Generally, people do not like to spend a lot of time shopping for an auto insurance policy. They think that there are only two options available in the market, that is, the civil liability that is mandatory by the Motor Vehicle Law and the second is comprehensive insurance. But the reality is that there are so many supplemental coverages that you can increase your auto insurance coverage by spending a minimal amount when purchasing or renewing your auto policy.
To choose the ideal supplemental coverages to enhance your auto insurance policy coverage, it is very important that you understand the vital role of supplemental coverages.
Zero Depreciation – No one likes to be in a situation where they are surprised to learn that you have to lose your pocket to repair your damaged car, even if you have a car insurance policy. But the truth is that no insurance policy offers full coverage to your car in case of loss or damage in an accident. To avoid such a situation, you must opt for No Dep. Or Zero Dep. add-on, offering you a comprehensive claim on value, parts repaired or replaced after an accident. Ideally designed for new cars only, companies generally do not offer this type of add-on to cars that are more than 5 years old.
No Claim Bonus Withholding (NCB) – By its name NCB Withholding, this add-on works as a protective cover for your NCB. NCB is a reward for not making claims against the insurance policy during the previous year. Normally, people do not make use of any claims, but renew their insurance every year. The insurance company grants a reward in the form of a discount of up to 50% on the cost of the premium that will be withdrawn by the company if the claim is taken once. So there is an NCB withholding provision even if you make any claims.
Roadside Assistance – Imagine you’re driving home and your car gets stuck somewhere in the middle of the night for whatever reason, like out of fuel, some technical problem, or a dead battery, now what? As the name suggests, this plugin will help you get home in such an emergency and take care of your car. If you have opted for this add-on in conjunction with the standard car insurance policy, you don’t need to worry about assistance while driving in a remote location or at night.
Personal Accident Coverage: With this additional coverage, the insurance company offers protection to both the owner and the paid driver if it exists. You can opt for personal accident coverage by combining it with a comprehensive car insurance policy. This supplement provides you with a lump sum benefit in the event of permanent disability or accidental death caused in an accident.
Daily cash allowance: In the event of a serious accident, the procedure to repair your car is too long and your car has to stay in the garage for days or weeks or even more than a month, depending on the condition of the car. In that situation, you have to travel by public transport or hire a taxi, which is an expensive option, especially if you have budget constraints. Then, under this supplement, the insurance company will bear the cost of such daily switching expenses.
In addition, there are many other add-ons available in the market including Invoice Return, Engine Coverage, Key Replacement that you can combine with your standard insurance policy. Therefore, choose wisely according to your requirements to improve your policy coverage.