How Does The Insurance Company Decide The Cover Amount For The Accessories?
At the time of claim, the amount paid for any damages or theft caused to the accessories will be the invoice amount minus the depreciation of the accessories, as per their age and the depreciation rate mentioned in the policy wordings.
Let’s take an example to understand this better.
Suppose, your premium stereo-system cost is Rs. 10,500. This is the invoice amount. And let’s assume that the rate of depreciation on electrical accessories mentioned in the policy is 15%. Please note that the rate of depreciation may vary from insurer to insurer.
Claim Amount = Invoice Amount - Rate of Depreciation
= Rs. 10,500 - (15% of 10,500)
= Rs. (10,500 - 1,575)
= Rs. 8,925
Hence, Rs. 8,925 is the calculated claim amount you will be receiving in case your insured stereo gets damaged or stolen.
You add various accessories to your car because they not only add more aesthetic value, but also help in maintaining the car and the overall comfort of the passengers. So if you are a person who plans on enhancing your car, it would be a smart move to protect those valuable items by adding an Accessories Cover to your car insurance policy. It provides a shield against any loss or damage to the expensive car devices and lends you peace of mind.