What to Expect from Your Car Insurance When It’s Damaged by Trains

On the afternoon of June 5th, a red Hyundai Creta suffered extensive damage to its front end after being struck by a train, which pushed it a considerable distance. The car, bearing Hanoi license plates, had been parked dangerously close to the train tracks, and the owner was not present at the time of the collision and thus unable to move it out of harm’s way.

Speaking to Tri Thức – Znews, insurance consultant Nguyen Vinh expressed doubt over the likelihood of the car owner receiving compensation in this instance. He stated that while accidents of this nature may be covered by comprehensive car insurance, the fact that the car was parked in violation of regulations significantly reduces the chances of a successful claim.

Vinh elaborated that most car hull insurance contracts include exclusions, specifically mentioning that “vehicles stopped or parked in prohibited areas as stipulated by law, and subsequently damaged (regardless of the cause), will not be eligible for compensation from the insurance company.”

This aligns with Clause 4, Article 18 of the 2008 Law on Road Traffic, which prohibits parking within the safety zone of railway lines. Additionally, according to Article 9 of Decree 56 issued in 2018, the protected area on both sides of a railway with an undisturbed roadbed is defined as extending 5.4 meters from the outer edge of the outermost rail for urban railways, 7.5 meters for high-speed railways, and 5.6 meters for other railways.

Given that the Hyundai Creta was parked within this protected area, the insurance company is highly unlikely to provide compensation for the damage incurred. This serves as a stark reminder of the importance of adhering to parking regulations to ensure both safety and financial protection in the event of unforeseen circumstances.