Motor Insurance Add-Ons

You might be aware of the variety of add-ons you can purchase along with a smartphone. Like, a screen guard to protect the mobile’s screen, or a back cover to protect the phone from dents and scratches if you drop it accidentally, etc.

Did you know, similar to this, you can also purchase add-ons with your motor insurance policy? Motor insurance plans offer a variety of add-ons that you can buy at a certain extra cost. These add-ons will provide extra coverage to the insured vehicle.

In this article, let’s take a look at the various add-ons you can opt for with a comprehensive motor insurance plan.

Types Of Add-ons Covers You Can Buy With A Motor insurance Policy

Please note, you can opt for add-ons only with a standalone or comprehensive motor insurance policy, not with a third-party insurance policy - because only damages caused to third party or third party property are covered by a third-party insurance plan.

Zero Depreciation Cover

Vehicles undergo depreciation and lose their value over time. So, when you make a claim under your motor insurance policy, the insurance company will deduct the depreciation value of the vehicle and then pay the claim. If you opt for the zero-depreciation add-on, the insurance company will not factor in depreciation while paying the claim amount under your motor insurance policy, which will result in you getting a higher claim amount. In most cases, your deductions are minimized to mandatory deductible in the policy.

Please note,the zero depreciation add-on is usually available only for vehicles up to 5 years old. Also, while some insurers allow you to claim unlimited times under this add-on cover, other insurers put a cap on the frequency of claims - for instance, many insurers allow you to claim only twice.

Engine Protector Cover

The engine being the heart of the vehicle, is the most expensive part of the vehicle. Any damage to the engine can cost dearly. Now, any mechanical damage to the vehicle’s engine is not covered under a comprehensive motor insurance policy. The engine protector add-on will cover any damages or loss caused to the engine of the vehicle - because of issues like water logging, oil spill, electrical or mechanical breakdown of the engine, etc. It may will also provide coverage for the cost of the replacement of the engine or its parts.

Please note, the engine protector cover is usually available for vehicles that are up to 5 years old.

No Claim Bonus Protection Cover

Insurance companies offer you a discount on the premium amount if you don’t make a claim under the motor insurance policy in the previous policy year. You can earn a discount of around 20% to 50% in 5 years if there are no claims made.

However, as soon as a claim is made under a policy, the No claim bonus resets to 0% irrespective of the amount paid for the claim. A No claim bonus protector add-on helps in preventing this. It keeps the No claim bonus in your policy intact despite you raising a claim in the previous policy year.

Example -Say Ishaan buys a policy in 2017. Ishaan doesn’t make a claim under his policy for 5 years consecutively and hence, gets a specific discount on the premium amount every year. He gets a discount of 20% in the first year, 25% in the second year, 35% in the third year, and so on. Now, in 2022, Ishaan makes a claim under the policy. In this case, the discounts he received on the premium amount over the last 5 years will reset to 0%. If he had opted for the No claim bonus protection add-on with his base motor insurance policy, he would not have lost the discounts despite making a claim.

Roadside Assistance Cover

With the roadside assistance cover, you can get on-road assistance in case your vehicle breaks down in the middle of the road. You can contact the toll-free of the insurance company and arrange for roadside assistance.

services available under roadside assistance include -

Changing a flat tyre.

Minor on-site repair.

Car towing.

Fuel delivery.

Arrangement of replacement of car keys

Battery jump-start

Return To Invoice Cover

As soon as a car is sold and leaves the showroom, its value depreciates every year by a certain percentage. Insurance company covers your car for the current market value of the vehicle (called IDV). This means in case of any irreparable loss or theft damage to of the vehicle, you will be paid the depreciated value, and not get the invoice value of the car. If you have to buy a brand new car of the same model again, you will have to bear the balance amount of the cost on your own.

Purchasing the return to invoice cover will negate this issue. In case of any total loss, constructive total loss, or theft of the car, the return to invoice add-on allows you to get the invoice value of the car, i.e., the original value of the car when you bought it., so that you can go and replace the car with a brand new one.

Please note, the return to invoice cover is usually will be available only for those cars that are 3 to 5 years old.

Personal Accident Cover

personal accident insurance cover will offer financial protection against death, permanent total, and permanent partial disability caused as a result of an accident.

