Motor Insurance Checklist
Automobile insurance is a type of insurance policy that provides financial protection against damage or loss to a vehicle due to accidents, theft, fire, or natural disasters. The policy covers the cost of repairing or replacing the vehicle, as well as liability costs incurred as a result of the accident. Automobile insurance can be tailored to individual needs and preferences, with options such as comprehensive, liability and accident coverage.
01
Comprehensive Insurance
Comprehensive car insurance is a fully comprehensive insurance that covers both third party and own damage. In addition, policyholders can add some additional insurance to expand coverage. It is the most expensive insurance due to its extensive coverage, but still the most recommended.
02
Own Damage Insurance
Comprehensive insurance (OD ) provides compensation for comprehensive damage caused to the insured vehicle by an unforeseen event such as an accident, earthquake, theft, riot, fire, etc. This insurance can only be taken out if you already have a third party car insurance.
03
Liability insurance
It is designed to insure liability for bodily injury and property damage claims made against them if they are responsible for an auto accident. A motor vehicle liability insurance policy ensures that you are financially protected in the event of an unforeseen event. Under the Motor Vehicle Act, liability insurance is a legal requirement.
Zero-Depreciation Car Insurance
Also called ‘Nil Depreciation’ coverage or ‘Bumper-to-Bumper’ coverage. A supplemental insurance policy that provides you with full coverage for all body parts of the vehicle except tyres and batteries.
The insurer covers the entire cost of the body parts, without taking into account the annual depreciation of these parts.
Claim Settlement with Zero-Depreciation Car Policy
With the nil depreciation add-on, you pay only the standard deductible, which is 1000 rupees for individual claims. The insurer covers the remaining cost of repairing the damaged parts. Zero Deb claims are allowed 2 times per year.
What are not covered in Zero-Depreciation Car Policy ?
Zero Debt does not cover mechanical or electrical faults, engine damage and replacement of tyres and tubes.
Engine Protection Cover
Engine protect in motor insurance covers the engine, differential and transmission parts of your vehicle against damage caused by consequential loss as a result of water ingress/oil leakage.
In simple terms, damage to the vehicle’s engine and its components caused by oil leakage or water ingress is covered by engine protect insurance.
Engine Protect Cover’s Coverage
- Damage to the engine parts due to water penetration.
- Damage caused to the engine and its parts by leaking lubricating oil.
- Physical damage to the parts of the differential or the transmission.
- Engine failure due to the attempt to start a wet engine.
Not Covered Under Engine Protect Add-On Cover
- If your insured car is damaged by a post-accident event, such as an oil spill, your insurer will probably not pay to repair the engine.
- Your respective insurer will not offer compensation for damage if your insured car was damaged while starting in water.
Cost of Consumables
Consumables are goods that have a specific use for a limited period of time. Once these items are consumed, they may not be used in the future. These items must be replaced periodically due to wear and tear.
Your comprehensive car insurance would not cover the cost of consumables. Therefore, you would have to pay out of pocket for the cost of consumable replacement in the event of a claim. However, a consumable coverage is a supplemental insurance policy that pays for the cost of consumables when they need to be replaced or restocked due to an accident.
What is Not Covered?
- Mechanical or Electrical Breakdown
- Delay in informing the insurance company
- Wear and Tear of Car’s Component
- Driving without any active or valid driving license
- Driving the car after consuming drugs, alcohol, or any other similar substance
What it cover’s?
Engine oil, Gearbox oil, Nuts and bolts, Grease, Washers, Oil Filters, Lubricants, Power steering oil, AC gas oil, radiator coolant and all similar items except fuel.
Return Invoice Price
Return to Invoice is a coverage that is part of the comprehensive car insurance. With this add-on, you can receive compensation equal to the invoice value of the vehicle, which is the original value of the vehicle when it was purchased. The claim exists if a car is stolen or beyond repair. The invoice price includes the vehicle’s sale price as well as registration fees and road tax.
Return to invoice add-on, helps you close the gap between the IDV of your vehicle and the invoice value. So if the invoice value of your vehicle is ₹9,00,000. In case of theft or total loss, you will get coverage equal to the invoice value. Regardless of what the current IDV is.
When RTI is offered?
This can only be claimed by vehicles that are new or less than five years old.
Advantages of a Return to Invoice Cover
Your insurer will compensate your car according to the invoice value, without taking into account the depreciation and offsetting the vehicle tax, if you buy your new vehicle again.
Key & Lock Replacement
Key Replacement Coverage is a rider that covers the cost of replacing the Insured Vehicle’s key if the key is lost, damaged or stolen. Lost key supplemental insurance also covers the cost of repairing the lock if the car lock is damaged.
Losing car keys can be annoying and, frankly, a little embarrassing. It can also be expensive, especially if you have smart keys or transponder keys that require programming to replace. That’s why many car insurance companies now offer lost car key insurance as an additional benefit.
What is Covered ?
- Lost key
- Stolen key
- Damaged key
- Damaged lockset
Benefits of Key Replacement Add-On Cover
- Replacement of stolen or damaged car key/set or lock.
- Replacement of the key in case of burglary or theft and replacement of the lock in case of damage or theft.
- The policyholder’s entitlement to the no-claims bonus is not affected when the policy is renewed.
loss of personal belongings
Comprehensive insurance and the policy OD provide financial protection only for the stolen car, but not for the personal belongings that were in the car, which means that the theft of belongings that were in the car is a loss for the policyholder and he/she must pay for them out of his/her own pocket. The policyholder can have his/her belongings covered by additional insurance for an additional premium.
What are covered in add-on?
- Insurance coverage for the loss of personal items such as laptop, smartphone, etc.
- Coverage for the theft of personal belongings
The above damages are covered only if the items are kept in the car.
What are not covered in add-on?
- If the items are lost or stolen due to negligence
- The incident of theft or damage is not reported to the police in time
- The items were left in the car overnight
- Loss of borrowed property
- Loss of data stored in electronic form
- Absence of documentation, such as an invoice for the lost item
- Loss of personal items if the doors or windows of the vehicle are not locked
Additional Covers
Paid Driver Cover
Liability insurance for a paid driver means that if you have hired a driver to drive your vehicle and the driver suffers an accident while driving the vehicle, the insurance company will provide compensation for their injuries/loss of life.
Unnamed Passenger PA Cover
By paying an additional premium, the insurer agrees to pay compensation for personal injuries suffered by the passenger other than you and/or the paid driver. to pay compensation for their injury/loss of life.
Owner Driver PA Cover
The compulsory PA policy of car insurance is issued in the name of the vehicle owner. He is entitled to the insurance coverage only if he is in possession of a valid driver’s license. pay compensation for his injury/loss of life.
| Add-on | Who Is Covered | Which Policy | Premium | Compensation Limit |
| Personal Accident Cover | Owner-driver | Comprehensive car insurance or Compulsory Cover in Third Party | Mostly around Rs. 350 | Rs. 15 lakhs |
| Personal Accident Cover for Paid driver | Paid drivers | Optional cover in Comprehensive car insurance or Third Party | Mostly around Rs. 50 | As per Workmen Compensation Act. |
| Personal Accident cover for Unnamed Passengers | Anyone who is riding in the car along with the driver | Optional cover in Comprehensive car insurance or Third Party | Rs. 50 Rs.100 | One lakh SI per passenger. Two lakh SI per passenger. |
Let’s find you
the Best Motor Insurance
Discover Four Wheeler, Two Wheeler, And Commercial vehicle Insurance at compatible price.