A Guide to Bumper to Bumper Insurance for Car

Bumper to bumper insurance for the car offers comprehensive coverage for all the components along with zero depreciation cover. The insurer covers the loss or damage that occurred to the vehicle, without deducting the value for depreciation from the decided sum assured. The company also pays the entire cost of replacing the body parts of the car during any misfortunate situation.

Features of Zero Depreciation Car Insurance Policy

A bumper to bumper car insurance had more advantages than comprehensive car insurance. But they cost 20% more premiums than the regular comprehensive car insurance policy. However, this add-on feature is an important aspect for the owners of luxury cars or those who drive in accident-prone areas. The compensation is payable on the basis of the current market value of the car and the policyholder receives the entire claim amount. The bumper to bumper car insurance inherits the following features:

• Zero depreciation covers plastic parts, nylon parts, rubber parts, and metal components of the car.
• The full amount of claims are possible with this policy, a standard policy varies anywhere between 0% to 40% of claims.
• It can be purchased during the purchase of a new policy or during the renewal of the same policy.

Exclusions under Bumper to Bumper Car Insurance

The main exclusions under the bumper to bumper car insurance are as follows:

• Damages that are occurred to uninsured entities like fuel kits, tires or gas kits are not included in bumper to bumper car insurance.
• It does not cover damage due to water ingression or oil leakage.
• Daily wear and tear of tires and tubes, bearings, and clutch plates are not covered.
• If a private car is used for commercial purposes, then the claim cannot be made to the insurer.
• Coverage is not applicable if the vehicle is used for illegal purposes and if the driver is not using a valid driving license at the time of the accident.
• If the claims are not registered within the correct time, then claims may get rejected.
• It is important to renew the zero depreciation policy every year to enjoy the benefits of the bumper to bumper car insurance. 

Conclusion

The benefits of a bumper to bumper car insurance policy are only realised in the event of theft or damage to the vehicle. A basic insurance policy will no additional ride-on will offer cover only to a certain extent and a huge portion of the claim will be due to the owners. Basic policies will not pay for the complete value of the car. Also as these policies offer zero depreciation features, the claims are always paid in full, assisting the owner from severe financial requirements. Bumper to bumper car insurance provides complete security to the parts of your car, saving the extra expenses of the policyholder.

Also Read: 

Significance of Cashless Garage Facility in India

What To Do If Magma HDI Car Insurance Policy Gets Lapsed?

Disclaimer: This article is issued in the general public interest and meant for general information purposes only. Readers are advised not to rely on the contents of the article as conclusive in nature and should research further or consult an expert in this regard.