5 Essential Car Insurance Add-Ons That Will Save Your Money

Do you wonder whether car insurance add-ons are worth the extra cost? The answer is yes. According to The Tribune, zero depreciation cover is considered one of the most essential add-ons in car insurance, especially for new cars, as it helps maximise claim payouts without factoring in depreciation.

It ensures that policyholders receive the full claim amount when replacing car parts, such as rubber, metal, or plastic, without deducting any money for wear and tear.

Besides zero depreciation, return-to-invoice, consumables, and no-claim bonus, roadside assistance cover is also worth buying. Keep reading to know more about these add-ons for car insurance in the following sections.

What are the Money Saving Car Insurance add-ons?

When it comes to enhancing your base policy coverage, car insurance add-ons play a critical role. They offer another layer of protection against risks that are otherwise excluded.

Wondering what the must-have add-ons in car insurance are? These essential add-on covers in motor insurance can enhance your policy and help you save money over the long run.

Zero Depreciation Cover

Zero depreciation cover, also known as bumper-to-bumper cover, is one of the most popular add-on covers in motor insurance for new cars that are less than five years old. It eliminates depreciation deductions during claim settlements. This means you can receive the full cost of replacing damaged parts without accounting for age-related wear and tear.

Benefits of zero depreciation cover include:

1. No deduction for depreciation on car parts.

2. Higher claim settlement value.

3. Reduced out-of-pocket expenses.

4. Ideal for new and high-value vehicles.

Also Read: 2026 Car Launches in India: What’s Driving In Next?

Return to Invoice

The return to invoice (RTI) car insurance add-on coverage ensures that you do not suffer a financial setback if a natural or man-made catastrophe damages your car, or if it gets lost due to theft. The add-on covers the original invoice value of your car in the event of total loss or theft. This particular cover includes the ex-showroom price, road tax, and registration charges.

Benefits of return to invoice cover include:

1. Full financial protection in case of total loss due to loss or theft.

2. Bridges the gap between Insured Declared Value (IDV) and purchase price.

3. Ideal for new car owners.

24x7 Roadside Assistance

With the convenience of car insurance online, it is easier to access help anytime, anywhere. A Roadside Assistance (RSA) add-on provides emergency support in case your car breaks down unexpectedly, making your journey safer and stress-free. For long-distance travellers and daily commuters, this add-on is particularly useful.

Benefits of 24/7 roadside assistance cover include:

1. Towing assistance on the highway or in urban traffic.

2. On-road flat tyre repair.

3. Battery jump-start and fuel delivery.

4. Emergency accommodation support.

Looking for a reliable insurer offering roadside assistance and other add-ons? Bajaj General Insurance offers motor insurance policies with optional add-on covers tailored to different driving needs.

Consumables Cover

If you own a premium luxury car, a consumables add-on is ideal. It covers the cost of items that are typically excluded from standard policies. These include parts that require frequent replacement during repairs, such as engine oil, coolant, nuts and bolts, screws, clips, grease, and brake oil.

Benefits of consumables cover include:

1. Reduces out-of-pocket expenses during repairs.

2. Complements zero depreciation cover.

3. Ensures comprehensive protection.

No Claim Bonus (NCB) Protection Cover

Normally, raising even a small claim results in the loss of NCB discount at renewal. A no-claim bonus protection add-on ensures that your accumulated bonus remains intact even if you make a claim during the policy period. This helps you continue to enjoy premium discounts in subsequent renewals.

Benefits of no claim bonus protection cover include:

1. Protects your premium discounts.

2. Ensures long-term savings.

3. Allows claims without losing NCB benefits.

Also Read: What is a Standalone Own Damage Car Insurance Policy?

Common Mistakes to Avoid While Purchasing Car Insurance Add-ons

Although add-ons enhance protection, choosing them wisely is crucial. Avoid the following common mistakes while choosing car insurance add-ons:

1. Select only relevant add-ons suitable for your driving habits and vehicle type.

2. Always go through the policy inclusions, exclusions, and claim limits carefully.

3. Certain add-ons, such as zero depreciation and RTI, are best suited for newer cars.

4. Focus on quality rather than cheaper alternatives, as it may result in inadequate protection.

5. Comparing and assessing various options before purchasing car insurance online helps you make informed decisions.

6. Electric vehicle owners must choose specialised protection customisable to their needs.

Which Add-ons are Must-Haves Vs Optional by Car Age?

