What is my libility in car accident and what is insurance company libility?

Question

What is my libility in car accident and what is insurance company libility?

Answer 1

In simple terms, if you are at fault the insurance company is on the hook for whatever your coverage amount is that is stated on your policy.  Anything beyond that comes out of your pocket.

For example, if you hit someone and caused $25,000 in medical bills and you had 20/40 coverage, the insurance company would pay out $20K and you'd be responsible for the additional $5K.

Answer 2

Be frankly,It is gonna take a while to find the answer for your question.Try the resource here for reference.http://carinsurance.expertsupport.info/a...

Answer 3

Ashu

The liability depends on number of factors.

If your vehicle hit another car then it is considered to be your mistake.

The claim also depends on the age of the vehicle. If your vehicle is 4 yrs old, then the value of vehicle is calculated @ depreciation of 40 %.

the claim also depends on the parts that are damaged and that need to be repaired or replaced, as the situation demands.

Basically there are 2 types of insurance policies:

    Section I (Own Damage - OD) of Package Policy :

    Section I of package policy covers loss or damage to the vehicle and / or accessories due to

        * Accidental external means

        * Fire, Self ignition, lightning

        * Burglary, house breaking or theft

        * Terrorist activity

        * Riot, Strike and Malicious Damage

        * Earthquake

        * Flood, cyclone and Inundation etc

        * While in transit by rail, road, air, elevator, lift or inland waterways

        * Landslide or workslide

    None of the above perils can be excluded from the scope of a policy.

    Loss or damage to accessories by burglary/house breaking/theft

       1. For private car it is covered

       2. In case of Motorised Two Wheelers this can be covered on payment of an additional premium at 3% of the IDV of such accessories

       3. Loss or damage to Lamp, Tyres, mudguard and / or bonner side parts, bumpers etc., can be covered on payment of additional premium. This is applicatble only to Commercial Vehicles.

    If the vehicle is disabled in an accident, cover is provided for the reasonable cost of the following :

        * Its removal to nearest reapirers

        * The cost of reasonalble repairs immediately necessary

    subject to the limit provided for.

Section II  (Liability) of Package Policy :

   1. Liability to third parties bodily injury and or death and property damage

   2. Personal accident cover for the owner driver for a specified sum insured

The following are payable under Section II of the Package Policy subject to the limit of liability laid down in the Motor Vehicles Act :

    * The insured's legal liability for death / disability of third party

    * Loss or damage to third party property

    * Claimant's cost as decided by the court

    * All costs and expenses incurred with company's written consent

    * In case of death of an Insured person, entitled to indemnity for a liability incurred under this policy, his legal representative will be indemnified in place of insured, if he observed all conditions as the insured himself.

What is not payable under the policy ?

    * Contractual liability.

    * War perils, nuclear perils and drunken driving

    * Consequentail loss, Depreciation, Wear and tear, mechanical or electrical break down

    * Damage suffered due to driving the vehicle under the influence of intoxicating liquor or drugs

    * Claims arising outside the geographical area specified in the policy

    * Claims arising whilst the vehicle is used in contravention of the limitations as to use

    * Claims arising when the vehicle is driven by a person without valid driving licence

Answer 4

Who is at fault? If they are their insurance will pay... if you are then want kind of deductible do you have? Need information to give you an answer. This kind of information you should already know and your insurance company should have told you.