Should I take zero-dep insurance for a car older than 5 years?

bmuser · 8th August 2021, 17:52

Hi everyone,

I'm visiting team-bhp for many years though I'm not that active on posting part.

My current insurer under maruti insurance (New India) is not providing a zero dep policy for my Alto K10 which is completing 5 years. I understand there are other insurers which offer zero dep policy for cars older than 5 years, I have a query on whether it makes sense to opt for a zero dep insurance for cars older than 5 years or can I opt for a regular one itself?

Also, people having more knowledge could comment on whether it would be possible to again take a zero dep policy next year with new insurer if I opt for a regular one with existing insurer this year?

Thank you for your time!

GTO · 10th August 2021, 10:57

Maybe not required for an Alto which has such cheap parts anyway, but I usually take zero-dep for all my cars, no matter how old they are. For my 8-year old German ride, the zero-dep component costs as much as the comprehensive insurance itself, but I'd rather not worry about the expensive part costs. So it's a no-brainer for me and I will take it till as long as any insurance company is willing to give zero-dep coverage to my older car.

SmartCat · 10th August 2021, 12:09

Quote:

Originally Posted by bmuser

Also, people having more knowledge could comment on whether it would be possible to again take a zero dep policy next year with new insurer if I opt for a regular one with existing insurer this year?

Decide based on answers to these questions:

1) How is your past claim history? If you have a history of taking in some damage frequently, it is quite likely that this will continue in the future too

2) How damaging will it be to your wallet if there is an accident? Do you worry about a fender bender hurting your financials?

Rajeevraj · 10th August 2021, 12:15

Actually there are very few insurers who provide Zero Dep post 5 years. I had a Bajaj Allianz insurance for all of my first 5 years and they still did not give a Zero Dep for the 6th year. If you switch providers also, there are very few that do give it.

But if you are able to get it, it would definitely good to have. Having said that maybe does not make sense to go completely out of the way and pay a large premium to get it though.

BoneCollector · 24th August 2021, 19:48

My Brezza completed 5 years this May. For insurance renewal, I opted for zero depreciation of ICICI through Maruti Insurance. My earlier provider was National Insurance through Maruti Insurance but they don't offer zero dep after 5 years. On the other hand, ICICI was offering zero dep till 7 years so opted for it. My car had a bad shunt in December last year where it was rear ended by a truck and it rammed into another vehicle in front due to it. Thanks to zero dep, I paid only the processing fee. Total bill came to nearly 1.25L. Had it not been for zero dep, I would have been

. In my nearly 23 years of driving, this was the first shunt and I hope it stays like that. Even if you're a very cautious driver, you can't stop morons on the road.

So my advice would be to opt for zero dep till it can be availed. It solves a lot of hassle. The premium will be more but there is no substitute for peace of mind.

Storme5257 · 25th August 2021, 09:34

You might find this surprising but my 2007 santro xing still has zero dep insurance

.
I do not have any claim history, nor my car has expensive spares but it is a peace of mind and I wouldn't have to shell out much money in case of major work at the company service centre. Hyundai labour and part charges are absurd at times.

Guess I will take 3rd party insurance this time the zero dep one expires

.

Maky · 25th August 2021, 10:36

Quote:

Originally Posted by Rajeevraj

Actually there are very few insurers who provide Zero Dep post 5 years. I had a Bajaj Allianz insurance for all of my first 5 years and they still did not give a Zero Dep for the 6th year. If you switch providers also, there are very few that do give it.

But if you are able to get it, it would definitely good to have. Having said that maybe does not make sense to go completely out of the way and pay a large premium to get it though.

I was told there would be no zero-depreciation insurance provided for my Maruti Swift anymore because it was past the warranty period, but you say this has more to do with a specificed time duration rather than warranty reasons.

One was Royal Sundaram and the other cars is Bajaj Allianz.

mercedised · 25th August 2021, 11:11

Quote:

Originally Posted by Storme5257

Guess I will take 3rd party insurance this time the zero dep one expires

.
Edit: One benefit from the zero dep insurance i can claim currently is that I can repaint the car under insurance from the company service centre.
Is this applicable with other insurance too?

Can you share from which Insurance company is your car Insured?

Storme5257 · 25th August 2021, 11:20

Quote:

Originally Posted by mercedised

Can you share from which Insurance company is your car Insured?

