Even if you buy now and pay later car insurance with the right company, that help you easily pay your monthly premiums despite having a difficult financial situation, there are other benefits that you can add to your policy. No deposit car Insurance policies can be provided with extensions to improve coverage. We present some of these extensions below:
Uninsured motorist cover
In spite of making the third-party liability cover mandatory many drivers are uninsured or become uninsured due to the conditions of the policy. There may also be hit and run drivers and underinsured drivers, making it impossible to recover the full or partial losses. This results in accidents causing losses that cannot be recovered.
This coverage is generally available in the US, and many states require uninsured motorist coverage as part of auto insurance policies. This is done to help with the expenses associated with damages after a car accident with an uninsured driver.
Drivers also may purchase uninsured motorist property damage to cover damages to their own cars or other property caused by an uninsured driver after an accident.
The uninsured driver bodily injury covers the driver and the passengers for lost wages, medical expenses, pain and suffering.
Uninsured motorist property damage coverage (UMPD), is also offered by some insurers in the United States. It covers loss occurring to the property due to accidents caused by uninsured drivers.
Workmen compensation cover to the driver and passengers
The purpose of providing the insurance under workmen compensation is to make sure that the employees (including the driver on duty) get the statutory compensation as they are not treated as third parties. If an extension or additional coverage is provided then they will get compensation as per the workmen compensation acts, which are in force in different countries. The coverage is for the insured’s legal liability.
The employees of the insured are engaged in the occupation in connection with the vehicle insured or otherwise, which makes the insured liable in case of death or injury occurring to the employees. The coverage is for usually the driver, cleaner, laborers, and other technicians who travel on the vehicle in the course of employment.
Some countries specifically exclude coverage to employees, who are in the course of their employment, under the standard TPL policy. Those countries may recommend this coverage as an optional cover for the benefit of drivers and passengers, who are in the course of employment by the insured.
Passenger Liability cover
Passengers traveling the vehicle are different types and can be categorized as
- Fare paying passengers
- Non-fare paying passengers
- Driver and Passengers under the contract of employment
The vehicles can be classified as private, commercial, and passenger carrying. Some markets treat all passengers as third parties for covering the liabilities. Usually, there is a differentiation among the fare-paying passengers and non-fare paying passengers.
There is also the identification of the driver and passengers (such as cleaners, loaders, and other workers) who are coming under the scope of workmen (due to the contract of employment) and passengers, who are not coming under the scope of employment.
The non-fare paying passengers are of two types one who are coming within the scope of employment and the others who are not the employees of the insured. The non-fare paying passengers, who are not the employees of the insured are usually covered under standard TPL coverage without any additional premium.
However, others who are in the scope of employment of the insured are separately treated as a non-fare paying passengers for additional coverage. By paying an additional premium per person the insured can cover his employees against liabilities as per law.
This is similar to the workmen compensation extension cover as mentioned earlier. However here the passengers, who are covered are not necessarily linked to the vehicle like driver or cleaner. But they are the regular employees of the company traveling from home to work and back or otherwise for some official work in the insured vehicle.
The passenger vehicles (auto-rickshaws, cars, buses, and even two-wheelers) will usually carry the passenger for hire and reward, hence they charge money from the passengers. If whilst carrying the passenger any accident occurs and the driver is held responsible then the passenger can claim for damages if any against the driver of the vehicle.
This will be covered under the fare-paying passenger cover. In some countries, this is compulsory coverage under mandatory third-party insurance. By paying the additional premium for each passenger the insured can get coverage against liability as per the local laws.
In countries where there is no fine differentiation among the passengers inside the vehicle, then the person inside the car other than the driver or the insured is treated as third parties and covered under the limits applicable to the TPL schedule of coverage.
If you want to get any of these extensions added to your insurance policy, you can contact Young America Insurance Company. There you will find these and many other car insurance benefits.
