Our recent article on Motor insurance created a considerable awareness and we received lots of feedback and questions from our readers and followers, we selected a very commonly experienced grey area regarding motor insurance claim and this article deals with the biggest question “does the insurance company liable for the damages incurred inside a public place car park or a motor garage/service centre?”
Does the insurance company liable for the damages incurred inside a public place car park or a motor garage/service centre?
The answer is a big no, let’s break the question into three scenarios and understand the impact.
Scenario One – You notice damage to your vehicle which was parked at the holiday resort car park
In this case, your motor insurance policy doesn’t cover the liability and legally the insurance company is not liable to pay your damage, the hotel should hold liable for the damage and most cases hotels and resorts have an insurance cover to manage such claims, the cover is called “Public Liability Insurance“.
Your other option is to find the other party who caused the damage and hold him responsible through legal actions, it should be proved using a CCTV/Video evidence or an eye witness.
Scenario Two – You notice damage to your vehicle at a public place car park, which has displays saying “Parking at your own risk”
In this case insurance company is not liable and the public place also not liable for the damages, your only option is to find the other party who caused the damage and hold him accountable for the damages.
Scenario Three – your vehicle incurred damage while it was at the garage, it can be a damage caused by another vehicle or a due to a technical fault of equipment or a due to a fault of a garage employee.
In all the above cases, your comprehensive motor insurance policy covers nothing and there is no liability to the insurance company, you have to hold the garage owner liable for the damages and in most cases your poor garage owner cannot afford to compensate you, your only option is to check with the garage whether they have the “public liability insurance” for the garage premises, like public places and hotels public liability insurance covers all the damages inside the garage premises, unfortunately most of the garage owners are not aware of the public liability insurance.
Saying all that, make sure to intimate such accidents to the insurer as it may cause conflicts when it comes to future claims and though they are not liable most of the insurance companies consider the liability on a special case basis, they have all the right to reject the claim.
This article is structured for purpose of educating our readers about common issues related to insurance claims and prevention is better than cure, take the parking lot signs seriously, check with the garage whether they have the public liability insurance. Good luck, Sharing is caring and share this article with your friends and family to keep them informed and educated.