Motor package and liability policy extends to provide coverage for motor vehicles. These include two wheelers and even railway vehicles that run on commercial basis. It is for the vehicle which is used to earn money.
The two sections of this policy
The package policy contains two sections Section 1 and Section 2,
Section 1 mentions that if any damage is caused due to any external accident source, by fire, ignition, or due to theft, break in, or terrorist attack, or due to strike or riot, washed away by flood, or during transportation by airway, waterway, and railway the policy will give the full coverage for the losses incurred during this.
The section 2 of this policy mentions that any third party liabilities due to accidental injury, death of any third party, damage to property and the sum insured for the owner itself during the mishap time the liabilities shall be payable under this section of the policy.
If there is any contractual liability or any wrong activity present then those liabilities are not payable.
Any liability that is contractual, any danger that rise out of war or riots, result of drunken driving, expenses due to depreciation and due to electric breakdown, any kind of loss outside the range of the policy and when any kind of damage takes place due to rash driving without prior license then the liability arising out of the above mentioned causes are not payable and is not covered by this policy.