ICICI Lombard launches floating car insurance policy

NEW DELHI: ICICI Lombard General Insurance Co. Ltd. launched a floating auto insurance policy, for people with multiple vehicles to help them insure their vehicles under one policy with a single renewal date and comprehensive coverage.

Customers opting into the offer will receive a lower premium.

All benefits of no-claims for each vehicle will be preserved as part of the offer when switching from separate policies to the floating policy. In the event of no claim during the insurance period, a bonus-malus will be offered to the insured upon renewal according to the applicable bracket and up to 50%. Under this product, customers can also make additions and deletions at any time during the term of the policy, the company said.

Telematics add-ons will also be offered to convert the base engine product into an “asset and use” based product. The premium charged for basic motor vehicle insurance would depend in part on usage. Additions will be effective for the same period as engine damage under the relevant section of the policy, unless otherwise stated, the company said.

As part of the telematics add-ons, customers can opt for different packages such as:

Pay-as-you-go (PAYU): Under this, customers will have the option to choose from different “miles” depending on usage. Therefore, the policy premium would be limited only to the extent that the vehicle is used or believed to be used by the customer. In the event of exhaustion of the initially purchased “Kilometers” customers can also recharge the kilometers during the insurance period. Coverage under this add-on will only be valid if the kilometers purchased (or the additional grace kilometers provided to the customer) remain partially or fully utilized at the time of the occurrence of the loss.

Pay-How-You-Use (PHYU): Under this plan, the premium charged would change depending on the driving behavior score. A customer with good driving behavior can benefit from attractive discounts on the basic premium of the policy. This policy would reward good driving behavior and also inculcate and encourage the adoption of good driving habits by discouraging bad driving behaviour.

“Over the years, the regulator has played an important role in encouraging innovation in the industry and the announcements made recently for the auto insurance sector in particular would mark a revolutionary new step in this regard. Maintaining several policies to Individually owned motor vehicles has always been a cumbersome task.With these offerings from IL, customers can now maintain a single policy that will provide uniform coverage for all the vehicles they own,” said Sanjeev Mantri , Executive Director, ICICI Lombard General Insurance.

Customers can download the signature IL TakeCare app for all their insurance and wellness needs. The app has exceeded 1.9 million user downloads till date. Customers can avail of a host of benefits such as Motor News and Views, Friends Garage, Live Video Inspection as well as Claims and Policy Service.

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