5 Things You Should Know About Motor Insurance Add-Ons

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Getting involved in an accident not only means damage to your vehicle but it also means having to face a tricky financial situation. While a third-party insurance policy is mandatory, it does not cover damage to your vehicle. Moreover, in some cases, even a comprehensive car insurance plan may fail to assist you. The solution to this problem is creating a custom policy based on your requirements through motor insurance add-ons.


When you buy car insurance online, you can choose add on covers to extend the coverage provided. However, with numerous nuances of add-on covers, it is easy to find yourself lost and making the wrong choice. Hence, here are 5 things you should know about motor insurance add-ons to understand them better:


What are they?

As the name suggests, motor insurance add-on covers are optional covers that can be purchased in addition to a basic car insurance policy. You can do so to enhance your policy’s coverage and enjoy exclusive benefits associated with them. Insurance companies these days offer a pool of add-on covers that you can purchase by paying an extra amount.

Importance

While add-on covers for car insurance may feel like an unnecessary expense, they offer a great deal of additional protection to your vehicle. They help enhance your car insurance policy to meet your particular requirements. The key to choosing better add-on covers is to identify your requirements and purchase add-ons that help you get exactly the type of protection that you want for your vehicle.

Conditions

As you may already know, it is mandatory to have a third-party car insurance policy as per The Motor Vehicles Act, 1988. However, a third-party policy is meant to cover liabilities for a third-party and do not cover damage to your vehicle. Hence, add-on covers cannot be bought on a third-party insurance policy. On the other hand, a comprehensive policy offers the liability coverage of a third-party policy in addition to an own damage cover along with access to a long list of add-on covers.


Common car insurance add-ons

·         Zero depreciation
One of the most availed car insurance add-ons, a zero depreciation cover gives you full claim on the value of car following an accident. In simpler words, depreciation costs are not deducted from your claim amount.

·         Road assistance
A road assistance add-on ensures you get the required help if your car breaks down on the road, leaving you stranded. The insurance provider will make sure you get services like:
o   On-site repair
o   Key replacement
o   Lock repair
o   Tire change
o   Fuel filling
o   Car towing

·         No Claim Bonus protection

This add-on allows you to file a claim during the policy period without losing the accumulated no claim bonus.

·         Consumables cover

A consumables cover ensures the replacement of car consumables like nuts, bolts, and others damaged or lost as a result of an accident.

Should you buy add-on covers?

Even though they offer a lot of benefits, add-on covers may not be for everybody. When you buy car insurance online and opt for add-on covers, you also have to pay a higher premium. In many cases, the higher premium proves to be an investment. However, you should also take affordability into account. Moreover, the scenarios covered by these add-ons are highly specific. Hence, you need to be aware of your chances of being in such scenarios. For example, if you are not likely to ever lose your car keys, you need not invest in a key replacement cover.

Comments

  1. Insuranceonline13 January 2021 at 17:06

    Thanks for sharing the blog, seems to be interesting and informative too. Car Insurance Comparison

    ReplyDelete

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