Comprehensive section of Standard Motorcycle Policy

Motor cycle Insurance or Two wheeler Insurance is also a part of Motor or car or Vehicle Insurance.

The Comprehensive Insurance wording (standard) is usually as follows - it also includes Third party or Liability Insurance.

SECTION 1 – LOSS OR DAMAGE - Motor Cycle Insurance ( Two wheeler)

1 The Company will indemnify the Insured against loss of or damage to the Motor Vehicle and its accessories and spare parts whilst thereon

(a) by accidental collision or overturning or collision or overturning consequent upon mechanical breakdown or consequent upon wear and tear

(b) by fire external explosion self-ignition or lightning or burglary housebreaking or theft

(c) by malicious act

(d) whilst in transit (including the processes of loading and unloading incidental to such transit) by road rail inland waterway lift or elevator

2 At its own option the Company may pay in cash the amount of the loss or damage or may repair reinstate or replace the Motor Vehicle or any part thereof or its accessories or spare parts.  If to the knowledge of the Company the Motor Vehicle is the subject of a hire purchase agreement or a bill of sale by way of mortgage such payment shall be made to the owner described in the hire purchase agreement or the mortgagee described in the bill of sale whose receipt shall be a full and final discharge to the Company in respect of such loss or damage.

The liability of the Company under sub-section 1 of this Section shall not exceed the value of the parts lost or damaged and the reasonable cost of fitting such parts it being understood that the Company’s liability shall be limited to the reasonable market value of the Motor Vehicle at the time of the loss or damage but not exceeding the Insured’s estimate of value stated in the Schedule.

3 If the Motor Vehicle is disabled by reason of loss or damage insured under this Policy the Company will subject to the Limits of Liability bear the reasonable cost of protection and removal to the nearest repairers and of delivery within the country where the loss or damage was sustained.

4 The Insured may authorise the repair of the Motor Vehicle necessitated by damage for which the Company may be liable under this Policy provided that

(a) the estimated cost of such repair does not exceed the Authorised Repair Limit

(b) a detailed estimate of the cost is forwarded to the Company without delay

EXCEPTIONS TO SECTION I - Motor Cycle Insurance ( Two wheeler)

The Company shall not be liable to pay for

(i) consequential loss depreciation wear and tear mechanical or electrical breakdowns failures or breakages

(ii) damage to tyres unless the Motor Vehicle is damaged at the same time

(iii) loss of or damage to accessories or spare parts by burglary housebreaking or theft unless the Motor Vehicle is stolen at the same time



SECTION II – LIABILITY TO THIRD PARTIES - Motor Cycle Insurance ( Two wheeler)


1              The Company will subject to the Limits of Liability indemnify the Insured in the event of accident caused by or arising out of the use of the Motor Vehicle or in connection with the loading or unloading of the Motor Vehicle against all sums including claimant’s costs and expenses which the Insured shall become legally liable to pay in respect of

(a)   death of or bodily injury to any person

(b)   damage to property

2              In terms of and subject to the limitations of and for the purposes of this Section the Company will indemnify any Authorised Driver who is driving the Motor Vehicle provided that such Authorised Driver

(i)             shall as though he were the Insured observe fulfil and be subject to the Terms of this Policy in so far as they can apply

(ii)            is not entitled to indemnity under any other policy

3              In the event of the death of any person entitled to indemnity under this Section the Company will in respect of the liability incurred by such person indemnify his personal representatives in terms of and subject to the limitations of such Section provided that such representatives shall as though they were the Insured observe fulfil and be subject to the Terms of this Policy in so far as they can apply.

4              The Company will pay all costs and expenses incurred with its written consent

5              In the event of accident involving indemnity under this Section to more than one person the Limits of Liability shall apply to the aggregate amount of indemnity to all persons indemnified and such indemnity shall apply in priority to the Insured

6              The Company may at its own option

(a)   arrange for representation at any inquest or fatal inquiry in respect of any death which may be the subject of indemnity under this Section

(b)   undertake the defence of proceedings in any Court of Law in respect of any act or alleged offence causing or relating to any event which may be the subject of indemnity under this Section

Shujaath Ahmed Khan.