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Liberty General Insurance Introduces “Liberty Assure” – Offers a Mandatory Deductible Waiver at No Additional Premium

A deductible is a fixed amount deducted at the time of claims and is common to all insurance companies.

Opting for an auto insurance claim, after the vehicle is damaged, is something that many car and bike owners are often confused about. Sometimes the cost of repair can be high and there is compensation as the unclaimed bond is used during the claim process. And then there is something called a “deductible” on an auto insurance policy. As the policy holder, one must pay part of the claim amount, while the rest is paid by the insurance company for the repairs.

Generally, there are two types of “deductible”: mandatory deductible and voluntary deductible. The first, as its name implies, is something that the vehicle owner must endure. No more. Liberty General Insurance Ltd. (LGI) has launched an innovative “Liberty Assure” service as part of its current Private Vehicle Package Policy, under the approval of the Regulatory Litter Box received from IRDAI. The policy holder will not have to assume the cost of the “mandatory deductible” for each claim without additional premium, this service at the time of filing a claim. The new feature is expected to give policyholders control over their insurance costs, allowing them to save more.

As with all auto insurance policies, a mandatory deductible is the amount the insured must pay. If the mandatory deductible for a private car is Rs 2000 and the customer incurs a total assessed claim expense of Rs 2500, the customer’s insurance company will pay Rs 500, after deducting the mandatory deductible of Rs 2000. Now, with Liberty Assure, this Rs 2000 will also be paid by the insurance company.



What is the mandatory deductible?

It is a fixed amount deducted at the time of claims and is common to all insurance companies (as prescribed by India Motor Tariff). It is determined based on the capacity of an individual’s private car engine. The mandatory claim deductible for private cars up to 1,500 cc is Rs 1,000; for cars over 1,500 cc it is Rs 2000.

Additional benefits of this feature include the Service Warranty, which covers any defect arising from accidental vehicle repair. The Company’s Preferred Provider Network (PPN) workshop will make such a loss good by providing the necessary repair or replacement of the defect at no additional cost. The policy holder may visit the same workshop with the service guarantee certificate for any additional repair / replacement of the defect.

Additionally, this feature will be available to customers at eight locations: Ahmedabad, Jaipur, Kolkata, Bangalore, Hyderabad, Mumbai, Chandigarh, Delhi-NCR. Vehicles repaired at Liberty PPN workshops will also entitle customers to avail of free value-added services such as pick-up and drop-off, outside car wash, engine tuning, and A / C Check Up, among others.

You can even opt for the voluntary deductible, but you should do so after carefully evaluating the option. Opting for it will keep the premium lower, but at the time of claim, out-of-pocket costs could be high.



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