IMT 23: cover for lamps, tyres, bumpers & paintwork — and the 50% shareIMT 23: लैम्प, टायर, बम्पर और पेंट का कवर — और 50% हिस्सा

What IMT 23 actually covers

The India Motor Tariff is the rulebook laid down by the Tariff Advisory Committee (TAC) under Part II-B of the Insurance Act, 1938. For commercial vehicles, IMT 21 (Special Exclusions and Compulsory Deductible) says that, except in a total loss, the insurer is not liable for loss of or damage to lamps, tyres, tubes, mudguards, bonnet/side parts, bumpers and paintwork. These parts take the brunt of ordinary road wear, so they are excluded by default.

IMT 23 is the paid add-on that brings them back. Its exact tariff title is “Cover for lamps, tyres/tubes, mudguards, bonnet/side parts, bumpers, headlights and paintwork of damaged portion only (For all Commercial Vehicles).” On payment of an additional premium, loss of or damage (excluding theft) to those items — for the damaged portion only — is covered, provided the vehicle is also damaged at the same time.

The three conditions (a), (b), (c)

IMT 23 gives the cover “subject to” three conditions, written into the tariff:

1. (a) Depreciation applies. The covered parts — and the paintwork of the damaged portion — are depreciated as per the schedule in Section 1 of the policy.
2. (b) 50% insured's share. In addition to depreciation, the insured bears 50% of the assessed loss on each and every claim under this endorsement.
3. (c) No other deductible. Apart from (a) and (b), no further deductible applies to a claim payable under IMT 23.

The depreciation schedule (GR.9)

Depreciation under condition (a) follows GR.9 of the tariff — the same schedule used for every partial-loss claim:

Paintwork of the damaged portion is depreciated as the policy's Section 1 schedule provides; in practice many insurers apply a paint-material depreciation (the worked example below uses 12.5%, as recorded on that survey). Confirm the rate from the operative policy.

Worked calculation (real figures)

Take a real commercial-vehicle final survey. The main repair is assessed and depreciated normally. The IMT 23 items are pulled into their own schedule, depreciated, and then the 50% share is applied:

So the insurer's liability for the IMT 23 items is ₹ 12,664.98 — exactly half of the ₹ 25,329.95 after-depreciation value. That figure is then added to the main repair (parts net + labour + towing, less excess and salvage) to reach the amount payable.

Case study: when IMT 23 pays nothing

The most important words in IMT 23 are easy to miss. The covered parts are paid only “provided the vehicle is also damaged at the same time.” In other words, if an accident damages only the IMT 23 items — a bumper, a lamp, some paint — and nothing else on the vehicle, the endorsement does not respond. That one line decides a lot of claims.

For a policyholder this is the single most important thing to know: a standalone bumper scratch or a paint touch-up on a commercial vehicle is not a claim under IMT 23. For a surveyor, it is a check to make every time — confirm there is genuine accompanying damage before admitting the IMT 23 items; without it, those items are not payable even with the endorsement in force.

How different insurers deduct it

Since motor own-damage pricing was de-tariffed in 2007, each insurer files its own motor product with IRDAI. The IMT 23 wording is the common base, but the detail — paint-depreciation rate, and how a zero-depreciation / nil-dep add-on interacts with the 50% share — follows each company's filed product. Broadly:

The right answer is always the operative policy and the insurer's filed product wording. Record which treatment you applied so the settlement is auditable.

IMT 23 vs zero-depreciation — don't confuse them