Tractor Insurance - Complete Guidelines With The Importance
Farming is a basic need for agriculture, and the tractor is the essential requirement of agriculture. So the safety of tractors is the priority for farmers, and the solution to this problem is tractor insurance. Farmers can take this policy and protect their own and their tractors. When tractors damage due to any problem, it is very harmful to farmers. Then at that time, this policy will help farmers to overcome these problems. Tractor insurance will protect tractors against all damages and risks.
Nowadays, machines are a common requirement of agriculture, and the safety of Machines is an essential point, so the Insurance of Machines will help you to protect your Machine and will come to work in bad times. Tractors that used for agriculture purposes insured under the commercial misc class D category. And those tractors which used for caring goods are protected under the commercial GCV category.
What is agriculture Tractor insurance
Tractor Insurance is a vehicle insurance policy that protects tractors from unexpected damages, risks, and losses. That could occur due to fire, collision, accidents, natural disasters, and even theft. Third-party liability policy for tractors only covers damages that occurred due to the tractor to the third party.Eligibility criteria of insurance are one year, and some Insurance depends upon the insured declared value(IDV). Insurance of tractors is available online and offline. If you can buy policy offline, you can buy through the company's branch office by submitting all the documents. Some policy sites give plans online in simple steps. Online tractor insurance is so easy to process compared to offline. Also, tractor insurance compares online and offline. For online, you can fill only application forms and pay a premium online. Once the premium paid policy will be issued.
Why should farmers buy insurance for the tractor?
If farmers or farmers organizations use tractors for daily business purposes, they have at least a mandatory third party insurance according to the motor vehicle act. This insurance covers you from any losses caused to a third-party due to a tractor owned by you.
If you are doing big business with many tractors, then getting insurance is the minimum you can do to protect all your tractors due to the damages of your tractors and driver - owner itself.
Insurance of tractors makes sure that farmers protected against unexpected damages. If you want to protect you and your tractor from unknown losses like fire, natural disasters, and many more, so insurance is mandatory.
What insurance of tractors is covered?
Accidents - Accidents are an essential example of unexpected damage. Insurance of farming tractors will protect you and your tractor from this unknown damage. Injuries caused the tractor due to an accident.
Theft - Any damages and losses caused to the tractor in the case of theft.
Fire - In any unfortunate case of fire losses and damages caused the tractor.
Natural disasters - Natural disasters are crucial aspects of unexpected injuries. Insurance of tractors will save your tractor from natural disasters such as floods, earthquakes, cyclones, lightning, and many more.
Personal accident - This will be related to the farmers if any accident or death happens to the farmers, so insurance of the tractor will cover this damage.
Third-party losses - In the case of accident and collision, cover injuries and damages to third party vehicle, property, and person due to the insured tractor.
What insurance of the tractor is not covered?
Drunk and driving or driving without licenses - If, during a claim, a driver was driving without a valid license or under the influence of alcohol, then claim can't be approved.
Negligence - Any damages caused to the tractor due to the negligence the claim can't be approved.
Own damage third party policyholder - If you are going for third party insurance of tractor, then damages won't be covered.
Consequential damages - Any damages are not a direct result of natural disaster or fire the losses will not be covered.
Technical problem - Damages caused to the tractor due to the Technical problem like mechanical and electrical are not covered.
Personal fight - Damages caused to the tractor due to their fight war, or any revolt the losses will not be covered.
What are the benefits of the buying tractor insurance online
Immediate policy insurance, which saves you time.
24/7 call center service.
Guaranteed transparency in claim settlement.
How to prepare for tractor insurance claim
After the claim occurs, immediately inform the insurance company
In case of damage, don't move the tractor until the company does not arrange an agent to survey tractor.
If the stolen tractor, you can file FIR first and inform the insurance company. If any reason police do not find your tractor, then the company would refund you the IDV and complete your insurance claim.
Claim process
Policyholders need to submit policy details like insurance policy numbers, the name of the insured, and contact details.
Then give the information related to the vehicle registration number of vehicles, including the location where tractor loss or damage and also the current location of the tractor for inspection.
Legal aspects like an if stolen tractor, then details related to the police station, the name of the driver, and if accident through the tractor, then the description of the event, injured person's name, and any claims that may arise due to the third-party intervention.
If approved, the claim amount credited to the claimant's account.
Documents required for insurance
RC book
Driving license
All repair bills
Photo if tractor damaged
If theft case or a third party then FIR copy required
Subrogation letter
Importance of vehicle insurance
Insurance of tractors is a safety shield for farmers and their tractors. This policy can save from unexpected issues. Insurance is getting the farmer's peace of mind. It is essential to obtain insurance because it works as a shield in damages like accidents, natural disasters, and even third-party liabilities. External damage natural calamities like floods, earthquakes, cyclones, landslides, storms, etc. are covered by insurance. The insurance policy covers unexpected circumstances such as fire, explosion.
Accidents caused by the tractor while tractors are roads, waterways, etc. are covered by insurance. If any third party harmed through tractor, even then, insurance is covering the tractor. Insurance also covers Human-made causes like theft and damages. They had many policies that also covered other farming machines like harvesters, rotavators, threshers, power horror, etc.
Insurance also protects your farming implements. Insurance policies also provide benefits like "no bonus protection" in which the lowered cost of insurance every claim-free year. But even after lots of benefits and advantages, farmers are not aware. That is why the offtake of insurance is low, which uncovers the farmers to risks of accidents and damages to their tractors.
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Tractor insurance Renewal
Farmers can easily renew their insurance, and farmers can get renew policies on the same company by paying renewal premiums. You can switch insurance and opt for another insurance policy for your tractor. Renewal time, you should utilize any no claim bonus that is according to the plan.
"No claim bonus" is a premium discount that the company allows if you have not made any claim under your policy. This premium is allowed after each claim-free year. And if their claim-free years continued, then the discount also multiplied. This discount lets you avail of a discount on the renewal premium and make it more affordable. This policy pays financial loss suffered by the owners and gives them financial security.
Can insurance of tractor claim reject?
Insurance companies can reject insurance. Rejection usually occurs when your policy has expired, when you claim for an excluded cover and following the claim process, it is not proper. These are three reasons that can reject your tractor claim.
How are premiums for insurance plans calculated?
IDV of the policy
Make, model and variant of the tractor
Fuel type
Done modification
Age of the tractor
Place of registration
No claims discount
Who can buy insurance?
Insurance bought by legal owners of tractors who want to secure the financial losses faced and also fulfill the law of the motor vehicles act. And farmers have valid documents of tractors.
Features of Insurance policies
Usually, an insurance policy is offered by insurance companies as a motor policy.
The policy's amount calculated as the tractor's market value after deducting appropriate depreciation based on the age of the tractor. The Insured amount is called Insured declared value.
The policy issued for a year.