Essential Car Insurance Add-ons that you should know about

One of the key components of owning a car is car insurance. The government authorities mandate that all vehicles have a valid third-party insurance policy. As a result, buyers need to also pay the premium every year to keep the policy active. Along with the insurance policy, certain add-ons are also available. These might look unnecessary at the beginning but can prove extremely crucial in the long run. Here is a list of some of the most important add-ons that customers should be aware of and purchase along with the insurance policy if they deem it necessary!

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Engine Protection Cover

Repairing or replacing the engine can be a very costly affair for the owner; this is why this add-on is important. This add-on covers any damage to the engine due to natural calamities (like floods or earthquakes).

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Zero or Nil Depreciation Cover

The car starts losing its value from the minute it is purchased, i.e., moved out of the showroom. This add-on covers every part of the car from any damage until the policy is effective. So, if the car gets damaged, then no deductions will be made due to the age of the parts, and the full amount will be reimbursed to the owner.

Roadside Assistance Cover or RSA Cover

This cover is extremely useful in case the car gets stuck in the middle of nowhere. The customer needs to tell the insurer about the incident, and then either a mechanic will be sent or towing service – both free of cost.

No-claim Bonus Protection Cover

This add-on is an appreciation for the owner for not making any insurance claims during the year. The benefits involve providing a discount to the customer on the premium amount or providing additional coverage over and above the insurance amount.

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Personal Accident Cover

This add-on serves as a cover for the passengers and can be divided into two parts. If the rider dies or suffers a permanent disability due to an accident, the insurer is responsible for the entire treatment cost for the riders and co-passengers. If the riders suffer a minor injury, the insurance company covers the entire hospitalization cost.

Loss of personal belongings cover

If the belongings are stolen from the car or the car itself is stolen with the belongings, the insurer allows the policyholder to claim the insurance within a certain period. The amount depends on the terms and conditions of the insurance policy.

Cover for consumables

Certain parts of the car are known as consumables that include nuts, screws, bolts, etc. These are such minor components that the insurance plans don't cover these. Over time, the repair or replacement of these can be costly. That is where consumables cover works and save money.

Key replacement cover

The cost of replacement car keys can be quite high in new-generation cars. If they are lost or damaged, this add-on provides the necessary reimbursement for the lost keys!

There are many covers that are available for the policyholder to choose from. Based on the requirements, car owners should opt for as many essential covers as required.