With the purchase of a car comes the responsibility to keep it safe and working. For this responsibility, car insurance policies are a prominent requirement for any car owner as soon as a car is purchased. There are numerous benefits of buying a new car insurance policy from trusted insurance providers like Tata AIG.
However, one stands out as an exceptionally brilliant benefit- coverage for loss of personal belongings in new car insurance.
How many times have you left your phone, wallet, or other valuables in your car while running a quick errand, only to return and find yourself nervously checking to make sure everything is still there? This is where Loss of Personal Possessions/Belongings coverage comes into play.
This post will help you understand all you need to know about personal possessions covered in a comprehensive car insurance policy.
What is Loss of Personal Possessions/Belongings in Car Insurance?
“Loss of Personal Possessions/Belongings” in car insurance refers to the coverage provided for personal items that are lost, damaged, or stolen from your vehicle during an incident such as theft, vandalism, or an accident. Essentially, it acts as a safeguard for the valuable possessions you keep in your car, such as electronic devices, clothing, or other personal effects.
This coverage offered when you get online car insurance can help ease the financial hardship of replacing these items in the event of an unfortunate incident involving your vehicle. It is a component of comprehensive coverage that extends beyond just the vehicle itself, offering peace of mind by protecting your personal belongings while you are on the road.
When Personal Possessions Cover is Liable in Car Insurance?
Regardless of whether you have a comprehensive policy or a third-party car insurance policy, theft of personal belongings from your vehicle is only covered if you have opted for the add-on cover of loss of personal belongings. Below are two scenarios that can explain the Personal Possessions Cover in car insurance policies:
Scenario 01:
You leave your car parked on the side of the road while you run a quick errand to buy some vegetables, and upon return, you find your personal belongings, like clothes and footwear, stolen after someone broke into your car.
In this case, when you buy car insurance online, comprehensive coverage will cover the costs of repairs and replacements for damages to your car. The Loss of Personal Belongings add-on cover would be necessary for compensation in such a situation.
Scenario 02:
Imagine you parked your car at the movie theatre parking lot, and after the show, you find it missing. If you have a comprehensive insurance policy, you should be covered for the theft of the vehicle itself.
You’ll need to report the theft to the police and inform your insurance company promptly. Since your car is considered a total loss, you’ll receive your car’s IDV (Insured Declared Value) as the claim amount.
However, your items inside won’t be covered under a basic comprehensive policy when you purchase car insurance online with a Loss of Personal Belongings add-on cover to receive compensation for the loss of any personal belongings in your car at the time of the theft.
Benefits of Loss of Personal Possessions in Car Insurance
Personal possessions cover provides several valuable benefits at a minimal premium. These benefits encompass:
In the adverse event of damage to or theft of your belongings, having personal possessions covered means your financial burden is alleviated.
By opting for personal possessions cover, you can travel with peace of mind, reassured that the cost of your valuables stored in the car will be safeguarded. Whether it’s your phone, laptop, or other valuable items, knowing they’re covered can alleviate worries during your journeys.
Personal possessions cover extends protection to your valuables in scenarios such as theft or damages. Whether it’s a break-in or an accident, knowing that your belongings are safeguarded adds an extra layer of security and peace of mind.
Exclusions of Loss of Personal Possessions in Car Insurance
- Claims arising from borrowed property are excluded.
- Items not regularly carried by the policyholder are excluded.
- Failure to report the incident to the police within 24 hours of theft discovery is an exclusion.
- Personal belongings used by a third party are excluded.
- Items left in the car overnight are excluded
- Incidents resulting from the policyholder’s negligence are not covered.
- The theft of important documents is not covered.
- Personal belongings locked in a safety deposit box are not included in the add-on coverage.
- Loss due to climatic conditions, mechanical or electrical failure, etc., is not covered.
- Items not mentioned in the police report are not covered.
- Loss of items inside the car due to a car accident is not covered under personal belongings cover. Only theft or burglary-related claims are eligible for coverage.
Conclusion
Personal possessions cover is not merely an optional add-on but a vital component of comprehensive car insurance. By opting for this coverage, you’re not just protecting your vehicle but also safeguarding the valuables you carry within it.
Whether it’s your smartphone, laptop, or other prized possessions, knowing they’re shielded against theft, damage, or loss offers invaluable peace of mind.