While car insurance gives you a financial cushion in the event of a mishap, add-ons can further fortify the coverage. There are different types of car insurance add-on covers that you can avail from insurers, by paying a nominal premium. This article focuses on the different types of add-ons that you can avail along with your base policy.
- Zero depreciation cover
The price of your car depreciates the moment you drive it out of the showroom. Each year, the price of your car reduces to a certain degree and when you finally make a claim, your insurer pays you the amount, after having factored in depreciation. This means that you would not get the full coverage amount, once a claim is raised.
However, a zero-depreciation car insurance ensures that your insurer pays the full amount, without factoring in any depreciation.
- Roadside assistance
This is another essential add-on coverage in car insurance. Roadside assistance add-on cover helps you if you are left stranded due to a flat tyre or other nagging issues.
All you need to do is call your insurer and intimate them of the same. Your insurer would arrange help for you to take the vehicle to the nearest garage for servicing, at no extra cost. Today, leading insurers have tie-ups with a network of garages across India where you can service your car, whenever the need arises, without having to shell out anything from your own pocket.
- No Claim Bonus (NCB) protect
NCB or No Claims Bonus is a reward that you get from your insurer for having been a responsible driver and not filing for any damage over the course of a year, starting from the date of policy purchase. A No Claim Bonus increases the sum insured of your policy at no extra cost. Note that car insurance policy is an annual contract that you need to renew every year.
However, remember that a claim made at any given point in time of the year, you’d lose out on the NCB.
That being said, with an NCB protect cover, you don’t lose out on the benefits of a No Claim Bonus. In other words, despite having filed a claim, you’d still be eligible for NCB.
- Car key replacement insurance
This is another essential car insurance add-on cover. Losing the keys to your car can be financially draining. The ill effects are all the more amplified, should you own a premium vehicle. Losing the keys in such a scenario can pinch your pockets hard.
However, with key replacement insurance as an add-on, you’d get reimbursement for the amount that you incurred towards replacing a lost key in the first place. All you need to do is submit the relevant documents.
- Engine protection cover
Engine protection cover is yet another important car insurance add-on that protects the heart of your car – its engine. In a natural calamity such as a flood, the first component to bear the brunt of damages is the engine. Most importantly, repairing a damaged engine can be a drain on your finances.
This is where an engine protection cover comes to your rescue. This add-on coverage compensates you for the expenses incurred towards repairing a damaged engine. However, this entails a rider. For instance, in case your car was already submerged, and you still tried the ignition, chances are that the insurer would understand what transpired and reject your claim.
Things to watch out for
Just like buying a car insurance policy warrants attention to exclusions, it’s vital that you watch out for them while availing car insurance add-ons as well. Go through the policy wording carefully to make the right choice.