School Bus Insurance
School bus insurance provides coverage to any school bus against any loss/damage incurred on the occurrence of any uncertainties such as accident/ mishap.
School bus insurance is also referred to as Staff bus insurance. When you own a business, which is used for the transportation of students back and forth, the safety of the students and the staff riding on the bus is of utmost importance and primary concern.
The school buses make countless trips every academic year, transporting the students securely, efficiently and economically.
Therefore, if you own a bus, which is commercially used for the transportation of the students/staff from the various neighbourhoods, then buying school bus insurance is necessary and a smart choice.
Why is School Bus Insurance Important?
School bus insurance is important as primarily it provides adequate cover against any unforeseen event. Besides, having school bus insurance ensures the safety of the drivers and passengers on the bus.
Generally, a school bus is owned, either leased or contracted to be operated by a school as it continuously is in the functioning of transporting the students from the school or any of the school-related activities. However, it does not include a transit or charter bus.
To operate a school bus, you will need a hired driver. Therefore, extensive liability coverage is important for the drivers, the passengers and the school district.
Moreover, a school bus is different from many other vehicles because of the following stated reasons:
- The buses fall under the category of passenger carrying vehicle rather than a vehicle used personally.
- Besides, the number of passengers a school bus can hold does not only need a standard driving license but also require a commercial driver’s permit.
Any bus, which has a seating capacity of more than 14 people, is considered a commercial passenger-carrying vehicle. Therefore, in case the bus is not in use for the transportation of students and is used otherwise, the owner needs to have commercial vehicle insurance.
What are the Salient Features of School Bus Insurance?
Listed below are some salient features of school bus insurance:
- Provides cover for any bodily injury or demise of the driver.
- Cover in case of any legal implications following the demise or injury of a third-party.
- Cover in case of any man-made calamity such as theft, vandalism, fire and so on.
- It gives you peace of mind in case of incurred unwanted fiscal cost due to an accident/mishap.
What are the Types of School Bus Insurance Policy?
School buses are one of the most convenient ways of transportation used by the students to commute. The two types of school bus insurance are listed below:
- Comprehensive School Bus Insurance: Comprehensive school bus insurance policy offers complete protection for any damage or loss incurred to your vehicle as well as protects the interest of the third-party. Buying comprehensive bus insurance is best recommended over third-party liability school bus insurance.
- Third-party School Bus Insurance: Third-party liability school bus insurance provides coverage for any loss/damage incurred to the third-party property/person/vehicle. Third-party liability school bus insurance policy does not provide any coverage for any damage incurred to the own vehicle.
In case, you do not know, third-party liability insurance is a legal mandate in India as it serves to secure the policyholder from any claims arising from any third-party when the insured vehicle is at fault.
What are the Inclusions Offered Under School Bus Insurance?
Listed below are the inclusions offered under school bus insurance policy:
- Cover Against Fire: Any damage or loss incurred to the vehicle in case of fire and ignition, a school bus insurance provides cover for the same.
- Cover Against Accidents: In case of any damage or loss incurred to the vehicle in any mishap or accident, having a comprehensive school bus insurance will provide protection.
- Third-party Liability: In case of an accident, any damage/loss incurred to the third-party property, vehicle or person, having third-party liability cover will let you remain stress-free for the unwanted financial expenses.
- Cover Against Theft: Under any unfortunate circumstances wherein the vehicle gets stolen or is lost, a theft-cover offered under school bus insurance policy will take care of the incurred expenses.
What are the Exclusions Under School Bus Insurance?
Listed below are the exclusions that are uncovered under a school bus insurance policy:
- Unethical Driving: If an accident/ mishap occur, under the influence of alcohol or any other intoxicant substance. Moreover, if the driver is driving the vehicle without a valid commercial vehicle driving license.
- Deliberate Loss: In case of any loss arising out of an accident, that was a deliberate act.
- Consequential Loss: In case of any loss/damage, which is a result of a certain action by the insured or the third-party. For instance, driving the vehicle during rains, this leads to damage to the engine of the vehicle.
- Wear and Tear: Any damage incurred to the vehicle because of a known cause such as a damaged engine because of oil leakage for a long time.
- State of War: Any damage incurred to the vehicle due to war, civil war, mutiny, any nuclear-related peril, nuclear weapons and so on.
Which are the Companies Offering School Bus Insurance In India?
Below is the list of companies that offer school bus insurance policy in India:
- HDFC ERGO General Insurance
- ICICI Lombard General Insurance
- IFFCO Tokio General Insurance
- Universal Sompo General Insurance
- Reliance General Insurance
- Chola MS General Insurance
- Bharti AXA General Insurance
- Bajaj Allianz General Insurance
- Shriram General Insurance
- Royal Sundaram General Insurance
What are the Factors That Determine School Bus Insurance Cost?
The following are some of the factors, which determine the school bus insurance premium rate:
- The number of trips the school bus undertakes within a year.
