Getting insurance claims settled for autorickshaws damaged in floods in Andhra Pradesh a tough ride

Auto-rickshaw drivers struggle to get insurance claims settled after floods, facing limited coverage and bureaucratic hurdles.

Tens of auto-rickshaws lined up outside the offices of insurance companies on September 12, Thursday, as the drivers parked their vehicles damaged by floods on the company premises to get their claims settled.

However, they are doubtful if they would receive any help from these companies which say that they have never got claims for amounts more than ₹3,000.

“Most of us do not have comprehensive insurance which covers total damages done to vehicles. We have third-party insurances that only cover damage caused to the other person’s vehicle in the events of accidents,” says D. Srinivasa Rao, an autorickshaw driver and president of Pragatisila Auto Karmika Sangham, affiliated to the IFTU.

He said while there are 27,000 autorickshaws in the city limits, they are yet to arrive on the number of those affected by the floods that devastated areas falling under Circle 2 of the city and YSR Colony. Most of these areas are home to autorickshaw drivers.

“Out of 1,000 members of our union alone, both autorickshaw owners and drivers, 500 have been affected by floods. But, there are many such unions,” he said, adding that the cost of repairing an autorickshaw needs at least ₹30,000, depending on the model.

Asked why most autorickshaw drivers do not opt for full insurance coverage, Mr. Srinivasa Rao said: “I have been in the field since 1996. I have never seen a case where full insurance amount was reimbursed. Unlike the owners of cars and other vehicles, those having commercial vehicles do not get more than ₹3,000 from these companies. Why would anyone opt for full insurance coverage by praying a premium of ₹8,500 per year?” He added that only those who bought their autos recently would go for it, while the rest have third-party insurance only.

Besides, he said that one needs to go through many hoops to get their insurance claims settled. “Even if we have full insurance coverage, we cannot get it unless we have fitness certificates for the vehicles. And many do not have it,” he said.