There are broadly two types of motor insurance policies, namely third-party liability and comprehensive cover. Having the former is mandatory according to Indian laws, whereas the latter, although not compulsory, provides you with extensive coverage. This is because a comprehensive policy allows you to avail extra benefits in the form of add-ons. These add-ons help enhance your existing coverage. However, it is also true that these add-ons increase your premium amount. Therefore, it is advised to choose your add-ons wisely and avoid buying unnecessary ones.
Given below are 5 such add-ons you can opt from depending on your needs.
- Personal baggage
Your personal belongings might consist of expensive items such as your laptop, mobile phone, or other such precious items. Even though you’re required to pay an extra premium, it is worth the money because if any of these items get stolen, you can be reimbursed for them.
- 24×7 spot assistance
You would want a safe trip while taking long drives with family or friends. However, road accidents cannot be predicted and neither can breakdowns. Moreover, you might always require help in case you run out of fuel or suffer a mechanical breakdown that needs you to get your car towed to the nearest garage for repair. To cope with such situations, you will need this car insurance add-on cover, especially if you travel quite often.
- Lock and key replacement
A lot of people have the habit of misplacing things. Keys are one such thing that can easily be lost or misplaced. This cover is especially for those people who lose their car keys often. Under this cover, the cost of key replacement and fitting is covered. The insurance company can even buy new locks if required.
When you’re comparing policies & add-ons, make sure to calculate the premium online with the help of a car insurance calculator to get the best deals.
- Consumable expenses
This is an extremely useful add-on as it covers the cost of all consumables such as power steering oil, engine oil, coolant, gearbox oil, brake oil, etc., that must be paid by the insurer while repairing the damages caused to the car in an accident.
- Depreciation shield
The value of any asset drops with time and this stands true for your automobiles as well; this is called depreciation. The insured declared value (IDV) of your vehicle that is offered by your insurance company is calculated considering the rate of depreciation. But if you opt for a depreciation shield, the insurance provider will save you from spending your money at the time of claim.
There is a vast amount of information on insurance available online, using which, you can easily compare multiple policies along with the add-ons. Make sure you know all about the important elements of a policy. Maybe you won’t require those add-ons now but you never know what the future has in store for you. Therefore, it is better to be prepared. A key pointer to remember is to have a valid policy with timely insurance renewal.