Understanding natural calamity coverage in car insurance: What you need to know

Natural calamities, such as floods, hurricanes, earthquakes and wildfires, can strike unexpectedly and wreak havoc on both life and property. When it comes to your car, being prepared for such events is essential. Car insurance online plays a crucial role in providing protection, but understanding how it covers natural calamities is equally important.

Comprehensive car insurance in natural calamity coverage

Comprehensive car insurance is a type of insurance that specifically includes protection against natural calamities. It extends coverage to damages sustained by your car, due to non-collision incidents. It generally covers a wide range of natural calamities, including but not limited to:

1. Floods: Damage caused by rising water levels due to heavy rains or overflowing bodies of water.
2. Hurricanes and Windstorms: Damage resulting from high winds, falling trees or flying debris during hurricanes or windstorms.
3. Earthquakes: Damage caused by activity, such as ground shaking or structural collapse.
4. Wildfires: Damage caused by spreading wildfires that engulf your car.
5. Hailstorms: Damage caused by hailstones that can dent or break windows and windshields.

Key points to consider in natural calamities coverage

When you claim natural calamity damage, we determine the compensation based on certain points which need to be considered.

1. Actual cash value (ACV): ACV takes into account depreciation and pays you the current market value of your vehicle at the time of the loss. This means that older vehicles may receive a lower payout.
2. Replacement cost: With replacement cost coverage is often more expensive, but it ensures that you can replace your car with a new one of equal value in case of a total loss.
3. Deductibles: Comprehensive insurance, including natural calamity coverage, typically comes with a deductible amount, which you must pay out of pocket before the insurance kicks in to cover the rest of the damage costs.
4. Exclusions and limitations: While comprehensive car insurance provides extensive coverage, there might be certain exclusions and limitations related to natural calamities. For instance:
5. If your car sustains damage due to a natural calamity, but you were driving during a government-issued warning or evacuation notice.
6. People living in coastal areas may face a higher risk of hurricanes, while those in regions prone to earthquakes need coverage tailored to their specific risks.

Conclusion

Remember, being prepared is the first step towards mitigating the financial impact of natural calamities. Understanding natural calamity coverage through a car insurance policy is vital for protecting your vehicle from unpredictable events beyond your control. Comprehensive car insurance plays a crucial role in safeguarding your car against damages caused by floods, hurricanes, earthquakes, wildfires, and other natural calamities. To ensure you have the right coverage through online car insurance renewal, visit kotak general insurance to confirm the extent of protection offered against specific natural calamities.