- The distance covered by the school bus.
- The driving record and background of the driver.
- Seating capacity of the vehicle.
- The insured declared value of the vehicle.
- Make and model of the vehicle.
- Safety equipment on the school bus.
- Profile and age of the passengers and the vehicle. In case, of a school bus, the major profile will be of the children.
How to Calculate School Bus Insurance Premium?
While buying an insurance policy, you need to invest time. Do not buy a policy in a hurry or in a rush. To get the best deal, it is suggested to buy school bus insurance online.
Before you buy the policy, compare the quotes offered by various school bus insurance providers. Look for the various benefits, features, premium rate and so on to make a wise choice.
Besides, you may also take the help of insurance aggregator website such as Policybazaar.com, wherein you can compare various school bus insurance quotes. Use a motor insurance calculator, to get an idea about how much you are going to pay for a school bus insurance premium.
How to Renew School Bus Insurance?
As important, it is to buy school bus insurance, it is important to renew school bus insurance on time before the policy expires or get lapsed.
School bus insurance renewal process is hassle-free when done online. All you need to do is visit the official website of the school bus insurance company and accordingly complete the renewal formalities.
Cross-check for the information provided. Besides, check for the various covers you have opted for depending upon the ends you may include or exclude while renewing school bus insurance plan.
Make the payment of the school bus insurance premium online and get the school bus insurance policy renewed with few clicks.
What is the Claim Process for School Bus Insurance?
To claim against any damage/ loss against the school bus insurance the first thing to be done is to inform the insurance provider or the agent from whom you bought the school bus insurance policy.
Moreover, you may also register a claim by calling upon the toll-free number or get in touch with customer support.
Besides, file an FIR in the nearest police station of your location. In this digital era, you can also file a claim online and provide all relevant subtleties. The policyholder needs to provide the following while filing school bus insurance claim:
- Date and time of the loss
- Policy number
- The location where the incident took place
- A brief description of the incident
- Name & contact details of the person who filed the claim
What are the Documents Required for Claiming School Bus Insurance?
To claim school bus insurance policy, you will need to provide the following documents:
- Copy of FIR
- Registration Certificate of the Vehicle
- Original Copy of Driving License
- Copy of Aadhar Card
- Fitness Certificate Of the Vehicle
- Duly Completed and Signed Claim Form
- Original Bus Insurance Papers
- Receipt of Tax Payment
- Route permit
What are the Important Aspects to be Considered Before Buying School Bus Insurance?
The following are the important aspects that need to be considered before you buy the school bus insurance, which are:
- Knowledge: Before, you buy a school bus insurance policy, check with your insurance provider or school bus insurance agent if the specific plan is by the regulations in your state. Therefore, purchase school bus insurance from an insurer who specializes in school bus insurance.
- Accessibility: In case of an accident or mishap, it is important for immediate assistance by your insurance provider. Therefore, before you zero down a school bus insurance policy, look for the claim settlement ratio of the provider. Opt for a school bus insurance policy provider, which has round-the-clock customer assistance facility.
- Cost: While buying school bus insurance, the cost of the plan pays an integral role. However, it is always recommended to opt for a plan with adequate coverage that suits your requirements and simply do not opt for a plan because it is offering low premium rates. Therefore, it is advisable to compare school bus insurance quotes and zero down the school bus insurance policy online.
What are the Documents Required to Drive the School Bus?
The following is the list of documents required to drive the school bus:
- Valid Registration Certificate: It is an official document, which states that the vehicle is registered with the Indian government. It is evidence to substantiate the registration of your vehicle.
- Valid Driving License: It is the valid driving permit to drive on the roads of India for anyone of 18 years of age and above who has undergone the driving test by Road Transport Authority.
- Valid Pollution: It is a certificate that is granted to those vehicles that have passed the Pollution Under Control (PUC) test.
- Valid Permit: One needs to possess a valid permit to drive a passenger vehicle.
- Valid Insurance: It is important to have valid motor insurance. In case, of the school bus, buy a school bus insurance policy.
- Valid Fitness: It is a document, which certifies that the vehicle is completely fit to be driven on the roads of India.
Important- Do Not Miss
There are certain directions as per the Supreme Court of India, which are as follows:
- 'School Bus' should be indicated on front and at the backside of the bus.
- The name of the school and contact number should be written on the bus.
- Windows of the school bus should be fitted with horizontal grills and mesh wires.
- An attendant needs to be present on the bus from the school and the bus should not exceed the speed of 40 kph.
- The installation of GPS and CCTV has been made a compulsion due to the rising incidents on the school bus.
- The school buses in India need to have an external colour of golden yellow.
- Two emergency exits are a mandate in all the school buses.
- In case of any negligence or complaint, the parents/guardian should immediately inform the school administration.
Written By: PolicyBazaar - Updated: 02 September 2020