2. Introduction to Motor Insurance

In this episode

• Section 146 of the Motor Vehicles Act
• Third party vs own damage
• Liability-only, comprehensive and standalone own-damage policies
• Long-term third-party cover for new vehicles
• Compulsory personal accident cover for the owner-driver
• MACT claims and hit-and-run compensation
• POSP checklist and common mistakes

Chapters

1. 0:00A highway accident with no insurance
2. 0:50Why motor insurance is compulsory: Section 146
3. 1:09Who is the third party?
4. 1:32The two parts: third party and own damage
5. 2:19Who sets the premium
6. 2:57Three types of motor policy
7. 3:26Which policy suits whom?
8. 3:48Long-term cover for new vehicles
9. 4:27Compulsory PA for the owner-driver
10. 5:03Documents and vehicle transfer
11. 5:21Third-party claims, MACT and hit-and-run
12. 6:32GST on motor premium
13. 6:42POSP corner: 5 checks
14. 7:06Common mistakes and recap

Quick quiz

Think of your answer first, then open it.

1. 1. Which section of the Motor Vehicles Act makes third-party insurance compulsory?

   Show answer

   Section 146

2. 2. A new private car must carry how many years of third-party cover?

   Show answer

   3 years

3. 3. What is the minimum compulsory PA cover for the owner-driver?

   Show answer

   ₹15 lakh

4. 4. Who decides compensation in a third-party injury case?

   Show answer

   The Motor Accident Claims Tribunal (MACT)

5. 5. What GST applies to motor insurance premium?

   Show answer

   18%