Passenger Cover in Four-Wheeler Insurance: Things To Know


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Have you ever considered a situation when the passengers of a four wheeler may suffer injury due to an accident.  Is there a passenger cover insurance available in such a case. Let’s find out in this post.

While we mostly talk about insurance coverage for a third-party person or driver/owner of the car, we hardly discuss the insurance coverage of passengers sitting in a four-wheeler vehicle.  However, it is important to understand that in many instances even the passengers may suffer injury and be the victim of accidents. That is the reason why insurers these days are offering coverage to protect passengers of insured vehicles.

We can’t predict if and when we fall prey to an accident as well as the kind of damage that it might cause us. Thus, staying prepared is important because accidents not just cause damage to vehicles, it even causes disability or death of the injured person. And so, the IRDAI or Insurance Regulatory and Development Authority of India mandates a compulsory Personal Accident (PA) cover for owner driver so that they can avail coverage in case the driver/owner dies in an unfortunate accident or becomes crippled permanently.  Further, insurance companies also provide coverage options for car drivers working for the owners and passengers as well. Let’s learn about this policy and its related aspects in the post ahead.

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What do you mean by Passenger Cover in Car Insurance?

A Passenger cover in car insurance is a policy that gives coverage for passengers traveling in a car. There are specific plans available to cover passengers in car insurance.

However, the regular car insurance policies don’t provide coverage for passengers even if they are traveling in an insured car. Thus, in case of an accident injuring the passenger, it may not compensate them for the damage caused or cost involved in medical treatment. Further, in extreme scenarios, passengers might suffer an unfortunate demise if the accident is too severe, which is also not covered under your regular car insurance.

Thus, to cover passengers or people sitting in a car behind the driver, insurance companies allow coverage at an additional price, which is termed as passenger cover in car insurance. Such covers protect as many as three passengers sitting in a car for the treatment that is incurred as well as cover them in the event of permanent disability. Further, the cover compensates the family of the passenger for up to INR 2 lakh if a passenger dies in an accident.

What do you mean by Driver Cover in Car Insurance?

Driver cover in car insurance is nothing but the Personal Accident or PA Cover for Owner/Driver. This personal accident cover gives protection against the owner-driver in case of injuries caused by accidents. Further, it also compensates the beneficiary of the policy in case of ill-fated demise of the owner-driver caused in an accident. Disability caused due to an accident is also covered by owner driver PA cover.

What do you mean by a Personal Accident Cover for Paid Drivers?

These insurance policies are meant for the hired drivers who are hired by car owners to drive their cars.  So, if you hire someone to drive your vehicle as a paid driver, you can buy a Personal Accident cover for Paid Drivers to cover them against injury. This coverage can be bought by making an additional payment on your premium. In this case, only the driver whose name is mentioned in the policy is protected under the plan and it cannot be extended to anyone else driving the car.

Read More: Driver and Passenger Cover in Car Insurance Policy

What is a Personal Accident Cover for Unnamed Passengers?

A Personal Accident cover for unnamed passengers is a policy that covers the people traveling with you in your insured vehicle. Being the car owner, it becomes your liability to ensure the safety of your passengers whom you are traveling with. In case of an untoward incident, you are accountable to pay for the wounds that are suffered by the passengers. Thus, it is better to avail a Personal Accident cover for unnamed passengers to insure the lives of people traveling in your car.  However, you should not be traveling with more people than the number that is legally permitted at the time of the accident.

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To Conclude

Passenger coverage is something that your standard car insurance policy will not offer. Passengers sitting in a car are at a high risk of getting injured, disabled or even killed in an accident.  In such a scenario, it becomes the responsibility of the car driver-owner to cover the damage. Hence, it is better to protect passengers by a passenger cover insurance to allow you the peace of mind along with allowing total protection for the passengers.

This way, you can make sure to protect your car, the driver as well as the passengers. However, you must note that if the accident is caused because of the influence of alcohol or other toxic substances, the coverage will not compensate the insured.

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Sep 23, 2022
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PayBima is an Indian insurance aggregator on a mission to make insurance simple for people. PayBima is the Digital arm of the already established and trusted Mahindra Insurance Brokers Ltd., a reputed name in the insurance broking industry with 17 years of experience. PayBima promises you the easy-to-access online platform to buy insurance policies, and also extend their unrelented assistance with all your policy related queries and services.

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