Logistic insurance ch3 motor insurance

Logistic insurance ch3 motor insurance

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  Insurance for Logistics: CH3: Motor Insurance Dr Narudh Cheramakara 2017 CLS-SSRU
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  1. Introduction • Vehicleinsurance (also known as car insurance, motor insurance or auto insurance) is insurance for cars, trucks, motorcycles, and other road vehicles. • Its primary use is to provide financial protection against physical damage or bodily injury resulting from traffic collisions and against liability that could also arise there from. • The specific terms of vehicle insurance vary with legal regulations in each region. To a lesser degree vehicle insurance may additionally offer financial protection against theft of the vehicle and possibly damage to the vehicle, sustained from things other than traffic collisions, such as vandalism and damage sustained by colliding with stationary objects.
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  1. Introduction • Firstwidedespread use of the automobile began after the First World War in urban areas. Cars were relatively fast and dangerous by that stage, yet there was still no compulsory form of car insurance anywhere in the world. This meant that injured victims would seldom get any compensation in an accident, and drivers often faced considerable costs for damage to their car and property. • A compulsory car insurance scheme was first introduced in the United Kingdom with the Road Traffic Act 1930. This ensured that all vehicle owners and drivers had to be insured for their liability for injury or death to third parties whilst their vehicle was being used on a public road. Germany enacted similar legislation in 1939.
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  2. Types ofMotor Insurance 1. Compulsory Motor Insurance • (In compliance with the Compulsory Automobile Insurance Act) The law requires that owners of all the cars registered with the Department of Land Transport comply with the Compulsory Automobile Insurance Act. Violations of this law will result in a fine of not exceeding 10,000 Baht. Owners or car users are required to have evidence of having insurance against damage caused to other parties because of their cars ready to be presented to a competent officer at any time the car is in use, except in the case that the car has already been registered or that the annual tax has already been paid Upon processing your request for registration of your car or payment of the annual car tax, the Department of Land Transport will check whether an insurance policy under such act has been acquired before accepting your car for registration or accepting the annual tax payment. Car insurance under the Compulsory Automobile Insurance Act provides coverage for everyone affected by a car accident, regardless of whether the person is a driver, a passenger, or a pedestrian, in the case that involves a loss of life or body parts, or health damage. In the case of death, the deceased person’s heir will also be covered.
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  2. Types ofMotor Insurance 2. Voluntary Motor Insurance Type 1 Policy Maximum coverage: Liability to damage to life, body, or health of third parties Property damage of third property Damage to the insured car due to fire/theft Damage to the insured car
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  2. Types ofMotor Insurance Type 2 Policy Coverage slightly less to Type 1 Policy: Bodily injury/Death of third party & passengers Property damage of third property Damage to the insured car due to fire/theft Type 3 Policy Providing coverage for third parties only: Bodily injury/Death of third party & passengers Property damage of third property
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  Type 3 Example
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  Type 3 Example
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  Example: of AXAinsurance
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  3. Excess ค่าเสียหายส่วนแรก •An excess payment, also known as a deductible, is a fixed contribution that must be paid each time a car is repaired with the charges billed to an automotive insurance policy. Normally this payment is made directly to the accident repair "garage" • If the accident was the other driver's fault, and this fault is accepted by the third party's insurer, then the vehicle owner may be able to reclaim the excess payment from the other person's insurance company.
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  3. Excess ค่าเสียหายส่วนแรก •Compulsory excess A compulsory excess is the minimum excess payment the insurer will accept on the insurance policy. Minimum excesses vary according to the personal details, driving record and the insurance company. For example, young or inexperienced drivers and types of incident can incur additional compulsory excess charges.
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  3. Excess ค่าเสียหายส่วนแรก •Voluntary excess To reduce the insurance premium, the insured party may offer to pay a higher excess (deductible) than the compulsory excess demanded by the insurance company. The voluntary excess is the extra amount, over and above the compulsory excess, that is agreed to be paid in the event of a claim on the policy. As a bigger excess reduces the financial risk carried by the insurer, the insurer is able to offer a significantly lower premium.
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  4. Basis forPremium Charges (very prevalence in Western countries) • Gender (Males more expensive)  discrimation • Profession • Age • Marital Status • Vehicle Classifications (sport cars, luxuary etc) • Distance  Low mileage discounts, routine routes • Credit rating
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  5. Buying motorinsurance Documents required 5.1 Personal Motor Insurance - Accident Records of the past year - Driving license - For 2-driver insurance, house registration + ID card of the beneficiary - If you switch the insurance company, you need to submit the car inspection report, engine and chassis serial numbers, and car’s photographs.
