Unraveling vehicle insurance add-ons for Indian drivers
What's the story
In India, vehicle insurance is essential for every driver, not only for legal compliance but also for financial security in case of accidents or theft.
However, a basic insurance policy might not meet all your needs. This is where add-ons become crucial.
They provide enhanced coverage for a small additional premium, enabling drivers to make well-informed choices and secure comprehensive protection for their vehicles.
Zero depreciation
Zero depreciation cover explained
One of the most popular add-ons, zero depreciation cover ensures that in case of a claim, you receive the full cost of replacing car parts without any depreciation deduction.
Normally, insurers deduct a certain percentage for depreciation, reducing the claim amount.
For vehicles less than five years old, this add-on can be particularly beneficial as it leads to higher claim payouts.
Engine protection
Engine protection cover unpacked
The engine is the heart of your vehicle, and repairing it can be costly.
The engine protection cover comes to your rescue if your car's engine gets damaged due to waterlogging or oil leakage, situations not covered under a standard policy.
It is especially recommended for people living in flood-prone areas or those owning high-end cars where engine repairs can be exorbitantly expensive.
Roadside assistance
Roadside assistance feature
Imagine being stranded because of a flat tire or an empty fuel tank; this is when roadside assistance becomes invaluable.
It includes services like towing, battery jump-start, flat tire change, and even emergency fuel delivery.
Available 24/7, roadside assistance ensures that help is just a phone call away whenever you face such inconveniences on the road.
RTI
Return to Invoice Cover demystified
If your vehicle is stolen or irreparably damaged, the Return to Invoice (RTI) cover compensates you the on-road price listed on its invoice, not its depreciated market value.
This add-on narrows the gap between the standard policy's Insured Declared Value (IDV) and your car's actual purchase price.
It enhances insurance coverage effectively without a significant cost increase.