Understanding The Add-Ons In Insurance

Just like the life and medical insurance policies protecting your life, car insurance add-on covers provide extra protection to the insured vehicle. Your car can be affected by various factors that are unpredictable and not covered under the comprehensive car insurance. Some of them are natural calamities like flood, cyclone, human-made disasters like riots, burglary, fire, bad road quality, rash driving by other drivers, crimes, etc. To get full protection from all kinds of mishaps and damage, the add-on covers come to your help. They are the essential tools to extend the protection and coverage of your car. 

What are add-ons, and why do I need them?

Car insurance add-on covers add extra value to your car insurance policy and provide all-round protection to your car in exchange for a little additional premium. 

Basic car insurance is of two types: Third-Party Cover and Comprehensive Cover. The third-party cover covers only the damage caused to a third party and their property. Whereas under the comprehensive cover, you get coverage for loss or damage caused to your vehicle along with third-party cover benefits. Still, there are many other unpredictable risks that your car can face and they are not covered under these two insurance covers. For this, you need to buy add-ons. 

What risks are covered under add-ons?

Insurance companies these days provide a plethora of add-on covers that prove to be extremely essential in times of untimely damage and mishap. The add-ons like Zero Depreciation Cover, Engine Protect Cover, Roadside Assistance Cover, No Claim Bonus Protect Cover, Consumables Cover, etc. are some of the most useful covers offered. You can look for them while buying your car insurance online and select as suited best. 

The Zero Depreciation Cover is highly recommended for new cars. It entitles the insured to the entire cost of repair of car parts at the time of making a claim. If your vehicle meets with an accident during repairs, the insurer will bear the cost of depreciation if you are covered under this add-on.

The Engine Protect Cover protects the heart of your car, i.e., the engine. It is also the most expensive part to get repaired. The comprehensive insurance cover does not provide coverage for the engine. It covers engine damage caused by waterlogging, hydrostatic lock expenses, leakage of lubricating oil, gearbox damage, etc. and not engine damage caused by accident. 

The Roadside Assistance Cover helps provide emergency services like towing, refueling, tyre change, arranging a mechanic, taking the car to a garage, etc. 

The No Claim Bonus Cover comes handy when the insured does not make any claim in a year. Under this cover, in such a situation, the insured can get a discount on the next renewal premium that she pays. 

The Consumables Cover compensates the total expense of repair by paying for consumables like nuts, bolts, brake fluid, engine oil, coolants, etc.