Example - Akash has opted for a personal accident cover with his base motor insurance policy. A few months later, he meets with a major accident and dies on the spot. In this case, the insurance company will pay a fixed sum of money as per the policy to Akash’s family.

Personal Accident Cover For Passengers

This add-on will provide coverage for any medical expenses incurred for the passengers in the vehicle in case of an accident. Generally, the cost of hospital allowance, medical expenses, and medical transport assistance is covered by the passenger add-on.

Example - Arvind and his wife are travelling in their car and suddenly get into an accident. While Arvind does not suffer any major wounds, his wife happens to lose her hearing. In this case, all medical expenses that will have to be incurred to treat his wife will be covered by the passenger add-on cover. The compensation will be paid to Arvind’s wife as per the limit mentioned in the policy.

Consumables Cover

A comprehensive motor insurance policy does not cover the cost of consumables like nuts-bolts, grease, engine oil, brake oil, washers, screws, bearing, oil filter, etc. If you buy the consumable cover as an add-on with your base motor insurance plan, the cost of these consumables will be borne by the insurance company.

Please note,the consumable cover is available only for cars up to 5 years of age.

Tyre Protect Cover

Generally, damages caused to the tyres of the vehicle, because of any reason other than an accident, are not covered by a comprehensive motor insurance policy. All such costs for the repair or replacement of the tyres will have to be borne by you. With the tyre protector add-on, these expenses will be paid by the insurance company.

Example - Anjali’s car breaks down in the middle of the road and has to be towed to the nearest garage. While the car is being towed, her car’s left tyre is damaged. The tyre protector add-on, in this case, will take care of the expenses Anjali will have to incur to replace the tyre.

Key Replacement Cover

The key-replacement add-on offers coverage for the cost of replacement of the vehicle key in case it is lost, damaged, or stolen. The expenses incurred for repairing the lock set are also covered by this add-on.

Loss Of Personal Belonging Cover

This add-on will provide compensation for -

Loss of personal items stolen from the vehicle or with the vehicle.

Damage caused to the personal belongings in the vehicle.

Example - Ritik’s car meets with a major accident. Besides injuring himself, Ritik’s laptop and phone also get damaged badly. In such a case, the personal belonging add-on cover will take care of all the expenses that will go towards repairing Ritik’s laptop and phone.

Outstation Emergency Cover

As the name suggests, this add-on will offer financial protection in emergency situations like accidents or vehicle breakdown if you’re travelling. If your vehicle is outside a 100 km radius of your place of residence, this add-on will pay a fixed amount of money mentioned in the policy document. And in case the vehicle repair time exceeds 12 hours, this add-on will offer an additional amount of Rs. 2500.


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So, these are some add-ons you can purchase with a motor insurance policy. Based on your requirements, you can opt for these add-ons at the time of purchasing the motor insurance plan. Please note, there can be other types of add-ons available, depending on the insurance company and the plan you choose. Ensure you read all the relevant policy documents so you’re well-informed before making the purchase!

Questions about Car Insurance

Have Questions about Car Insurance?

Insurance would be much easier for you after browsing the list below.

The minimum coverage you are required to have depends on the state you live in. However, most states require at least liability insurance.

This varies based on a number of factors, including your driving record, the type of car you drive, and the amount of coverage you choose

Liability insurance covers other people’s injury and damage to their property in an accident.

If you don't have car insurance and are involved in an accident, you could be held liable for any damages caused. You could also face fines and penalties as per your state law.

The best way to save money on car insurance is to explore online and compare rates from different insurers. You can also choose to increase your deductible or opt for lower coverage levels.

Collision insurance covers damages to your car in the event of an accident. It typically costs more than liability insurance, but it can be worth it if you have a newer car.

Comprehensive insurance covers damages to your car that are incurred due to activities like theft or vandalism and not by accidents. It typically costs more than collision insurance, but it can be worth it if you live in a high-crime area.

Rental car coverage is not always necessary, but it can be helpful if you plan to rent a car often. This coverage can help you to pay for any damages that occur to the rental car.

Uninsured motorist coverage protects you in the event that you are involved in an accident with a driver who does not have insurance. Underinsured motorist coverage protects you in the event that the other driver does have insurance, but their policy does not cover all of the damages.

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