Add-On Covers Available for Car Insurance Policies

Jan 9, 2024 Reading time : 3 min

Standard comprehensive insurance may not cover all your requirements. Some factors to consider are, how much protection is required and what can add value to the car. Insurance companies provide additional covers that policyholders can choose if they want an added benefit.

This can be done by paying an additional amount. Remember to include add-ons only if absolutely essential. Read further to know more about some of the top add-on covers for car insurance policies. 

Zero Depreciation Cover

A car begins to depreciate from the day that it is bought. Mostly when claims are made, the policyholder is expected to pay for the depreciation and replacement of new spare parts after an accident. If one opts for a Zero Depreciation cover which is also known as Nil Depreciation or Bumper to Bumper cover, the insurance company will provide cover including the depreciation costs 

Engine Protection Cover

In a standard car insurance policy, only damages caused during the accident are covered and not consequential damages. Sometimes engines can suffer consequential damages after an accident. This could be due to leakage of lubricating oil or water entering the engine due to natural calamities and an engine protection add-on will help in protecting damages caused to the engine

Roadside Assistance Cover

Imagine you take your car for a drive and there is an unexpected breakdown. It will be difficult to find a mechanic who can help in such situations. One can buy this add-on to avail of roadside assistance like getting wheels fixed, towing, taxi service, etc. Remember that roadside assistance is provided to a policyholder who is stranded within a radius of 500km from the middle of the city

Key Replacement Cover

High-end and technologically advanced car keys can be very expensive. It can cost a bomb to replace even regular car keys. The Key Replacement/Protection Cover will protect one from the cost of replacing car keys if it is lost, stolen, or damaged

Consumables Cover

When a claim is raised consumables like oil, gearbox, screws, lubricants, distilled water, filter, nuts, and bolts, etc., are not covered and the policyholder would have to pay extra for these. By including this add-on cover, one can reduce the cash outflow from their pocket while settling the car service bill

Return to Invoice Cover

If a car is damaged beyond repair, the insurance company will refund the complete amount mentioned in the invoice which includes the car registration cost and the road tax as well.

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    Personal Accident Cover

    If a person owns Third-Party insurance, the personal accident is not covered. A personal accident cover is mandatory while driving a car in India. In case of injury or death of the owner-driver, the insurance company will pay the compensation amount. In some insurance companies, the compensation for death is 100%

    Personal Accident Cover for Passengers

    If many people are traveling in a car and an unfortunate accident occurs, the damage will be high. This add-on will help one get compensation for other passengers who suffer in the accident. This will ensure that all passengers are financially protected. 

    Different insurance companies provide various add-on covers. Ask your insurance company for options and select add-on covers that are necessary. To know more about add-on covers for car insurance, click here!

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      Alex Jones
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      Alex Jones