Insurance Coverage Explained April 2012
Content Overview... 3 Travel Insurance... 3 Car Insurance in China... 3 Standard Insurance... 3 Third-Party Liability Insurance... 4 Vehicle Damage or Theft... 4 Scrape... 4 Collision Damage Waiver 2... 4 Car Insurance beyond China... 4 Car Insurance in Thailand... 4 Car Insurance in Laos... 5 Vehicle Deposit... 5 Travel Insurance Coverage Details... 6 Car Insurance Coverage Details... 7 Luxury Driving Experience Limited 2 2010
Overview When you join an On the Road in China driving holiday 1, we provide through our business partners two types of insurance. One is a Travel Insurance that includes 24-hour medical support, evacuation and repatriation services. The other is Car Insurance. The following provides an overview of the insurance coverage. For further details, please also review the company s Booking Conditions 2. Travel Insurance For every Traveller, the Tour price includes a travel insurance that includes coverage against the following: Accidental Death & Permanent Total or Partial Disablement Medical Expenses (Accident & Sickness) Worldwide Assistance Services (including 24-hour emergency hotline assistance, medical evacuation and repatriation, return of mortal returns) Major burns Unless otherwise noted in the Journey Dossier of a journey, all On the Road in China Tours include the same coverage. Please see the appendix called Travel Insurance Coverage Details for more information. Should you find the coverage insufficient for your needs, please purchase additional travel insurance coverage as you see fit. Car Insurance in China The cars we supply to Customers for each journey are rental cars registered and maintained by Avis China. The following explains: The Standard Insurance coverage provided by Ping An Insurance, the carrier that Avis China uses Additional Collision Damage Waiver 2 insurance provided by Avis China Vehicle Deposit required by On the Road in China Standard Insurance The Tour Price includes the following Standard Insurance Coverage for the car: If the driver of the vehicle has been found to be at fault, then In respect of third-party liability: RMB100,000 In respect of damage to property: RMB100,000 In respect of injury to Passenger: RMB10,000 If the driver of the vehicle has been found not to be at fault, then In respect of third-party liability: third-party coverage (that is, coverage provided by the insurance of the at-fault party) 1 On the Road in China is a service provided by Luxury Driving Experience Limited, a Hong Kong-registered company with travel agencylicense 353338. 2 In case there is a discrepancy between this document and the company s Booking Conditions, the latter shall prevail. Luxury Driving Experience Limited 3 2010
In respect of damage to property: third-party coverage (that is, coverage provided by the insurance of the at-fault party) In respect of damage to property: third-party coverage (that is, coverage provided by the insurance of the at-fault party) Third-Party Liability Insurance In China, the mandatory third-party liability insurance is set at RMB 100,000 and it is included as part of the Standard Insurance provided by Ping An Insurance through Avis China. While in Maindland China that is an acceptable coverage, on international standards that is a very low coverage and many of our customers have indicated to us that if available, they would be interested to top-up the coverage. Therefore, through our relationship with Avis, we are proud to offer the option to top-up the third-party liability coverage from RMB 100,000 to RMB 1,000,000 for an additional premium of RMB 500 per journey. Please let us know if you are interested to purchase this optional coverage. Vehicle Damage or Theft The Standard Insurance will pay up to 80% of the value of the car, leaving 20% uncovered by the insurance company. This means that the driver, if found to be at fault, may be liable up to 20% of the value of the car. But please see below the topic on Collision Damage Waiver 2. Scrape The insurance company covers RMB20,000 for scrape (intentional destruction) damage. But please see below the topic on Collision Damage Waiver 2. Collision Damage Waiver 2 Thanks to our relationship with Avis, we are proud to be able to include in the package an insurance product, Collision Damage Waiver 2, unique in China. As a result, the uninsured Vehicle Damage or Theft excess amount is reduced to a maximum of RMB10,000 (which the customer, if found to be at fault, may still be liable for). In the tour price, both the Standard Insurance and the additional Collision Damage Waiver 2 (CDW2) is already included. This means the maximum liability for the customer will be limited to RMB 10,000, even if the customer is found to be at fault. Car Insurance beyond China The insurance policy purchased through Avis China does not provide coverage for cars outside the borders of China. Hence, we, Luxury Driving Experience Limited (LDE) purchase supplemental insurance for these two countries. For a chart of the coverage details, please see below. Car Insurance in Thailand The insurance coverage of our China-registered Avis cars does not extend to foreign countries. Our packages for itineraries that enter Thailand therefore include car insurance coverage purchased separately in Thailand as follows: Third Party Liability BI (Compulsory and Voluntary) for limit Bht. 1,000,000 each person and Bht. 10,000,000 each occurrence. Third Party Liability PD for limit Bht. 2,500,000 each occurrence. Luxury Driving Experience Limited 4 2010
