What Are Add-On Covers Of Motor Insurance?

An add-on cover in motor insurance is an optional benefit that you can purchase by paying a nominal extra premium. It extends the protection offered by your standard policy, whether it's car insurance or bike insurance. While a comprehensive policy covers several incidents, it may not include everything. This is where add-on covers come into play, offering extra protection for parts like engines, tyres, personal belongings, and even your no-claim bonus. If you're wondering, "what is add on cover in motor insurance?", it's simply a smart way to tailor your policy as per your specific needs.

For example, Mr. A has a comprehensive car insurance policy, but didn’t include an engine protection add-on. After his car's engine was damaged in a flood, he had to pay Rs. 1,00,000 for repairs. If he had added Tata AIG’s Engine Protection Cover, the repair costs would have been covered, helping him avoid a large unexpected expense. This shows how an add-on cover can help cover situations that a standard policy may not.

Read more: Car Insurance Add-on Covers

If you’re exploring add on covers in motor insurance meaning, here are some common and useful types:

Zero Depreciation Cover: This add-on ensures that you get the full claim amount without accounting for depreciation on parts. It's especially valuable for new or luxury vehicles.

Engine Protection Cover: Covers damages to your engine due to water ingress, oil leakage, or internal mechanical breakdowns.

Roadside Assistance Cover: Offers emergency help such as towing, battery jump-start, flat tyre support, and fuel delivery if your vehicle breaks down.

Return to Invoice (RTI) Cover: In case of total loss or theft, this add-on helps you recover the original invoice value of the vehicle.

Consumables Cover: Includes replacement costs for nuts, bolts, engine oil, brake fluid, and other consumable items post-accident.

Passenger Cover: Offers coverage for the passengers travelling in your car, providing financial aid in case of injury or death.

Key Replacement Cover: Covers the cost of replacing lost or stolen vehicle keys and locks.

Personal Accident Cover: Provides financial compensation for injuries or death due to a motor accident. It’s applicable to both car insurance and 3rd party bike insurance policies.

Tyre Protection Cover: Covers accidental damage to tyres and tubes, which are usually excluded from standard policies.

What are the benefits of add-on covers in motor insurance? Here’s why they matter:

Customisation: Tailor your policy to your unique needs.

Enhanced Protection: Cover more parts and situations than a standard plan.

Financial Relief: Reduce out-of-pocket expenses for repairs and replacements.

Peace of Mind: Drive stress-free, knowing you're covered for most scenarios.

Protect NCB: Safeguard your No Claim Bonus with the right rider.

Picking the right add-ons for your motor insurance depends on your vehicle, daily travel, and the risks you face. Instead of choosing any add-on, think about the challenges you deal with while driving.

For example, if you live in an area that often floods, an engine protection cover can help pay for engine repairs caused by water damage. If you travel long distances, roadside assistance ensures help if your car breaks down. Bike owners in rural areas might find zero depreciation cover useful, as it reduces extra costs when parts need replacement.

Ask yourself, "What is an add-on cover in motor insurance that suits my needs?" Choosing wisely can give you better protection and save you money in the long run.

Below are the most popular and effective add-ons available for both cars and bikes:

Zero Depreciation Cover: Get full value without accounting for depreciation.

Engine and Gearbox Protection: Essential for high-end or frequently driven vehicles.

Roadside Assistance Cover: Ideal for long-distance travellers and daily commuters.

No Claim Bonus Protection Cover: Helps retain your NCB even after a claim.

Key and Lock Replacement Cover: This saves you from unexpected replacement expenses.

Personal Accident Cover: Provides security in the event of injuries or death.

Return to Invoice Cover: Ensures you recover the full cost of the vehicle.

Tyre Protection Cover: Beneficial for premium car or bike users.

Consumables Cover: Reduces minor repair costs post-accident.

Read more: Zero Depreciation vs Return to Invoice

Adding extra protection to your policy is simple and user-friendly:

Choose Add-ons While Buying: Select the desired add-on covers during policy purchase.

Use Online Calculators: Estimate the premium impact using the online calculator.

Review at Renewal: Add or remove covers during policy renewal based on usage.

Customise for Car or Bike: Opt for different covers for your car and 2-wheeler, including 3rd party car insurance and 3rd party bike insurance.
TATA AIG makes this process smooth with a transparent and intuitive online platform.

How do add-on covers in motor insurance enhance policy coverage?

Add-on covers expand essential motor insurance protection by providing specialised protection against engine failure and mechanical breakdowns, as well as tire damage and theft of personal accessories in your vehicle. The extra insurance benefits supplement standard policy coverage through fiscal protection of unexpected situations.

Do add-on covers affect the car insurance premium amount?

The additional expenses incurred to purchase add-on covers appear in the total premium because these benefits come with premium costs. Add-on coverage proves beneficial financially because it decreases immediate expenditure costs during emergencies, which leads to improved defense for your vehicle.

Can I buy add-on covers after purchasing a car insurance policy?

Customers tend to select add-on covers during both policy purchase and renewal. You can obtain mid-policy term add-on cover from specific companies following a comprehensive inspection and approval process, yet it is preferable to have them at purchase time to ensure smooth coverage.

Is it mandatory to buy add-on covers for cars?

Add-on covers bought for insurance policies are not necessary to purchase based on current laws. Add-on covers provide full financial security against particular risks while offering more coverage than standard or comprehensive policies; therefore, they give you peace of mind and limited liability during unexpected occurrences.