Company: ZCARW
Filing Date: 2025-11-14
Form Type: 10-Q
Source: 0001213900-25-110391
Chunk: 913

Company: Zoomcar Holdings, Inc.
Filing Date: 2025-11-14
Form: 10-Q
Item: Part II, Item 1
Chunk 913
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 part of a booking, however, the amount available to us from Guest trip protection fees is not sufficient
to offset the amounts requested to cover the cost of all damages claims, nor do we attempt to offset all such requests to cover vehicle
damage. As a result, we often remain at risk of residual claims that we may have to absorb in the absence of third-party insurance. For
further information regarding the trip protection fees and related matters, please review information contained in this 10-Q under the
heading “Item 1 Legal Proceedings - Other Matters.”

Further, we currently do
not carry any insurance to protect against third-party damage claims tied to death, personal injury, or Guest or Host theft or other losses,
or third-party property damage. Although Hosts may insure their own vehicles to varying extents and are required to do so by law or opt
for trip insurance covers offered by our insurance partner in certain selective locations and for limited categories of host vehicle damages
we do not carry out independent verification of Host insurance coverage, nor does Host vehicle insurance coverage, to the extent it exists,
insulate us, in full or in part, from all types of damages claims or claims for third-party indemnification associated with damages. We
may therefore be subject to claims of significant liability based on any of the foregoing or based on other events or circumstances which
occur during a booking or relate in some other manner to our platform or our business. We do not maintain balance sheet reserves to cover
costs of defending, disputing, adjudicating, satisfying, or settling any such claims if they are asserted against us and we may not be
able to succeed in any such actions, should they materialize and be determined to result in liability to us. While we are currently in
the process of identifying adequate and feasible insurance coverage for our business, there can be no guarantee that we will be able to
obtain or expand the insurance coverage in the future, and even if we are able to obtain additional coverage, we may not carry sufficient
insurance coverage to satisfy potential claims. As our business continues to grow, incidences of such claims may also increase and, unless
we obtain insurance coverage for such matters, we may choose or be required to absorb larger parts of such uninsured claims to avoid becoming
subject to legal proceedings that could be resolved against us, which could lead to business losses and adversely affect our business,
financial conditions and results of operations. Should uninsured losses occur, they could adversely affect our business, results of