Car insurance policy exclusions are restrictions that describe what is not covered in a car accident. Certain members of your household can be excluded from your policy, such as someone who has gotten a few DUI convictions. Other exclusions dictate what is and is not covered in the ordinary course of events. There are 3 basic types of exclusions, and each one describes a wide range of possible claim denials.
Non-Fortuitous Damage – This includes damages that you cause yourself, or damages that have been caused by someone who is not covered by your policy. Personal acts of road rage are excluded by most insurance companies, but so is allowing an unlicensed driver to borrow your car. In both situations, you have made decisions that caused non-fortuitous damages, that is, damages that you have no grounds to file a claim against.
Duplication – This type of exclusion applies to situations where another form of coverage or policy takes precedence. For example, you cannot claim injuries or lost work against your car insurance if the claim is already being handled by Workerâ€™s Compensation. The idea is that you are only allowed to file a claim for an accident under one policy. Trying to claim the same thing under two different policies excluded under the â€œduplicationâ€ clauses, plus the fact that it is totally illegal and carries a penalty of fines as well as jail time.
Non-Standard Exclusions – This type of exclusion includes damages that occur outside of the normal operation of the vehicle. A tow truck accidentally pulling off your bumper as it is loading your car is a non-standard exclusion for your policy, but should be completely covered by the tow-truckâ€™s policy.
It is important that you understand your insurance policy, and that you choose a company that does not include silly exclusions aimed solely at avoiding the settlement of claims. If you discover that your insurance company is not treating you fairly, it may be time to get an online insurance quote from a different company.