Physical loss and/or damage to the car for the maximum value of Bht. 2,300,000 each car. Passengers injury (PA) and medical expenses for sum insured Bht. 500,000 and Bht. 200,000 each person respectively. Bail Bond for limit Baht 500,000 The following deductibles apply: NIL for third party bodily injury, personal accident, and medical expenses due to accident. Bht. 3,000 each occurrence for third party property damage. Bht. 5,000 each occurrence for physical damage to vehicle. The insurance provider is Kurnia Insurance (Thailand) Co., Ltd. by arrangement of InsureExcellence, insurance brokers in Bangkok, Thailand. Car Insurance in Laos The insurance coverage of our China-registered Avis cars does not extend to foreign countries. Our packages for itineraries that enter Laos therefore include third-party car insurance coverage purchased separately in Laos as follows: Bodily Injury maximum /Accident USD52,650 o In case of Death, maximum / Person or Total Permanent Disablement, maximum / Person USD5,850 o Medical Payment, maximum / Person USD292 Material Damage maximum / Accident USD 5,850 Note that there is at present no coverage of the car itself. The insurance provider is Assurances Generales du Laos (AGL), a subsidiary of Allianz in Germany. They assure us that these amounts represent the highest coverage under the Lao PDR motor insurance tariff. Vehicle Deposit Each Customer who joins an On the Road in China Tour must pay, along with the Tour Price, a Vehicle Deposit. If the customer returns the car without having incurred any damage to the vehicle, the Vehicle Deposit will be returned in full within at most two months from the end of the relevant Tour, but we will strive to return it more quickly, of course. The amount of vehicle deposit depends on the countries entered for a given itinerary. For China-only itineraries, the Vehicle Deposit is RMB10,000. For itineraries including Laos and Thailand, the Vehicle Deposit is RMB50,000. Except in the case of gross negligence, the customer s liability as regards damage to or theft of the cars provided for the journey by the company is limited to these Vehicle Deposit amounts. Luxury Driving Experience Limited 5 2010
Travel Insurance Coverage Details The following table summarises the travel insurance coverage included in the Tour Price. Coverage Maximum Sum Insured Per Insured Person (USD) (A) (B) (C) (D) Accidental Death & Permanent Total or Partial Disablement Loss Events % of Sum Insured Accidental Death 100% Permanent Total Disablement 100% Total and Permanent Loss of Speech and Hearing 100% Loss of sight in both Eyes 100% Loss of two Limbs 100% Loss of one Limb 100% Loss of sight in one Eye 50% Total and Permanent Loss of Lens of one Eye 50% Total and Permanent Loss of Speech 50% Total and Permanent Loss of Hearing in i) both Ears 50% ii) one Ear 15% Note: For travellers under 16 years of age this amount is lowered to: Medical Expenses (Accident & Sickness) Extends to cover Chinese Bonesetters &/or Acupuncturists (HK$2,000 per accident and HK$4,000 per policy aggregate) Reimburses the medical expenses incurred as a result of bodily injury sustained or sickness commenced during a trip. Necessary follow-up medical treatment incurred within 12 months after return to his/her stationed country is also covered. Note: The same coverage is extended to travellers under 16 years of age. ACE Insurance Worldwide Assistance Services Emergency Hotline Assistance Services Emergency Medical Evacuation &/or Repatriation Services Unlimited Return Of Mortal Remains Unlimited Major Burns Covers second or third degree burns. Note: For travellers under 16 years of age this amount is lowered to: 200,000 64,000 100,000 Covered 12,820 6,400 Luxury Driving Experience Limited 6 2010
Car Insurance Coverage Details Damage to Car China Lao Thailand Excess: RMB10,000 ADAC trying to reduce to zero. None. Excess: LAK1,500,000 None. Excess: THB5,000 If ADAC cannot cover, LDE can accept this risk. Third-Party Coverage amount is RMB100,000 Coverage amount is RMB1,000,000 Bodily Injury: Coverage amount at LAK450,000,000 In case of Death: Coverage amount at LAK50,000,000 Material Damage: Coverage amount at LAK50,000,000 Loss of life or Bodily Injury: Coverage amount is THB10,000,000. Damage to Property: Coverage amount is THB2,500,000. Excess: THB3,000 None. Passenger Insurance RMB10,000 Exchange rates as of 28.3.2012 1.00 EUR = 8.40998 CNY 1.00 EUR = 10,609.02 LAK 1.00 EUR = 41.0328 THB Coverage amount to RMB1,000,000 for RMB2,430 Driver Only In case of Death: Coverage amount at LAK18,000,000 Total Permanent Disablement: Coverage amount at LAK36,000,000 Loss of Life, Dismemberment, Permanent Disability: THB500,000 Medical Expense: THB200,000 Bail Bond: THB500,000 Luxury Driving Experience Limited 7 2010