Does Compulsory Traffic Insurance Cover Water Damage Claims?
2 Answers
Compulsory traffic insurance does not cover water damage to your vehicle because it is designed to compensate third-party vehicles and individuals. To claim for vehicle damage, you must have purchased vehicle damage insurance. Compulsory traffic insurance is mandatory by law, and you must have it to legally drive on the road. Otherwise, according to the 'Road Traffic Safety Law,' the traffic management department of the public security authority may impound the motor vehicle, notify the party to provide the corresponding license, certificate, or complete the required procedures, and may issue a warning or impose a fine ranging from 20 to 200 yuan. Compulsory Traffic Insurance for Automobiles: The full name of compulsory traffic insurance is 'Compulsory Liability Insurance for Motor Vehicle Traffic Accidents.' It is a mandatory liability insurance where the insurance company compensates victims (excluding vehicle occupants and the insured) for personal injury, death, and property damage caused by road traffic accidents within the liability limits. The premium is based on the nationally unified standard rates. However, the price of compulsory traffic insurance varies depending on the vehicle type, with the main influencing factor being the number of seats. Compared to the over 20 exemption clauses in commercial third-party insurance, compulsory traffic insurance covers a much broader range, including losses caused by intentional acts of the victim, the insured's own property damage, related arbitration and litigation costs, and some indirect losses from accidents. Moreover, regardless of whether the insured vehicle is at fault in the accident, compulsory traffic insurance will compensate within the liability limits, with no deductible or exemption. Introduction to Electronic Insurance Policies An electronic insurance policy refers to a digital policy issued by an insurance company using digital signature software and enterprise digital certificates that comply with the PKI system, bearing the electronic signature of the insurance company. An insurance policy, or policy for short, is the official written proof of the insurance contract between the insurer and the insured. The policy must fully record the rights, obligations, and responsibilities of both parties to the insurance contract. The content recorded in the policy serves as the basis for both parties to fulfill the contract. The policy is proof of the establishment of the insurance contract. Advantages of Electronic Insurance Policies: Saves paper resources, eliminating the need to print insurance proof labels; Saves time and is convenient, unrestricted by time or location, with information accessible online anytime, quickly and easily; Allows for reissuance or resending, eliminating worries about loss. If a paper version is needed offline, it can be printed or mailed; Facilitates management, as electronic unification makes it easier for insurance companies and traffic police departments to manage the insurance information of various vehicles.
Recently, there has been a lot of rain, and a friend's car was flooded, only to find out that compulsory traffic insurance doesn't cover this at all. Compulsory traffic insurance is a government-mandated third-party liability insurance, meaning if you hit someone else, the insurance company is responsible for compensating the other party's injuries or losses, but issues with your own car, like engine damage or ruined interiors caused by flooding, are not covered. To get insurance coverage for flood damage, you need to purchase additional vehicle damage insurance or add a waterlogging insurance rider. With the rainy season approaching, it's time to check your insurance policy to avoid ending up like my friend, who had to pay tens of thousands out of pocket for car repairs. Also, remember to drive slowly through waterlogged areas—safety first.
