Will Insurance Cover Flood Damage to Vehicles Caused by Natural Disasters?
1 Answers
Insurance will cover flood damage to vehicles caused by natural disasters. Introduction: Vehicle insurance, also known as motor vehicle insurance or auto insurance, refers to a type of commercial insurance that provides compensation for personal injuries, deaths, or property losses caused by natural disasters or accidents involving motor vehicles. Auto insurance is a category of property insurance. In the field of property insurance, auto insurance is a relatively young type of coverage, as it emerged and developed alongside the advent and popularization of automobiles. Unlike modern motor vehicle insurance, early auto insurance primarily focused on third-party liability coverage and gradually expanded to include risks such as collision damage to the vehicle body. Classification: Commercial auto insurance is an open policy and is divided into basic coverage and additional coverage, with the latter not being available as standalone insurance. Basic coverage includes third-party liability insurance and vehicle damage insurance (comprehensive coverage). Additional coverage includes total theft insurance (theft coverage), onboard liability insurance, no-fault liability insurance, cargo drop liability insurance, standalone glass breakage insurance, vehicle downtime loss insurance, spontaneous combustion loss insurance, newly added equipment loss insurance, and deductible waiver insurance. Compulsory traffic insurance (i.e., compulsory motor vehicle traffic accident liability insurance) also falls under the broad category of third-party liability insurance. Compulsory traffic insurance is mandatory, and motor vehicles must purchase it to be legally driven, undergo annual inspections, and be registered. In the event of third-party losses requiring claims, compulsory traffic insurance must be paid out first before other coverages.
