covers legal liabilities. There are also other covers such as Errors and Omissions insurance for professionals, credit insurance etc.

Non-life insurance companies have products that cover property against Fire and allied perils, flood storm and inundation, earthquake and so on. There are products that cover property against burglary, theft etc. The non-life companies also offer policies covering machinery against breakdown, there are policies that cover the hull of ships and so on. A Marine Cargo policy covers goods in transit including by sea, air and road. Further, insurance of motor vehicles against damages and theft forms a major chunk of non-life insurance business.

Why should I buy home insurance?

Owners: To protect both your house and personal property. Tenants: To protect your furniture and personal property. Everyone: Protection against liability for accidents that injure other people or damage their property.

How much home insurance do I need?

Asset Protection: More coverage generally means you will have less to pay out of your own pocket if disaster strikes. You must determine the amount you can financially afford to lose. Depending upon your determination, more insurance may be the answer. You should insure your property to the value you believe your home is worth to obtain maximum protection. You need enough liability coverage to protect yourself from lawsuits resulting from your possible negligence. Lender Requirements: Your lender may require you to cover the house for at least the amount of the mortgage. This may be too little or too much for your individual circumstances. You are not required to purchase insurance from the insurer recommended by your lender. Policy Requirements: Insurers may impose some conditions for replacement cost protection, to include your insuring the property to value.

Where can I obtain information about insurance?

Information is available to consumers from a number of sources. These sources include any website of general insurance companies or your insurance agent.

What affects home insurance prices?

Type of Construction: Frame houses usually cost more to insure than brick. Age of House: New homes may qualify for discounts. Some insurance companies offer limited coverage or may not insure older homes. Local Fire Protection: The number of fire hydrants and fire departments and the availability of water are just some factors which determine your area's fire protection class. If you reside in an area without fire protection, you will pay more for fire insurance.

What deductible should I choose?

The deductible applies only to coverage's on your house and personal property. It is the amount you have to pay out of your pocket on each claim. Insurance only attaches once the deductible amount is exceeded. A policy with Rs100 deductible will cost more than one with an Rs250 deductible. Higher deductibles may be available at a reduced price, but purchasing, for example, a Rs.250 deductible in lieu of a Rs.100 deductible will mean you will normally pay Rs.150 more out of your pocket at the time of a loss.

What basic coverage's are available?

The most common basic coverage's are: Property damage, Additional Living Expenses, Personal Liability, and Medical Payments.

What does "property damage" cover?

Property damage coverage helps pay for damage to your home and personal property caused by such perils as fire, lightning, windstorm or hail. The perils of flood and earthquake are not covered.

What does "contents insurance" coverage include?

In general, the contents of your home and other personal belongings owned by you or family members who live with you will be covered under the policy in an amount equal to 50% of the limit of liability carried on your dwelling. However, high valued personal property such as jewelry and cameras should be scheduled on the policy so that you are adequately protected to avoid the possibility of these items not being fully covered at the time of loss.

What does "additional living expense" or "loss of use" covers?

Most home insurance policies provide for the necessary increase in expenses you incur if your home is damaged by an insured event and you cannot live there while repairs are being made or if you are denied access to your home by government order. The coverage is generally subject to duration limits and commonly covers any expense incurred by you so that your household can maintain its normal standard of living. In some instances, this coverage may include the costs of a motel, eating in a restaurant, or storing some of your property.

What Is "personal liability insurance" coverage?

Personal Liability Coverage protects you and all family members who live with you against a claim or lawsuit resulting from (non-auto and non-business) bodily injury or property damage to others and for which you become legally obligated to pay. Defense costs are included, but the insurance company has no duty to defend you after the limit of liability on the policy has been exhausted.

What does "medical payments insurance" cover?

Regardless of who is at fault, this coverage pays the reasonable expenses for others accidentally injured on your premises or the areas immediately adjoining your property such as sidewalks or alleys. Medical Payments Coverage does not apply to your own injuries or those of family members living with you or injuries arising out of activities involving a business that you operate out of your home, your intentional acts, or arising out of the rental of your premises.

What is "replacement cost"?

Replacement Cost is the amount necessary to replace or rebuild your home or repair damages with materials of similar kind and quality without deducting for depreciation.

What is "depreciation"?

Depreciation is the decrease in the home's value since the time it was built because of age or wear and tear.

What is "actual cash value"?

Actual Cash Value usually means the sum of money required at the time of the loss to repair or replace the property destroyed, less an amount for depreciation. Actual Cash Value equals the replacement cost less depreciation. Most standard home insurance policies cover the contents of your home (i.e., personal belongings) on an actual cash value basis, but it is possible to purchase replacement cost.

What is a "peril"?

A peril is a condition which can cause a loss. Three examples are fire, windstorm, and theft.

Will filing one claim on my home owner’s insurance cause my rates to go up?

No. In most cases, once an insurer reviews your loss history and finds none, one claim should not affect your rates. If the claim exposes some greater risk on your property, however, such as owning a trampoline or new swimming pool, then you may face a rate increase

Do I need to buy flood insurance?

If you want your belongings covered against damages caused by a flood, the answer is yes. Basic homeowner’s insurance policies do not cover damage from flooding. Because flood damage happens so infrequently, most insurance companies won't even consider writing flood coverage.

We're going to build a house. How do we insure it while it's under construction?

Basically, you just need a standard homeowner’s policy. You should make sure to tell the insurance company or your agent that the house is currently under construction.

I own a home that no one is currently living in. Will it be difficult to insure?

it certainly could be. There are several factors that will influence whether or not you can get insurance for your vacant home. Is the house currently for sale? How long do you plan to leave it vacant? Does someone check on it regularly? Is the house secluded from view?

