Worldover insurance brokerage houses are large, sometimes even larger than the insurance companies themselves. They provide reinsurance to insurance companies. In many markets, brokers provide non-life insurance as well as group life and group mortgage insurance. In countries like Japan, the broker is not empowered to conclude contracts, accept representations, and to receive insurance premiums. In such cases minimum capital requirements and solvency margins are not needed.  In general an insurance broker would provide the following services:

• Pre sales and after sales service to the customers.

• Provisions of relevant information to the underwriters to assess the risk and decide the premium.

• Design covers that meet the client requirements.

• Recommend risk improvement and loss minimisation measures.

• Provide risk management and insurance education· Collection of Premiums.

Yes. Under the Motor Vehicles Act , all motor vehicle owners must have insurance cover. The type of insurance you take, however, may vary.

• Third Party Insurance

• Comprehensive Insurance

Third Party insurance covers: Personal Injury Property damage. the name suggests, Third Party Insurance cover for Personal Injury includes:

• Liability for death or injuries to third parties - this means that you are insured against death or injury (caused by your vehicle) to pedestrians, occupants of other vehicles , and outsiders other than passengers, for unlimited amounts. Passengers of private vehicles and pillion riders are also deemed covered.

• Liability to employees connected with operation of the vehicle- this means you are insured against death or injury (caused by your vehicle) to the vehicle's drivers, cleaners, conductors, coolies, employees used in the operation of the vehicle.

• Liability to passengers carried in the vehicle for hire or reward - this means that as owner of a taxi, bus or auto-rickshaw, you are insured against death or injury (caused by your vehicle) to the passengers.

This type of Insurance covers all the risks covered in the Motor Vehicles Act (as above) , plus loss or damage caused to the vehicle due to: Accident Fire, Explosion, self-ignition, lightning Burglary, house-breaking, theft Riots & strikes Earthquakes Flood, typhoon, hurricane, storm, cyclones Malicious acts Terrorism Transit by rail/road. air, waterways Also included is the towing charge (up to Rs.1,500/- for private vehicles and Rs.2,500/- for commercial vehicles ) incurred due to accident to the vehicle.

Yes. There are certain exclusions. This insurance does not cover loss ordamage caused due to : Driver being under intoxication Vehicle being driven by a person not holding an effective, valid license. It also does not cover: Damage to tyres (unless the vehicle is also damaged). Wear & tear, mechanical breakdown.

In the case of Comprehensive Insurance Cover, for the purpose of premium, vehicles are categorised as follows:

PRIVATE CAR: This is used for personal purposes. The premium is computed on the following basis: Geographical area of use cubic capacity Value of the vehicle. Accessories are to be specified separately under electrical and non-electrical items. 

TWO-WHEELER: This is used for personal purposes only. Premium is calculated on cubic capacity and value of vehicle. Accessories are to be specified. Theft of accessories is not covered, unless the vehicle is stolen at the same time.

COMMERCIAL VEHICLE: This is a vehicle used for hire and is classified into: Goods-carrying commercial vehicle:  In this case premium is calculated on carrying capacity -gross vehicle weight and value of the vehicle. Accessories extra, as specified. Passenger-carrying commercial vehicle: In this case premium is calculated on carrying capacity of the vehicle -Number of passengers and value of the vehicle. Accessories extra, as specified. Note: all commercial vehicles are subject to a compulsory excess in each and every claim for damage.

Yes. On payment of additional premium you can get additional benefits, such as: Wider cover on liability to rivers, cleaners, conductors, i.e. under Fatal Accidents Act, W.C. Act & Common Law P. Benefits to owner of vehicle, other family members on named or unnamed basis driving or traveling in the vehicle. P. Benefits to others traveling in the vehicle. Increased property damage cover: (This extension will not cover goods carried on the vehicle).