ICICI Lombard General Insurance Co. Ltd. has launched a floater motor insurance policy, aimed at people owning multiple vehicles to help them insure their vehicles under one policy with a single renewal date and a comprehensive cover.
Full benefits of the no-claim of each vehicle will be preserved under the offering when one shifts from separate policies to the floater policy. In case of no-claims during the policy period, a no-claim bonus will be offered to policyholders on renewal as per the applicable slab and up to 50%. Under this product, customers can also make additions and deletions at any point of time during the policy tenure.
Telematics add-ons will also be offered to convert the base motor product into an ‘Asset cum Usage’ based product. The premium charged for the insurance of the base motor vehicle would depend partially on the usage. The add-ons will be effective for the same period as the Motor Own Damage under the relevant section of the policy unless and until stated other-wise, said the firm.
Under the Telematics add-ons, customers can opt for different plans like:
Pay-As-You-Use (PAYU): Under this, customers will be provided the flexibility to choose from different “Kilometres” depending on usage. Hence premium of the policy would be limited only to the extent the vehicle is used or estimated to be used by the customer. In case of exhaustion of the initially purchased “Kilometres” customers can also top-up the kilometers during the policy period. Coverage under this add-on will be valid only if the purchased kilometres (or additional grace kilometres provided to customer) remains partially or fully used at the time of occurrence of loss.
Pay-How-You-Use (PHYU): Under this plan, premium charged would change as per driving behaviour score. A customer with good driving behaviour can avail attractive discounts over the base premium of the policy. This policy would reward the good driving behaviour and would also inculcate and encourage adoption of good driving habits by dis-incentivising bad driving behaviour.
“Over the years, the regulator has played a substantial role in encouraging innovation in the industry and the announcements made recently for the motor insurance space specifically would mark as yet another revolutionary step in that regard. Maintaining multiple policies for motor vehicles owned by an individual has always been a tedious task. With these offerings from IL, customers can now maintain a single policy that will provide uniform coverage to all the vehicles owned by them.