Tractor insurance and various companies and their policies for the same

1. Tractor Insurance
Submitted by:-
Jyoti Jha
PGDABM(2011-13)
NIAM,Jaipur

2. Tractor insurance
Tractor Insurance in India deals with the
insurance covers for the loss or damage caused
to the automobile or its parts due to natural
and man-made calamities. It provides accident
cover for individual owners of the vehicle while
driving and also for passengers and third party
legal liability. There are certain general
insurance companies who also offer online
insurance service for the vehicle.

3. Tractor insurance
Tractor Insurance in India is a compulsory
requirement for all vehicles used whether for
commercial or personal use. The insurance
companies have tie-ups with leading
automobile manufacturers. They offer their
customers instant quotes. Premium is
determined by a number of factors and the
amount of premium increases with the rise in
the price of the vehicle. Certain documents are
required for claiming Tractor Insurance in
India , like duly signed claim form, RC copy of
the vehicle, Driving license copy, FIR copy,
Original estimate and policy copy.

4. Current scenario
• The after effects of the union budget have
surprised tractor manufacturing
companies and even the farmers .With this,
the insurance of this tractor has been
increased by more than 200%
• A tractor priced Rs 6 lakh used to be
insured with about Rs 8,000 and now this
amount has been hiked to Rs 22,000 at par
with the diesel cars.
• The third party insurance of the vehicle
will now be Rs 12,000 instead of Rs 14,000
of the previous prices.

5. ICICI LOMBARD
• ICICI Lombard's comprehensive package
policy for tractors covers not just Own Damage
but also Third Party Liability and Personal
Accident.

6. Own damage
i. Fire, Explosion, Self ignition or Lightning
ii. Housebreaking, Theft, Riot.
iii. Earthquake (fire and shock damage), Flood,
Typhoon, Hurricane, Storm.
iv. Inundation, Cyclone, Hailstorm, Frost
v. Accidental external means.
vi. Malicious acts.
vii. Terrorist activity
viii. Landslide, Rockslide.

7. Subject to a deduction for depreciation at the
rates mentioned below in respect of parts
replaced:
- For all rubber/nylon/plastic parts, tyres, tubes,
batteries and air bags - 50%
- For fibre glass components - 30%
- For all parts made of glass - Nil
- Rate of depreciation for all other parts
including wooden parts will be as per the
schedule.
In the event of the vehicle being disabled by
reason of loss or damage covered under this
policy, the Company will bear the reasonable cost
and removal to the nearest repairer and re-
delivery to the insured not exceeding Rs.2500/-
for commercial vehicles in respect of any one
accident.

8. Liability to third parties
The Company will indemnify the insured in the
event of an accident caused by or arising out of
the use of the vehicle against all sums
including claimant's cost and expenses, which
the insured shall become legally liable to pay
in respect of:
- Death of or bodily injury to any person
caused by or arising out of the use (including
the loading and/or unloading) of the vehicle.
- Damage to property caused by the use
(including the loading and/or unloading) of
the vehicle.

9. Personal Accident Cover for Owner-Driver
The Company undertakes to pay compensation as
per the following scale for bodily injury/ death
sustained by the owner-driver of the vehicle in
direct connection with the vehicle insured or whilst
mounting into/dismounting from or traveling in
the insured vehicle as a co-driver, caused by violent
accidental external and visible means which
independent of any other cause shall within six
calendar months of such injury result in:
- Death - 100%
- Loss of two limbs or sight of two eyes or one limb
and sight of one eye - 100%
- Loss of one limb or sight of one eye - 50%
- Permanent total disablement from injuries other
than named above - 100%

10. Tata AIG Insurance
• Own Damage (Loss arising due to Physical
Damage to the Vehicle in the accident – Cost of
Repairs & Replacements)
• Loss or damage to vehicle & its accessories by
Same as ICICI lombard
• Act Liability / TP Insurance (Legal Liability to
Users of Road -
Pedestrians, Passengers, Animals, Wayside
Property etc.)
– Unlimited legal liability in respect of death or bodily
injury to a person
– Damage to Third Party Property up to Rs.7.5 / 1
lakhs
– Legal costs for defending TP claim
– Legal Liability to Paid Driver

11. Mahindra viswas
The Tractor insurance generally includes:
• Same as the above two
The tractor insurance does not include:
• Consequential loss, depreciation, mechanical and
electrical breakdown, failure or breakage
• War or nuclear perils and drunken driving

12. SBI general insurance
This policy provides protection to your all
important farming companions such as
tractors in addition to the personal accident
cover to you and your other family members
who may use the vehicle.
This Policy is designed to cover the compulsory
Third Party Liability together with loss or
damage to the Vehicle itself.

13. • The Policy also provides cover for:Personal
Accident for Paid Driver/cleaner.For an
additional Premium, provides the following:
Additional Legal Liabilities towards Paid
Driver and employee.
• Bi-fuel Kit.Enhanced PA cover to Owner
Driver and Paid Driver.
• No Claim Bonus Protection.Return to Invoice.

14. References
• http://www.taxmann.com/taxmannflashes/w
hatsnew.aspx?stype=1&sid=9893
• http://209.212.151.53/web/why_mahindra_vi
shwas.html
• http://www.tataaiginsurance.in/taig/taig/tata
_aig/rural/homepage/
• http://www.sbigeneral.in/Internet/faces/tract
orandfarmvehiclepolicy
• https://www.icicilombard.com/rural-
insurance/tractor.html