With the global pandemic forcing all of us to stay indoors, your vehicle is homebound too! This long period of hibernation and onset of monsoon can have a negative impact on your vehicle. During such time it is essential to opt for motor insurance. It helps in mitigating the damage and safeguards your vehicle in terms of financial losses.
Most of the motor policies are standard policies and do not cover risks arising due to monsoon. Therefore, one must choose a car insurance policy carefully so that it gives you a long-term benefit. Here are the tips for choosing the right insurance cover for safeguarding your vehicle during monsoon and even after:
- Opt for comprehensive motor insurance:
It is mandatory by law to opt for third-party motor insurance, which covers you against legal liability for injury, death or property damage caused to any third party. It does not cover damage to your vehicle. If you opt for comprehensive car insurance, it will cover damages to your car and provide additional benefits that help you in the time of need.
- Look for engine protection add-on:
Repairing or replacing an engine can cost you a fortune. If your car gets stuck in a flooded area during monsoons, water ingress may damage the engine. Sometimes you may experience a hydrostatic lock and your engine won’t start due to moisture in it. This situation can be covered by having comprehensive insurance with an engine protection add-on.
- Don’t forget to get road assistance and consumable cover:
If flood type of situation arises, the cost for repairs can create a hole in your pocket. The cost of consumables like repairing brake, changing engine oil, upgrading nuts and bolts can be expensive. Therefore, it is advisable to have roadside assistance cover which gives 24X7 assistance during an accident or in case of an emergency. It also offers towing and mechanic arrangement services.
- Choose zero depreciation add-on:
Every year, your car’s monetary value depreciates. Usually, under any comprehensive policy in case of a claim, the insured receives an amount that is subject to depreciation and therefore receives an amount lower than the actual repair expense. With depreciation cover, the insured gets the depreciation amount deducted on the part’s value at the time of claim.
- Go with No Claim Bonus Protect Cover:
When a policyholder does not make a claim during the policy period, he gets a certain discount for the next year. The discount starts from 20% and can go up to a maximum of 50% if no claim has been made consecutively for five years. With cover you can protect your No Claim Bonus even if you have a claim in current policy. If you do not have claim, you will earn next level of NCB.
– By Shreeraj Deshpande, Chief Operating Officer, Future Generali India Insurance