Passenger Coverage in Car Insurance

Accidents happen, and it is possible that it wasn't your fault. However, an accident might result in injuries or even death. The IRDAI (Insurance Regulatory and Development Authority of India) requires all car insurance policies to cover the owner-driver of the insured vehicle in the event of death, temporary or permanent disability, and financial loss. While the owner-driver is covered, the passengers in the vehicle are often the victims of unforeseeable accidents and are not covered by insurance. To get a remedy for this issue, insurers offer a car insurance add-on called passenger cover, which covers passengers in the insured vehicle. This add-on covers the financial liabilities that may arise from the death, temporary or permanent disabilities of passengers in the insured vehicle. The passenger cover is provided at an additional premium beyond the base premium of the comprehensive coverage.

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Passenger Insurance Coverage in Car Insurance | Bajaj MARKETS

Car Insurance Passenger Coverage - How to File Claim?

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What is Car Insurance Passenger Coverage & How it Works?

While car insurance policies are required to include personal accident coverage for the insured car's owner-driver, it is not required to cover passengers. However, this should not prevent you from ensuring that the passengers in your vehicle, who may be family members, friends, or even customers, are secured. This is where a passenger cover comes into the picture. This add-on cover in car insurance provides financial protection for passengers riding in the insured vehicle. Apart from the personal accident cover for the owner-driver, this add-on allows you to insure up to three passengers in the case of a three-passenger seater car.

Passenger Insurance Cover on Bajaj MARKETS

Here is the list of top passenger insurance cover providers with their insurance quotes:

Car Insurance Partners

Passenger Insurance Cover

Third-party Premiums Starting at* (- + GST, effective 1st April 2022)

 

 

Bajaj Allianz Car Insurance

₹2,072

Buy Now

Acko Car Insurance

₹2,072

Buy Now

HDFC ERGO Car Insurance

₹2,072

Buy Now

Disclaimer: *Premium rates are indicative. The actual premium that you may have to pay may change depending on various factors. Please check the prevailing premium rates before purchasing your car insurance policy.

What are the Inclusions and Exclusions of Passenger Insurance Coverage?

The car insurance coverage for passengers has the following set of inclusions:

 

  • This add-on will cover the cost incurred for medical treatment of the passenger(s) in your insured vehicle after accidents.

  • It will provide a disability liability cover to the passenger(s) of your insured vehicle.

  • A car insurance passenger coverage will offer financial assistance in the event of the death of a passenger due to an accident in your insured car.

The passenger cover, like all insurance add-on policies, has its own set of exclusions. The following are the specifics:

 

  • Some insurance companies will not provide financial help if the passenger(s) exited the vehicle during the collision.

  • In the case of a private car, the add-on does not cover more than three passengers, and they must shoulder the expense of treatment in the event of an accident, with no financial aid from the insurance provider.

  • An accident occurred while the person was inebriated with alcohol or other intoxicating substances.

Benefits of Purchasing Passenger Insurance Coverage

As the owner of a vehicle, you have responsibilities to passengers in the event of an accident that leaves them injured or disabled. Adding the passenger insurance coverage to your normal comprehensive insurance policy provides you and your passengers with comprehensive coverage. The following are some of the advantages of purchasing passenger insurance coverage:

 

  • In the event of an accident, this insurance covers the costs of medical treatment for passengers.

  • Provides financial support in the event of a passenger's death.

  • Provides passengers in the insured vehicle with disability liability coverage.

  • Reduces your financial responsibility in such scenarios because you can file a claim on behalf of the vehicle's owner-driver and passengers.

  • If the insured vehicle is a commercial passenger automobile, you can avoid legal issues.

How to File a Passenger Insurance Coverage Claim

As a passenger in the insured car, you may be wondering how to file a claim. The process of filing a claim for passengers is straightforward, especially when using online vehicle insurance. To submit a claim against your passenger insurance coverage, follow the steps below:

 

  1. Contact your insurance carrier to report the collision and the level of damage to your vehicle, as well as any injuries to passengers.

  2. Go to the local police station and file a First Information Report (FIR).

  3. If the collision includes a third party, make sure you get the third-party’s information as well as the vehicle's information.

  4. File a claim with the insurer, who will send a surveyor to assess the damage and settle the claim.

  5. The insurance company will pay the stipulated insured sum in the event of passenger death or give financial support for medical treatment of injuries to passengers of the insured vehicle.

Conclusion

The addition of car insurance coverage for passengers to your basic car insurance policy offers a lot of value. As the owner/driver of the insured car, you have a responsibility towards the passengers riding with you. Adding passenger insurance coverage in your car insurance will ensure that everyone riding in the car is financially secure in the event of an unfortunate accident. If you are looking to buy a car insurance with a passenger cover add-on coverage, browse through the car insurance plans available on Bajaj MARKETS, which are offered with multiple features such as cashless claim settlements, a wide range of add-on covers, hassle-free renewals, 24x7 assistance, and much more!

FAQs About Car Insurance Passenger Coverage

  • ✔️Is bodily injury insurance sufficient to cover passengers in my car during accidents?

     The normal comprehensive car insurance coverage does not cover the costs of treating passengers injured in the insured vehicle. However, if you purchase passenger coverage as an add-on to your normal insurance policy, the insurance company will pay for the treatment of bodily injuries suffered by the car's passengers.

  • ✔️Is it possible to get both passenger insurance coverage and third-party insurance?


     No, the passenger add-on cover cannot be purchased in conjunction with third-party car insurance. It is available as an add-on cover to the comprehensive auto insurance policy. You will have to pay a higher premium, but this will help you get insurance coverage for the passengers in the insured vehicle in the event of an accident.

  • ✔️What is the maximum number of passengers covered by the passenger add-on?


     If the vehicle is a tiny one, such as a car that can only carry three people, the insurance will be limited to three people. However, this varies as per vehicle type, and a larger vehicle can insure passengers up to the car's seating capacity. Insurers do not provide financial support to passengers who exceed the vehicle's maximum seating capacity. They will be responsible for the costs, and the insurance company will not be held liable.

  • ✔️Is the paid driver of the insured vehicle covered by the passenger add-on?


     No, it doesn't work that way. You can purchase a separate add-on to cover your paid driver, ensuring that both you and the driver are covered in the event of an accident. The term "passenger add-on" refers to people who are not the car's driver.

  • ✔️How much does the passenger insurance cost?


     The cost of a passenger add-on policy is determined on the basis of the amount insured and the insurance company. For more information on the pricing of the add-on, contact the relevant insurance carrier.

  • ✔️Is it true that comprehensive automobile insurance coverage will cover passenger injuries in the event of an accident?


     No, in the event of an accident, conventional comprehensive car insurance does not cover passenger injuries. The insurance provider will, however, give financial aid for the treatment of bodily injuries caused to passengers of the insured vehicle if the passenger cover add-on is purchased.

  • ✔️Is it possible to get a passenger policy in addition to a comprehensive auto insurance policy?

     Passenger insurance coverage is available as an add-on and can be purchased with a comprehensive policy. The add-on is not available as a stand-alone cover.  

  • ✔️Does car insurance cover passengers?

     A standard car insurance policy does not provide coverage for the passengers in the insured vehicle. You can purchase a passenger insurance coverage add-on cover along with your comprehensive car insurance plan to cover the passengers in your vehicle.