Summary of this article
Kolkata floods highlight importance of home and motor insurance coverage
Bharat Griha Raksha policy covers flood damage, but excludes negligence
Comprehensive car insurance needs add-ons like engine protection and zero depreciation
Starting a flooded engine may worsen damage and risk claim rejection
Overnight heavy rains in Kolkata on September 23 caused waterlogging in several parts of Kolkata, flooded homes, stalled cars, and also caused the deaths of some unfortunate people. We have seen similar flood-related incidents in different parts of India this monsoon, and this goes to show more than ever why home and motor insurance is a must.
When Water Enters Your Home, Home Insurance Covers Protection
Among the numerous stated risks of the Bharat Griha Raksha policy's 'allied perils' is protection from floods and inundation caused by heavy rains. “This implies that your house is protected from a variety of water-related hazards that are frequently a worry during the rainy season,” says Amrish Dubey, senior vice president, personal lines, TATA AIG General Insurance.
“Under home insurance, flood-related damages are usually covered, unless excluded and agreed upon by the insured while buying the policy. Water seepage-like issues that require long-term ignorance are usually excluded. Negligence, bad maintenance, wear and tear, and intentional damage are also excluded from home insurance policies,” says Amarnath Saxena, Chief Technical Officer-Commercial, Bajaj Allianz General Insurance.
Car Flood Damage Covered: Key Add-Ons You Need For Total Protection
For motor insurance, a comprehensive car insurance policy offers protection from most damage resulting from flooding or waterlogging. “However, one must know that it is important to have added coverages such as engine protection, zero depreciation, consumables cover, and Return to Invoice for complete protection of vehicles in such situations,” says Saxena.
It is possible to get coverage for the repair or total loss of a vehicle with a comprehensive motor insurance policy with relevant add-ons. Customers should look for add-ons like engine protection cover, consumables cover, zero depreciation cover, and return-to-invoice coverage for enhanced protection.”If the damage to the vehicle is extensive and if the cost of repairs exceeds the IDV of the vehicle, then the claim may be settled as a total loss. However, it is equally important to act responsibly in such situations,” says Saxena.
For example, starting a flooded engine can cause further damage to the vehicle, and it may become the reason for your claim denial. Hence, it is advisable that instead of starting the car, customers should contact the insurance company through a call centre or RSA providers whose contact number is mentioned in the policy document. Also, one must ensure that they understand the terms and conditions and add-on information to understand the exact extent of coverage.
