How is car insurance compensated for damage caused by storms and floods?

Conditions and procedures for insurance compensation when the vehicle is damaged by natural disasters

In order for your car to be insured in case of damage caused by storms, floods or other natural disasters, it is essential that the car has voluntary physical damage insurance (also known as hull insurance). This type of insurance covers physical damage to the car that is not caused by human error.

The value and compensation for damages will be determined based on the terms signed in the insurance contract between the car owner and the insurance company. If the contract clearly states that damage caused by natural disasters is compensated and does not fall under the exclusions, the car owner has the right to request the insurance company to pay.

When a vehicle breaks down due to natural disasters or storms, the first and most important thing the vehicle owner needs to do is immediately notify the insurance company. This allows insurance specialists to conduct an on-site assessment and accurately determine the cause and extent of the damage. This is the basis for the insurance to fully cover 100% of the repair costs.

Insurance companies are also responsible for coordinating with customers to collect accurate and complete compensation records in accordance with the law.

Compensation amounts for each natural disaster incident may vary:

Direct damage caused by natural disasters (electric poles, trees, billboards falling on the vehicle, vehicle being flooded): If the vehicle has purchased voluntary insurance and the vehicle owner immediately notifies the insurer to assess the scene when the accident occurs, the customer will be compensated 100% of the damage value.

However, if the customer takes the car to the garage or service workshop without notifying the insurance company, the compensation level may be reduced to only about 70-80%. This is to limit the risk for the insurance company when it is not possible to verify the exact cause and extent of the initial damage.

Hydrostatically locked vehicle (water entering the engine): The vehicle owner will be compensated 70-80% of the repair cost. This is a special case due to the complexity and often very high repair costs.

Electric vehicles with damaged batteries due to flooding: Insurance for batteries and other important parts of electric vehicles damaged by flooding or storms will be applied similarly to flood insurance for vehicles using internal combustion engines. Accordingly, vehicle owners can still claim compensation at a rate of 70-80%, depending on the specific terms of the insurance contract.

Understanding the terms and procedures of insurance will help car owners maximize their benefits in case their car is damaged by natural disasters.