Page 54 - Motor Insurance Ebook IC 72

The Insurance Times

(c) If it is a goods carriage, being carried in the vehicle.

So far as the third party property damage is concerned,
the Act, provides a limit of
Rs. 6,000/-. However, insurers in India are providing
increased coverage for property

damage as under:
Two Wheelers Rs. 1,00,000
Other vehicles Rs. 7,50,000

This increased cover does not include goods carried
on the vehicle. In respect of damage to any property
of a third party out of one accident a limit of Rs. 6000
is provided.

However as per the Act 'property' includes goods carried
in the Motor Vehicles, roads, bridges, culverts, causeways,
trees, posts and milestones.

However, section 147 (5) further provides that,
"Notwithstanding anything contained in any law for the
time being in force, an insurer issuing a policy of insurance
under this section shall be liable to indemnify the person
or classes of persons specified in the policy in respect of
any liability which the policy purports to cover in the case
of that person or those classes of persons."

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