Q&A

First of all you need to know what kind of policy you are holding for you car this includes taxi and bus drivers. Many taxi driver I have interview have taken policy in which they would expect that the insurance to repair their car even with a third party policy. You need to know third […]

First of all you need to know what kind of policy you are holding for you car this includes taxi and bus drivers. Many taxi driver I have interview have taken policy in which they would expect that the insurance to repair their car even with a third party policy.

You need to know third party policy does repair your car rather any person or property damaged by your car. Even with that still there is no guaranty the insurance will cover for the any third party damages because of the term and condition covering the policy you may have signed.

For instance if you terms and conditions does not cover borrowing policy whether the car was  borrowed or you borrowed it then the insurance is not obliged to pay your claims to the third party. If you are lending your car, the driver of the car most have a driver’s license whether provisional- this needs a supervisor with a full driver’s license- or a full license. Otherwise the owner of the car will have to bear any cost incurred in an accident. This at time may be the problem with many of the bus drivers which jeopardizes their policy especially when a proper insurance broker or agent was not used. Sometimes the policy may state out specifically who is authorized to drive your car and you must make sure that arrangement is properly followed.

For the bus owner who hire them out whether new or tokunbo; should check if they have a hire policy the terms and conditions and how long the policy last.

The biggest pitfall for most drivers is the moment they start to beg the other car owner or driver saying it was their fault. Huh! This is an almighty problem. It surely means you have not read your policy correctly or haven’t read it at all. First thing shut up! Exchange photocopies particular and contacts and report to your insurance company within 24 hours if possible- don’t let the second day pass without doing so. Try as much as possible to get the police so much involved. In your statement don’t not say it was your fault; just explain how the accident happened.

What is an example on how to write statement?

‘I was driving at about at …………speed along ……………road in my vehicle Reg No…….. towards ………………. When I was about ……. Distance away from the cross road I saw a vehicle coming from …………… street on my near-side. I reduced my speed to about …….speed. But Mr. A kept driving vehicle with Reg No shot across ….. Despite my hard braking and taking all possible avoiding action the collision was inevitable at ………….. place.’  

Avoid words such as hit or ‘ I hit’ and many other implicating statements. The insurance could use it against you when making your claim.

What should you expect as your claim?

Your claim will always be minus the depreciation value of the car. Never expect that your car is the same value it was bought from the day you began driving it whether new or not. To help you make better claims you find it rewarding to find out the background of the insurance on how capable they are able to pay. Like any other they should not be fully trust because the slightest fault on your part could make you loose your claim.