What is Motor Insurance?

Legally, no motor vehicle is allowed to be driven on the road without valid insurance. Hence, it is obligatory to get the vehicle insured. Motor insurance policies cover against any loss or damage caused to the vehicle or its accessories due to the following natural and manmade calamities.

Natural Calamities: Fire, explosion, self-ignition or lightning, earthquake, flood, typhoon, hurricane, storm, tempest, inundation, cyclone, hailstorm, frost, landslide, rockslide. Man made Calamities: Burglary, theft, riot, strike, malicious act, and accident by external means, terrorist activity, and any damage in transit by road, rail, inland waterway, lift, elevator or air. Motor insurance provides compulsory personal accident cover for individual owners of the vehicle while driving. One can also opt for a personal accident cover for passengers and third party legal liability.

Third party legal liability protects against legal liability arising due to accidental damages. It includes any permanent injury / death of a person and damage caused to the property.

• Protection from a financial loss arising out of loss or damage to your vehicle.
• Protection from liability towards third parties for personal injury.
• Protection against death and property damage on account of any accident involving your vehicle.

What is Exclusion?

A loss or risk that a policy does not cover. The exclusion clause in an insurance policy means a peril, events or circumstances whose risk is not covered by the insurance policy.

What is third party liability coverage?

Third party liability coverage, also called PLPD, insures you if you cause injury to someone, cause someone's death, or damage someone else's property through a motor vehicle accident.

What extension of cover can be obtained with regard to private car?

The following are the prominent extra risks that can be covered in addition to the standard cover:
1- Personal accident of insured, spouse and unnamed passengers.
2- Legal liability of the employees of the insured.
3- Wider Legal Liability to Drivers

What are the circumstances under which discounts are offered in premium?

The following are the significant circumstances under which a discount is offered on the amount of premium to be paid: Where the insured is prepared to bear a fixed amount in respect of every claim for damages to the vehicle A discount commonly referred to as bonus is allowed on the premium when no claims are made against the policy during the relevant previous year

Who is a Third Party?

According to the Motor Vehicles Act, a third party is any person who is not the insured or the insurer and includes the Government. Pedestrians constitute a large section of third parties. The pedestrians have not only a right to use the footpath but also occasionally to use the road and also cross it. Fare-paying passengers are those who are carried in a public service vehicle.

What factors influence the premium for car insurance?

The cubic capacity, use of car, normal area of operation and the value of car proposed for insurance decide the premium payable and also various extensions opted for.

How much would the insurance company pay in the event of an accident?

In case of an accident, the insurance company pays for cost of damaged parts which are replaced and the labor cost towards repair cost of the vehicle. As per the revised regulations, depreciation is not deducted from the cost of the parts except for the tires and tubes for which 50 percent depreciation is deducted.

What do you mean by Cashless claim settlement?

AIG IS or ISOS will pay up to 100% of the claim to the hospital in case of hospitals in the preferred network (subject to deductibles under the policy conditions). The same will be done either by placing a Guarantee of Payment (GOP) or making a payment to the hospital. This will be applicable for all Inpatient Claims provided the same is Admissible under the policy.

What is the minimum duration for which insurance can be purchased?

The minimum duration varies for different insurance plans. It is typically for as little as five days.

What is a deductible?

If your plan has a Rs.100 deductible, you pay the first Rs.100 of expenses and then the insurance company picks up the rest.

Are there any restrictions on the hospital where the treatment should be taken?

There is no restriction on the hospital where treatment should be taken. The treatment can be taken in any hospital in the world outside India. However, the only restriction is that the hospital should be a registered hospital under the local jurisdiction. However it is advisable in pre planned hospitalization, the insured informs the Assistance Company who will direct them to a Network Hospital in the same locality.

Is the sum insured mentioned under each category applicable to all members traveling on the policy and is there any restriction on number of claims?

The sum insured as mentioned in the policy schedule is for each traveling member. For e.g. If there are 3 family members traveling under a single Gold Plan policy, each of the them will be covered for a SI of $200,000 under the Accident & Sickness benefit. Also this limit of $200,000 is per accident which means that the limit gets topped up once a claim is settled. For e.g. If Individual A has had an accident and had filed a claim for $10,000, in the event of another sickness claims he/she will be eligible for $200,000 in full and the same will not be deducted from the $10,000 already claimed under the first claim. However the deductible of $100 will be applicable for a single claim/incident there is no restriction on the number of claims per person in the policy period.

Is a newborn child covered from day one under the Group Travel Policy?

A newborn child will be covered after 6 months of birth.

What are the two types of claim settlements?

Reimbursement & Cashless settlement.

What about Claims relating to Travel Emergencies?

For claims relating to Baggage Loss/Delay, Passport Loss, Trip Delay please keep necessary proof of documents relating to the incident as well as bills for expenses incurred as a direct result of the said incident. For e.g. For Passport Loss, documents such as Police FIR, Duplicate passport issuance charges, other incidental expenses can be claimed under this head, provided bills for the same are available. Once all the bills are available, submit the same to the Assistance Company along with the claim form for reimbursement. The list of documents to be submitted for all travel emergency claims are available on the intranet site of the insurance companies.

Is the insurance plan purchased on a calendar monthly basis, or can a plan span 2 calendar months?

A month is calculated as 30 continuous days from the start date requested and it can include two partial calendar months.

What is the minimum duration for which insurance can be purchased?

The minimum duration varies for different insurance plans. It is typically for as little as five days.

What information do I need to complete the online application?

All the information required to complete the application is available in the applicant’s passport. The main data elements are the applicant’s complete name, passport number, date of birth, mailing address and telephone number in India, the assignee (the beneficiary for the policy) and the correct travel dates.