Engine Protection Cover in Car Insurance

Engine protection cover is an add-on in car insurance that covers repair or replacement costs of engine damage due to water ingression, oil leakage, or accidental breakdown. It is an optional
feature that you can add to your base comprehensive car insurance policy.

It covers the repair/replacement costs for your car's engine when it gets damaged due to the ingress of water in the engine or leakage of lubricating oil from the engine/respective assembly. It also covers damage to engine parts such as pistons, gearbox, crankshaft, cylinder, etc.

Standard car insurance policies usually cover accidental damage but exclude internal engine breakdowns. This is where engine protection cover insurance becomes essential. By adding it to your base policy, you enhance your protection and enjoy worry-free ownership of your car.

Since ‘engine protect’ is an add-on, the coverage is available for an additional premium. However, car insurance that covers engine repairs is worth the extra cost, especially for cars in flood-prone areas or regions with unpredictable weather.

An engine protection cover ensures protection where a basic car insurance policy fails to cover internal engine damage. A car’s engine is the most expensive part, and any damage to it can lead to a lot of expenses. With this add-on feature, you save yourself from heavy repair or replacement costs.

This becomes especially important during the monsoon season, when water ingression can cause hydrostatic lock and severe engine damage. By including this add-on in your car policy, you stay protected from such risks.

Another major benefit is coverage for damages caused by coolant, oil, or lubricant leakages - costs that are otherwise not included in standard policies. This makes engine protection cover extremely useful for both luxury cars and brand-new vehicles, where advanced engines are highly sensitive and costly to repair.

Please note - Engine protection cover after 5 years is not available. It means that a car older than 5 years cannot get this add-on cover with their car insurance policy.

Also Read: [A Complete Guide to Add-on Covers in Car Insurance]https://www.tataaig.com/knowledge-center/car-insurance/add-on-cover-car-insurance)

Covers Engine Damage Due to Water Ingress

Engine protection cover reimburses repair costs if water enters your engine during floods or heavy rains. Standard policies do not cover such cases. This add-on prevents major financial loss during the monsoon when waterlogging becomes common in many Indian cities.

Covers Lubricant and Coolant Leakage

If oil or coolant leaks cause internal damage to the engine, this cover pays for the repairs. Leaks can often go unnoticed and lead to serious engine trouble. Engine protection ensures you do not bear the burden of high repair expenses in such cases.

Includes Hydrostatic Lock Coverage

In waterlogged areas, starting your car can result in a hydrostatic lock, causing the engine to seize. This add-on covers repairs resulting from hydrostatic lock damage, which is usually excluded from regular car insurance policies.

Saves High Repair Costs of Modern Engines

Advanced engines come with sensors, ECUs, and high-tech components that are expensive to fix. Engine protection cover ensures that these repair costs are taken care of, so you do not have to pay a hefty bill for minor damage.

Ideal for Flood-Prone Areas

If you live in cities like Mumbai, Chennai, or Kolkata, this cover becomes essential. It offers peace of mind during heavy rainfall, ensuring your engine repairs are covered if floodwater affects your car.

Protects Manufacturer’s Warranty Value

Claims for engine damage outside insurance may affect resale value. This cover maintains the integrity of your vehicle’s service record and warranty by keeping repairs documented through your insurer.

Covers Gearbox and Transmission Repairs

Apart from the engine, this add-on can also extend protection to transmission parts. If your gearbox is damaged due to internal fluid leakage or water ingress, the cover helps pay for expensive repairs or replacements.

Reduces Out-of-Pocket Expenses

Engine repairs can cost thousands. This cover reduces your financial stress by paying for mechanical repairs that would otherwise not be included under a basic car insurance policy.

Engine protection cover insurance works as an add-on to your standard car insurance policy. It provides financial support for repairing or replacing damaged engine parts due to incidents not covered under basic plans. These include water ingress, hydrostatic lock, or oil and coolant leakage.

Generally, the cost of engine protection cover is approximately 2-3% of the car’s market value. Thus, by paying a nominal amount, you can save from a big expenditure.

When your engine suffers damage from such incidents, you can file a claim under this add-on. The insurer will inspect the damage, and if it falls within the policy terms, they will approve the claim.
After approval, the insurer either reimburses you or directly settles the repair cost with the garage.

This is especially useful in cities prone to flooding or where road conditions can easily lead to engine trouble. Car insurance that covers engine repairs helps you avoid expensive out-of-pocket expenses for high-tech engine components. It keeps your vehicle in good condition without disrupting your budget during emergencies.

Coverage for Internal Engine Parts

Engine protection cover includes the cost of repairing or replacing damaged internal parts of your car’s engine. These components may fail due to water ingress or oil leakage, which are not covered under standard insurance. This helps you avoid high repair costs in such scenarios.

Gearbox and Transmission Repairs

This cover also includes damage to the gearbox, transmission, or differential assembly. Whether the damage is due to lubricant leakage or water entry, the add-on ensures that repair or replacement costs are taken care of under your policy.

Compensation for Water Ingress Damage

If your engine gets damaged because water enters it during heavy rain or floods, this engine protection cover applies. It is especially useful in flood-prone areas where waterlogging is common and can severely harm engine performance.

Coverage for Lubricating Oil Leakage

If engine or gearbox oil leaks and leads to internal damage, the cover pays for repair costs. Regular policies do not include such scenarios, but this add-on bridges that gap effectively.

Replacement of Lubricating Oils

Apart from physical engine parts, this cover also pays for the cost of replacing engine oil, gearbox oil, and similar consumables used in the assembly. It ensures the vehicle gets back to its optimal working condition without extra costs.

