Add-on covers in two-wheeler and car insurance are a type of extension purchased over the basic comprehensive motor insurance policy to strengthen it. It should be noted with concern that even the basic comprehensive insurance plans for two- or four-wheelers have quite some limitations.
An add-on cover, thus, provides customized protection that is offered upon agreement with the motor insurance providers.
Different types of add-on covers that you can choose from
Zero Depreciation
Zero Depreciation/Depreciation Shield is the cover provided against deductions of wear and tear in the case of an insurance claim. Through this, the net value of the claimed amount is higher as compared to the deducted amount for depreciation. Nonetheless, buying a Zero Depreciation add-on cover for you car insurance policy gets you full compensation for the cost of repair and replacement from the insurer in the case of an accident. Note that tyres and batteries are not covered under the Zero Depreciation cover.
24*7 Spot Assistance
This cover provides quick response in terms of help in the case of a mechanical or technical breakdown or even an accident. Moreover, it is a package that contains a variety of services that you receive from the site of the event.
Following are some of its features:
- You get minor repairs of the covered vehicle on the site
- Assistance in battery jump-starting
- Emergency fuel delivery
- Emptying the fuel tank and reservation of the fuel safely when the need be
- Tyre refitting
- Towing the vehicle from the site to the garage.
Engine Protection cover
This is a customized protection plan for the engine. This covers a person from the complete failure of the gearbox or the engine that may result from natural causes.
Its extent in coverage includes
- The gearbox and the engine are repaired when need be and replaced when damaged beyond repair
- Labour costs for repair and maintenance
- Engine maintaining charges
- Replacement of minor parts
Consumables Expense cover
Expenses that are incurred as a result of replacing consumables won’t be covered under a regular motor insurance policy. The consumable parts include bolts, nuts, oil and lubricants, coolants, grease, gaskets, among others.
Key & Lock Replacement cover
In case you lose your vehicle keys, you receive a fixed amount or actuals incurred for the cost of replacing it. If you are one of those people who tend to lose or misplace their keys, then this cover is a must-have for you.
A very important point to note would be that add-on covers cannot be purchased with a third-party policy. Only if you have opted for a comprehensive two wheeler insurance or car policy can you buy these extra covers and customize your existing plan as per your needs.
These additional covers can be purchased online while purchasing a new policy or during renewal. Remember that these add to your premium amount and so it is advised to first calculate the amount using an insurance premium calculator online and then go ahead before making a purchase. Remember, always avoid buying add-ons that you won’t require.