If you are wondering, “Which add-on is most useful in car insurance?” Here is a breakdown based on the car’s age:

0 to 3 Years Mandatory Add-ons

1. Zero Depreciation: Choosing this cover ensures that your car's value remains intact, irrespective of how old it is, so you can receive the full claim amount.

2. Return to Invoice Cover: This type of cover ensures that you receive the original value of the car in case of complete loss or theft.

0 to 3 Years Optional Add-ons

1. Engine and Gearbox Protection: This car insurance add-on will protect your new car when you decide to go off-road on poorly paved roads.

2. Key Replacement: Since modern vehicles have expensive smart keys, replacing them could be expensive. Having this cover will help you get reimbursed for the same.

3 to 7 years Mandatory Add-ons

1. Roadside Assistance Cover: This type of add-on helps to handle sudden mechanical failures, for example, flat tyres, dead batteries and so on.

2. Consumables Cover: This type of cover reimburses for expenses that standard covers do not. These include nuts, bolts, engine oils, and coolants.

3 to 7 Years Optional Add-ons

1. Zero Depreciation Cover: You can consider having zero depreciation cover at the time of evaluating premiums, so that you can have protection against rapidly depreciating value.

7 years and Above Mandatory Covers

1. Roadside Assistance: This type of cover is a must-have to prevent being stranded on highways or facing expensive tow charges.

2. Glass Breaker and Seatbelt Cutter: It is a highly critical safety tool for older cars which may suffer from central-locking or electrical failures.

7 and Above Optional Covers

1. Engine Protection: You can consider this, although it may seem uneconomical. However, if you have a high-value car, then you can consider this add-on.

2. Zero Depreciation: Usually, insurers do not recommend this cover for cars that are older than 7 years.

If you are looking for beneficial add-ons to add another protective layer to your car, choose Bajaj General Insurance’s Private Car Package Policy at an affordable premium.

Car Insurance Add-on Cost in India

Suppose you have a 2-year-old Hyundai Aura protected with comprehensive cover from Bajaj General Insurance. To extend your coverage, you want to purchase some add-ons. Check out this list of add-ons and approximate prices so that you can make your budget accordingly.  

Please note: Usually, the car insurance premium depends on your car’s make and model, the type of policy you own and the insurer. So, it is best to check the final premium with the insurer before purchasing. 

Final Words

Besides the above-mentioned car insurance add-ons, lock & key replacement and pay-as-you-drive are among the most popular. These are smart investments that enhance your financial protection and ensure peace of mind on the road.

While choosing an add-on for your car, it is important to consider your car’s age, make and model. That way, you can invest in the ones that would actually be beneficial for your car.

If you are exploring car insurance online, Bajaj General Insurance offers motor insurance plans with multiple add-on covers, allowing you to customise your policy based on your requirements.

For electric vehicle owners, Bajaj General Insurance also offers EV-specific add-ons, like Eco Assure, depending on the policy selected.

Frequently Asked Questions

Is Zero Depreciation Cover Worth Buying?

Yes, of course. A zero depreciation cover enables you to get the full cost of repairing car parts during claim settlements, without bearing any out-of-pocket charges. It is best to get a zero depreciation cover for your new car.

What is the No Claim Bonus Add-on cover in car insurance?

A no-claim bonus is an optional rider that protects your accumulated bonus even if you make claims within a policy year. It ensures you receive premium discounts even after making claims for minor accidents or repairs.

Can I purchase more than one add-on for my car?

Yes, you can buy as many add-ons as you like for your car for extended coverage. However, it is important to choose relevant add-ons to avoid unnecessary premiums. For example, zero-depreciation cover is best when purchased for a new car. If you have an older car, one that is more than 5 years old, buying this add-on will not be as beneficial.

What are the EV-specific car insurance add-ons?

Insurers such as Bajaj General Insurance may offer EV-focused add-ons, including battery protection, roadside assistance, and motor protection cover, depending on the policy.

If I am an infrequent or occasional driver, can I buy a pay-as-you-drive add-on?

Yes, a pay-as-you-drive add-on is ideal for people who do not drive their cars regularly. This add-on will let you pay premiums based on how much you actually drive, not a fixed annual amount.

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Disclaimer: The content on this page is generic and shared only for informational and explanatory purposes. It is based on several secondary sources on the internet and is subject to changes. Please consult an expert before making any related decisions.