It is imperative for policyholders to read and understand their insurance policy documents in an endeavor to know how far they are covered. What you should understand as a policyholder is that there are circumstances in insurance where certain risks are excluded from cover. These are called policy exclusions or exceptions. Specificity is how an Insurance policy runs or in other words insurance is specific, as such there are some losses or damages that are not covered by basic insurance policies.
Often for Insurance companies there is norm and belief by policyholders of accusations of fraud and shirking of paying of claims by Insurance Companies.
To demystify the norms and beliefs by policy holders. There are conditions, events or circumstances where an Insurance Company might not cover you.
No licence, under the influence, endorsed licence or invalid licence
A motor vehicle insurance policy does not cover the policy holder if it is established that at the time of the accident; if the driver was under the influence of drugs or alcohol, no licence, endorsed licence or invalid licence.
- Drives while under the influence of alcohol or drugs, or while the percentage of alcohol in the driver’s blood exceeds the legal limit, or when the driver fails a breathalyser test; or
- Is not licensed to drive, has an endorsed licence, whether the endorsement is displayed on the licence or is on record with the authorities for negligent, reckless or drunken driving, or for driving while the percentage of alcohol in that person’s blood exceeds the legal limit.
An unroadworthy vehicle
When the vehicle is involved in an accident and it is not in a roadworthy condition as defined in the legislation relating to roadworthiness, or when the law or traffic regulations.
Accident with an uninsured vehicle
According to the Road Traffic Act, Insurance companies are not liable to pay claims to third party vehicles that are not insured if they are involved in an accident on the road. This is so because only insured vehicles should be on the road.
Leaving the scene of an accident
If the vehicle is involved in an accident and the person who drove the vehicle unlawfully leaves the scene of the accident.
Unauthorized use of vehicle
If someone uses the vehicle without your knowledge and consent and you have not laid a criminal charge against him/her with the police within 48 hours. You may also not withdraw the charge.
Political riot and strike
An Insurance policy may not cover a loss/damage if the insured event occurs whilst one is participating, involved or as a result of riots, civil commotion, acts of insurgence or insurrections unless there is a policy extension to cover political riot and strike.
Vehicle used to earn an income
If the vehicle is used to carry fare-paying passengers, for hiring or driving instruction. The motor vehicle policy does not cover when the policy indicates or specifies that the vehicle is for private use and not for commercial use.
Vehicle used to transport loads or people exceeding its registered capacity
If the insured vehicle is used to carry any load or number of people in excess of its registered capacity.
Vehicle used in certain countries outside Zimbabwe
When the vehicle is used outside Zimbabwe, Botswana, Lesotho, Malawi, Mozambique, Namibia, Swaziland and South Africa. We will not indemnify other parties on your behalf when the vehicle is used outside Zimbabwe.
Property in your possession and that of your household members
If the property in your possession is your property or the property of your household members, or other property that you and your household members have with you/them at the time of the accident. Insurance will not cover any claim arising from it.
These exclusions can be covered under policy extensions when the policyholder pays more in terms of premiums.
If you’d like more information about how to get affordable motor vehicle insurance to suit your pocket, Champions Insurance is one call away. Please call +263 86 77 004068 or email info@championsinsurance.co.zw or visit any of our Head Office and branches across all leading retailers (Choppies, Food World, Metro Peech, Pick and Pay) and NetOne Offices countrywide.