If you drive in India, you must have car insurance. As per regulations, you should at least have a third-party policy when driving your car. Failure to comply with this rule will result in heavy fines and other problems. For this reason, most car owners buy third-party plans just to avoid legal trouble. However, given the dangers of driving, you need more than basic liability coverage or comprehensive insurance. This is where add-ons come in.
Even by purchasing a comprehensive plan, car owners may not be able to purchase the exact coverage they want. This is because you need to buy car insurance online with a specific list of benefits. However, these benefits may not always provide adequate coverage. Differences often emerge when you have to make a claim. At this point, if you don’t like the coverage, it can make the vehicle insurance seem insufficient. Add-ons help you customize the policy to suit your needs. However, it’s important to know what you’re buying before you buy. Here is a quick overview of car insurance add-ons and the advantages they offer.
What are add-ons in car insurance?
Add-ons are additional coverages that you can purchase with your comprehensive car insurance policy. These add-ons offer different types of coverage in addition to the basic coverage of the policy. In return for these additional benefits, insurance companies charge extra premiums. However, for a minimal increase in premiums, these add-ons improve your overall coverage. You can find a list of add-ons on your car insurance provider’s website.
The easiest way to understand add-ons is to compare them to the icing on the cake. The icing is not the main part of the cake, but it can improve the appearance and taste of the cake. You can select your picks from a list of car insurance add-ons. Individually, they do not cost much. However, regardless of your coverage needs and budget, purchasing add-ons of any kind can increase your car insurance premiums. That’s why you should choose carefully which plugin you buy. You should use a motor insurance calculator to see how your choice of add-ons affects your premium. * Standard T&C Apply
A few popular add-ons include:
- Zero depreciation cover
Depreciation is a concept that relates to everything you own. This is best described as the property’s loss of value over time. This also applies to your car. You buy a car at a certain price, which is called the selling price of the car. This is what can be considered the monetary or market value of the car. This value decreases over time. So, if you decide to sell your car, you won’t get the money you paid for it. A low market value also affects policy coverage.
Zero depreciation coverage ensures that the depreciation of your vehicle does not affect your car insurance claim amount. This means you can get the entire claim amount without consideration of the depreciation value. *
- Consumables cover
Your car is not only your property but also your responsibility. To get the most out of your car, you need to keep it in the best possible condition. This means making sure that all components and mechanisms are in good condition. This maintenance includes regular replacement of car parts. These parts are called consumables. These include greases, lubricants, bearings, fuel filters, oil filters, brake fluid, etc. These payments can become very expensive over time and standard comprehensive car insurance does not cover this cost. With consumables coverage, this cost can also be included in your insurance coverage. If you haven’t covered your consumables, you can buy this add-on the next time you go for a vehicle insurance renewal. *
- Road assistance cover
You never know when your car will break down or crash. In such a situation, moving yourself and your vehicle to a safe place is your top priority. However, in some situations, you may be stuck on the side of the road trying to find a way home or another safe place. Roadside assistance coverage provides the help you need in an emergency. If you find yourself in a situation where you need help, you can contact your insurance company immediately. They can help you get services like tire changes, fuel deliveries, towing, and minor repairs. *
* Standard T&C Apply
Insurance is the subject matter of solicitation. For more details on benefits, exclusions, limitations, terms, and conditions, please read the sales brochure/policy wording carefully before concluding a sale.