Soon you can get reimbursement from your insurer on your travel related expenses if your car is getting repaired.
Bharti AXA General Insurance, the joint venture between India's Bharti Enterprises and France's AXA, plans to introduce a new product that promises to reimburse the policyholder's travel expenses when the car is in repair shop.
The product is likely to be named 'Garage Cash' and the insurance company has already sought the regulator's approval.
"I don't think a similar product is currently offered by any insurance company. It is different from the traditional motor insurance that takes care of the repairing expenses. This product will allow customers to claim the money they spend on travel while their car is in a garage," Manish Kishore Mishra, zonal vice president – east at Bharti AXA General Insurance, told Business Standard on the sidelines of an event here today.
He added the company was yet to work out the pricing of the product. "Those details will be chalked out once we get the necessary approvals," Mishra said.
The company is currently awaiting regulatory approval for seven to eight insurance products that include cover for involuntary unemployment.
A policyholder can claim reimbursement for his monthly expenses like house rent, loan installments, credit card bills, children's school fees if he loses his job. The insurance company will reimburse these expenses for a specific period, for three or six months.
"It does not mean that we are encouraging people to lose their job," Amarnath Ananthanarayanan, chief executive and managing director of Bharti AXA General Insurance, said with a smile.
"The idea is to allow the individual focus on his search for a new job without worrying about monthly expenses," he added.
Bharti AXA General Insurance currently has 58 products that cater to the needs of urban, semi-urban and rural population. The company has sold over two million policies and settled more than three million claims since its inception in August, 2008.
So far in 2012, motor insurance has the largest (68%) share in its total business, followed by health and personal accident (21%) and commercial lines (11%).
In terms of geography, the western region accounts for most of its business with 35% share. The company has tie-ups for cash settlements with over 3,800 hospitals and 2,000 car garages across India.