Image via Flickr user Diamondback Truck Covers

Buying the right add-ons could help you get the maximum benefit from motor insurance policy

A personal accident add-on cover in a vehicle insurance includes the owner or the driver if he is employed. In case of a owner driver, a policyholder’s nominee is entitled to a 100% claim in case of death.

Here’s a list of some popular add-on covers which general insurers provide for motor insurance:

Zero depreciation

Zero depreciation is one of the most popular add-on covers sold by general insurance companies. It ensures that the policyholder can receive a full claim on the value of parts that are replaced after an accident.

Personal accident

A personal accident add-on cover in a vehicle insurance includes the owner or the driver if he is employed. In case of a owner driver, a policyholder’s nominee is entitled to a 100% claim in case of death.

Break-down assistance

This is a popular add-on cover at a very nominal cost, which takes care of the car in case of breakdown or accident on the road. The policyholder will have to call up the designated helpline number of the insurer and help will reach him.

Engine cover

This add-on cover provides protection to the engine in case of flooding during monsoon. Since waterlogging is common in most Metros, hydro-static lock is a major cause of engine failure. Any damage due to hydro-static lock, which happens if one repeatedly tries to run a moist engine, is not covered under a regular motor insurance policy.

In driver’s seat
* Any vehicle that plies on the road needs a third-party cover under the Motor Vehicles Act
* Insurers have to ensure that the cover is available at their underwriting offices
* As per the Motor Vehicles Act, the third-party cover is unlimited in the case of an accident and the entire compensation has to be paid by the insurer
* While third-party insurance cover is mandatory, a policyholder can opt of add-on covers to the basic vehicle insurance
* The add-on covers come in handy, especially for roadside assistance in case of a breakdown of the vehicle

by Saikat Neogi

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