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  5. Buying motorinsurance 5.2 Commercial motor insurance - Accident Records of the past year - Driving license - House registration, ID cards of the managing director - Company registration - Tax certificate - If you switch the insurance company, you need to submit the car inspection report, engine and chassis serial numbers, and car’s photographs.
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  6. Procedures forreporting accidents 6.1 At the scene A. ‘Knock for Knock’ Agreement (ชนแล้วแยก) - No need to wait for the insurance representative and police to be at the scene. Just sign and exchange the forms. 1. Both have type 1 motor insurance 2. Fill in the knock for knock form and exchange signature 3. Both can vacate the accident scene if they agree on the ‘faulted’ party. 4. Submit the form to the insurers later.
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  6. Procedures forreporting accidents: AXA Example 1Contact us through the following channels: AXA Hotline service at Tel. 02-2065488 (24 Hrs.). 2Provide information of the incident along with other related data: • First and last name of the driver during the time of the incident and person reporting the claim. Details of the insured vehicle (registration plate, Make, Model). Details of the incident (including the circumstance, location, visible signs of damage/injury resulted from the incident). 3Follow the instruction provided by AXA Hotline agent and surveyor (if appointed)
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  6. Procedures forreporting accidents: AXA Example How to take action after a car accident: • In the case that the third party is at fault of causing the incident, it is recommended to record the name and residential address of the third party driver (and witness if they are willing to provide) and provide them to the agent or surveyor once the claim is reported. However; it is to be noted that should the insured vehicle has 3rd Class Insurance Policy, the surveyor will only be able assist you/the insured at the scene and police station while the pursuit of claim to the third party will solely be done by the insured. • In the case that you/the insured are at fault and caused the incident; if requested, provide you name and residential address to the surveyor or the third party and moved the vehicles if they are obstructing the traffic (if you accept being at fault). However, do not sign any form accepting any liability without the assistance and advice from the surveyor. • In the case where there is no apparent/unclear party at fault causing the incident, it is recommended not to move the vehicle from the scene unless the authority have made markings of all vehicles involved in the incident along with a clear instruction to do so. • In the event where the incident resulted with injury or casualty, it is recommended to seek medical attention for the victim(s) and immediately notify the authority of the incident. Do not accept any liability or reimbursement without the presence of the appointed surveyor whom will inform, assist and advice you of all related procedure.
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  6. Procedures forreporting accidents: AXA Example • In the case where the insured experience a hit-and-run: • The incident must be reported at the nearest police station should the insured driver is able to record the registration please number of the third party. • In the case that the insured vehicle is impounded: • If your/the insured vehicle is impounded by the authority, it is recommended to request for a check list of items and properties left in the vehicle be written in the police report. • In the case where the insured vehicle is lost or stolen: • Immediately report the incident to AXA Hotline at Tel. 02-2065488. • Report the incident to the local police and The Royal Thai Police Centre for the Suppression and Prevention of Cars and Motorcycles Theft at Tel. 1192. For more information; please visit www.lostcar.co.th • Submit all required documents as instructed to us to process the claim and reimbursement as soon as possible.
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  6. Procedures forreporting accidents: AXA Example • Workshop & vehicle reparation: • To return the vehicle to the state it was in prior the incident, all reparation should be done at the contracted workshop. However, should you/the insured prefer to have the reparation done at a garage of your selection, please inform us of your decision to make adjustment on the proposal, scope of reparation and that you/the insured will have to advance payment directly to the garage and request for the reparation amount from the company once the reparation has been complete. • Replacement basis will be considered should the damage parts are beyond repair. • Please collect all belongings kept in the vehicle before sending it for reparation and have the garage record any remaining items and overall condition of the vehicle. • Confirmation on the reparation should be done at a well-lit area and should you/the insured find any complications or incomplete work from the reparation, please inform the workshop of your findings immediately. • You/the insured can oversee the reparation process and should you find and complications in the reparation, please contact us immediately. • In case that the insured is liable for any type of excess or deductible, the amount will be collected by the contracted workshop on the appointed date for returning the vehicle.
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  7. Coverage inaccordant to the motor accident protection act B.E. 2535
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  7. Coverage inaccordant to the motor accident protection act B.E. 2535
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  Exercise: Go and comparethe type one insurance for Toyota altis registered in 2005 The for claiming indemnity for Injury by third arty.