Fleet insurance is a type of insurance that will cover four or more vehicles under one policy. This type of insurance is generally used by companies that use many vehicles for commercial or personal purposes. The SME needs to pay only a one time annual premium to cover all their vehicles.

Coverage

Usually the policy covers the following
  • Loss or damage to vehicles by fire, accidents, burglary, natural calamities, and other unexpected causes are covered under this policy.
  • This insurance covers all vehicles in one policy.
  • Third party injury or death and damage to property.
  • Driver/owner are covered under this policy.
  • Medical expenses are covered sometimes.

Exclusions

  • Wear and tear of vehicle.
  • If the vehicle is driven without a valid license.
  • If the driver is under the influence of drugs or alcohol.
  • Engine damage due to leakage of oil.
  • War or allied perils.
  • Rejected claims which are not taken to court within 12 months.