Consumables Used in Repairs

The cover extends to consumables such as filters and engine oils that are required during the repair or replacement of damaged parts. However, it does not include fuel costs.

Support During Hydrostatic Lock

If your engine suffers a hydrostatic lock while driving through waterlogged roads, the engine protection cover helps. It pays for all necessary repair work, including labour and parts.

Protects High-End Engine Components

Modern cars have sensitive and costly engine systems. This cover ensures those premium components are protected from common engine threats like fluid leakage or water damage.

Also Read: 5 Essential Car Insurance Add-Ons

• Manufacturer Warranty or Recall-Related Issues - If the engine damage falls under your car’s manufacturer warranty, a recall campaign, or scheduled maintenance, the insurer will not cover it under the engine protection cover.
• Delayed Intimation After Water Damage - If you fail to inform the insurer on time or delay retrieving the vehicle from a waterlogged area, any resulting corrosion or increased damage will not be covered.
• Regular Wear and Tear: The add-on will not cover the repair/replacement of the car's engine and its parts due to depreciation that occurs over time and with regular usage.
• Poor Maintenance and Preventable Damage - If the damage is due to poor maintenance or negligence in handling the vehicle, such claims will be rejected under this cover.
• Delay in Towing to Garage - The vehicle must be towed to a garage within two days after the water recedes. Failure to do so can lead to claim rejection.
• No Visible Evidence of Damage - If there is no clear physical evidence of water submersion or oil leakage with engine damage, the insurer may deny the claim.
• Aggravation: Any aggravation of loss or damage, including corrosion, due to delay in intimation to the insurer and/or retrieving the vehicle from a water-logged area shall not be covered.
• Fuel Damage or Wrong Fluids - Damage due to the use of contaminated fuel or incorrect lubricants is not covered under engine protection cover insurance.
• Deductible Clause Applies - Each claim under this add-on will be subject to a fixed deductible as mentioned in the policy schedule. The insurer will not pay below that limit.

• Car’s Age - The engine secure add-on is not available for cars that are older than 5 years. If your vehicle is older, you may not be able to buy this add-on.
• Comprehensive Car Insurance - This add-on is only available under comprehensive car insurance plans. You cannot buy an engine secure cover if you only own third-party car insurance.
• Claim Limit - Engine secure covers have a maximum claim limit. In most cases, you can make up to two claims.
• Additional Premium - Engine protect in car insurance comes at an additional premium.
• Geographical Location - If you live in a flood-prone city, this cover becomes very useful. For areas with little risk of waterlogging, it may not be essential.
• Cost of Engine Repairs - Modern cars have advanced engines with costly components. If your car has high repair expenses, this cover ensures financial security against sudden breakdowns.
• Manufacturer Warranty - Check your manufacturer’s warranty terms. If similar coverage already exists, you may not need duplicate protection under this add-on.
• Policy Conditions - Always read the policy wordings carefully. Conditions like timely intimation, towing deadlines, and visible evidence of damage can affect claim approvals.
• Deductibles and Premiums - Understand the deductible amount and the extra premium for this cover. Balance the additional cost with the benefits it provides for your car.
• Usage of Vehicle - If you frequently drive through waterlogged roads or bad terrain, this cover is highly recommended. For limited-use cars, it may be optional.
• Claim Process - Ensure your insurer has a hassle-free claim settlement record. A smooth process can save you stress during emergencies.

• Residents of flood-prone areas - Ideal for people living near rivers, coastal zones, or waterlogged regions where engine water damage is common.
• People working near water bodies - Those whose daily commute or workplace is around lakes, dams, or low-lying areas should consider this cover.
• Owners of luxury or high-end cars - People who own luxury or high-end cars, where the cost of engine repairs/replacement would be far higher than a normal car.
• Future risk planners - Individuals who want to prepare for uncertain perils and avoid unexpected financial stress benefit from this add-on.
• Frequent drivers in monsoons - Those regularly driving during heavy rains or on poorly drained roads can protect themselves from hydrostatic lock issues.

• Step 1: Visit the TATA AIG official page.
• Step 2: Enter your car registration number and click Get Price.
• Step 3: Fill out the online application form carefully and upload the required documents.
• Step 4: From the list of add-ons, choose the engine protection cover.
• Step 5: Submit your application form and pay the fees.

You will receive a PDF copy of your car insurance with engine protection at your registered email address after we have verified your documents.

Please note - If you missed this add-on during the initial purchase, you can easily include it during policy renewal. This ensures your car’s engine is financially protected against damage caused by water ingress, oil leakage, or hydrostatic lock.

• Step 1: Inform your insurer immediately after noticing engine damage.
• Step 2: Do not attempt to restart the car to avoid further harm.
• Step 3: Tow the vehicle to an authorised garage within the stipulated time.
• Step 4: Fill out and submit the claim form with the necessary documents like policy copy, repair estimate, and damage photos.
• Step 5: Allow the insurer to inspect and verify the engine damage.
• Step 6: Once approved, the insurer reimburses or directly settles the repair costs with the garage.

Engine protection cover is a must-have for car owners who want complete assurance during monsoons and beyond. It shields your car’s most critical component, its engine, from risks that a basic policy simply does not cover.

At TATA AIG, we understand how valuable your vehicle is to you. That is why our comprehensive car insurance allows you to enhance your protection with smart add-ons like the engine protection cover.

With a car policy from us, you get more than just coverage. You get confidence, 24/7 assistance, high claim settlement, and cashless repairs at trusted garages across India. Whether you are buying a new vehicle or renewing your policy, you can easily include this add-on and enjoy stress-free driving in any season.

Protect your car’s engine today. Buy car insurance from TATA AIG and drive worry-free, rain or shine!