The government has clarified that vehicle damage caused by the use of E20 fuel may not automatically be eligible for insurance claims if the vehicle is not designed or approved to operate on the higher ethanol-blended fuel. The clarification comes amid growing adoption of E20 fuel as part of India’s efforts to reduce dependence on fossil fuels.
Authorities emphasized that vehicle owners should follow manufacturer guidelines regarding fuel compatibility. If damage results from using fuel not recommended for a particular vehicle model, insurers may reject claims based on policy terms and conditions.
The development highlights the importance of consumer awareness as India expands ethanol blending initiatives. Vehicle owners are advised to verify whether their vehicles are E20-compatible before using the fuel to avoid potential mechanical issues and claim disputes.
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