Posted by People usually do not like to spend a lot of time while purchasing a car insurance policy. They believe that there are only two options available in the market and that is third party liability which is mandatory under the motor vehicle law and the second is comprehensive insurance. But the truth is that there are many additional covers that can enhance your car insurance coverage by spending a small amount at the time of buying or renewing your car insurance policy.
In order to choose the perfect add-on covers to enhance your car insurance policy coverage, it is very important that you understand the vital role of add-on covers.
Zero Depreciation: No one likes to be in a situation where you are shocked to learn that you have to out of pocket in order to repair your damaged car, even if you have a car insurance policy. But the truth is, there is no insurance policy that offers complete coverage for your car in the event of loss or damage in an accident. To avoid such a situation, one must choose No Dep. or deep zero. Add-on, which gives you a full claim for the value or parts that have been repaired or replaced after an accident. Perfectly designed for new-only cars, companies generally don’t offer this type of add-on for cars over 5 years old.
No Claim Bonus Retention (NCB): From the name NCB Retention, this add-on acts as a protection blanket for your NCB. NCB is rewarded for not making any claims against the insurance policy in the previous year. Normally, people do not benefit from any claims but they renew their insurance every year. The insurance company gives a bonus in the form of a discount of up to 50% on the premium cost which will be withdrawn by the company if a claim is raised once. Therefore, there is a requirement to hold NCB even if you make any claims.
Roadside Assistance: Just imagine you’re driving home and your car gets stuck somewhere in the middle of the night for any reason like it’s out of fuel, a technical problem, or a dead battery, now what? As the name suggests, this add-on will help you get home in such emergencies and take care of your car. If you choose this add-on with your standard car insurance policy, you don’t have to worry about assistance while driving in a remote place or at night.
Personal Accident Coverage: With this additional cover, the insurance company offers protection to the owner as well as to the paying driver in the event of one. You can choose to cover personal accidents with a comprehensive car insurance policy. This add-on gives you the advantage of mass amount in the event of permanent disability or accidental death.
Daily Cash Allowance: In the event of a major accident, the procedures for repairing your vehicle are very lengthy and your vehicle must remain in the garage for days, weeks, or even more than a month, depending on the condition of the vehicle. In this case, you need to move around either on public transportation or hire a taxi which is an expensive option especially if you have budget constraints. Therefore, under this addition, the cost of these daily replacement expenses will be borne by the insurance company.
Also, there are many other add-ons on the market that include back to bill, hood, and key replacement that you can combine with your standard insurance policy. So, choose wisely as per your requirements to enhance your policy coverage.