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Radhika Menon

Mumbai , Dec. 13

FIVE-and-a half months since floods struck Mumbai and there are still some 570 cars yet to get repaired.

The tally of damaged cars awaiting attention is 300 Honda, 173 Mercedes and 100 Toyota vehicles.

Mr Mahendra Dhruva, National President, Institute of Insurance Surveyors and Adjusters, said the long wait meant more deterioration for the cars. "We are working with the auto companies to come up with an exchange offer because the situation is going from bad to worse", he said.

Surveyors say that with the passing time, repair costs have zoomed. "For a Honda City car that currently costs around Rs 7-8.5 lakh, some of the completely damaged cars could incur repair costs up to Rs 3 lakh," said Mr Dhruva.

Ichiban Honda had announced a compensation of Rs 500 and Rs 1,000 per day to City and Accord owners respectively. But some of the owners were unaware of the offer. "My car was taken to the dealership only on September 3 because of a waiting list for just parking the car. Why is the car manufacturer selling more cars when they cannot service existing customers?" asked a Honda City car owner.

Insurance companies, on the other hand, have been settling claims as per the agreed payment structure — cars that were submerged up to the seat, up to the dashboard or fully submerged. "Most of the Maruti and Hyundai vehicles, which were the largest in number, have been repaired. But in the case of Honda cars, we are receiving frequent calls from hassled customers who are doing without their cars since July 26," said an official at a private general insurance company.

Insurers say that some of the auto manufacturers have not made efforts to import electronic spare parts. "Currently, there is a demand-supply mismatch in terms of manpower and spare parts. Dealerships have also been trying to create a monopoly in terms of supplying spare parts so that they do not lose their customers," said another insurance company official.

More Stories on : General Insurance | Natural Calamities

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