The study in this paper attempts to cover the Car Insurance claims determined by the coverage of insurance both in the form of add-on cover and in the form of comprehensive insurance policy. The insurance procedure covers the gamut of circumstances in the condition of liability without fault in certain cases. The role of claim adjusters on behalf of the Car Company with regard to legal regulations while considering replacement or compensation of punitive damages and accidental recovery claims is significant in respect of giving guarantee of utmost good faith to the insured policyholder, so to keep the service providing and marketing strategy to continue with the best sales ratio as well as with the most demanding status of a specific model or of the company’s brand. In pursuance of the aforementioned market delivery strategy, the Motor Vehicle Insurance Act 1988 entails to vicarious enforcements, experiences and liability with effect to effective and ineffective evidences. Subsequently there are jurisdiction implications for insured or uninsured motorists. This paper will give a descriptive overview that how the pandora box of insurance policies try to create a safeguard for the insured by way of car insurance top-ups? How do the different types of motor insurance policies offer a paradoxical reality to the customers or buyers? How do the idealist buyers later face the provided safeguards with certain loopholes in the form of given strictures through the insurer of the car company? How do the legal representatives of the injured or deceased person seek no fault liability against the insurer and the insured? Or how does the third-party insurance claim increase the possibility of policyholder’s liability if he causes an accident and leaves the injured unattended or unguided? Or in what manner does Motor Vehicle Insurance Act reduce policyholder’s liability if he is not alive after the accident? If, it is so, then how do the legal representative or the claimant of the insured are leveraged to get the benefit of the insurance plan for the repair of the damages or replacement?