The insurance company is GoDigit general insurance Limited.

Samfromindia · 25th August 2021, 17:20

My 2014 Ecosport have crossed 7 yrs. On 8th year I renewed zero dep insurance from IFFCO Tokio, however they limited IDV of my car to 43% of original ex showroom price, down from 50% last year.

Following are the insurance providers whose zero dep policies I have taken so far:

0-1 Yrs : Future Generali
1-6 Yrs : HDFC Ergo
6-8 Yrs : Iffco Tokio

ghodlur · 26th August 2021, 09:42

Quote:

Originally Posted by bmuser

I have a query on whether it makes sense to opt for a zero dep insurance for cars older than 5 years or can I opt for a regular one itself?

It makes absolute sense to opt for a zero dep add on for a car with any years of ownership. As mentioned by others its a must for that extra peace of mind. Generally Insurers offer the zero dep add on for a customer based on the risk perception. Even with one clain car owner can be perceived as a high risk customer and hence its upto them to offer the add on. If you are a safe customer for the Insurance co they can offer you the add on with every passing year.

My car is in the 8th year of ownership and I do have the zero dep add on. If you are a safe driver, you may never need to use the add on and the Insurance co benefits from the extra premium. In case you had to use, you are at advantage for the lowest repair liability.

aneesh2M · 26th August 2021, 20:35

Yes you should opt for zero dep insurance as long as you can get one. Usually you can get it for 10 years of car age. Even if the parts are cheap for alto, a major damage like front end which may require many parts like bumper, headlights, etc. Which comes under 50% dep. Straight away in case it's not zero dep. May give you a major hit. Which will be saved in case of zero dep.

8th August 2021, 17:52	#1
bmuser Newbie Join Date: Apr 2016 Location: Kolkata, Pune Posts: 13 Thanked: 14 Times	Should I take zero-dep insurance for a car older than 5 years? Hi everyone, I'm visiting team-bhp for many years though I'm not that active on posting part. My current insurer under maruti insurance (New India) is not providing a zero dep policy for my Alto K10 which is completing 5 years. I understand there are other insurers which offer zero dep policy for cars older than 5 years, I have a query on whether it makes sense to opt for a zero dep insurance for cars older than 5 years or can I opt for a regular one itself? Also, people having more knowledge could comment on whether it would be possible to again take a zero dep policy next year with new insurer if I opt for a regular one with existing insurer this year? Thank you for your time!
	(7) Thanks

10th August 2021, 10:57	#2
GTO Team-BHP Support Join Date: Feb 2004 Location: Bombay Posts: 70,546 Thanked: 300,788 Times View My Garage	Re: Should I take zero-dep insurance for a car older than 5 years? Maybe not required for an Alto which has such cheap parts anyway, but I usually take zero-dep for all my cars, no matter how old they are. For my 8-year old German ride, the zero-dep component costs as much as the comprehensive insurance itself, but I'd rather not worry about the expensive part costs. So it's a no-brainer for me and I will take it till as long as any insurance company is willing to give zero-dep coverage to my older car.
	(11) Thanks

10th August 2021, 12:15	#4
Rajeevraj Distinguished - BHPian Join Date: Aug 2011 Location: Bangalore Posts: 4,607 Thanked: 17,685 Times	Re: Should I take zero-dep insurance for a car older than 5 years? Actually there are very few insurers who provide Zero Dep post 5 years. I had a Bajaj Allianz insurance for all of my first 5 years and they still did not give a Zero Dep for the 6th year. If you switch providers also, there are very few that do give it. But if you are able to get it, it would definitely good to have. Having said that maybe does not make sense to go completely out of the way and pay a large premium to get it though.
	(1) Thanks

24th August 2021, 19:48	#5
BoneCollector Distinguished - BHPian Join Date: Apr 2011 Location: BIHAR Posts: 3,203 Thanked: 10,815 Times View My Garage	Re: Should I take zero-dep insurance for a car older than 5 years? My Brezza completed 5 years this May. For insurance renewal, I opted for zero depreciation of ICICI through Maruti Insurance. My earlier provider was National Insurance through Maruti Insurance but they don't offer zero dep after 5 years. On the other hand, ICICI was offering zero dep till 7 years so opted for it. My car had a bad shunt in December last year where it was rear ended by a truck and it rammed into another vehicle in front due to it. Thanks to zero dep, I paid only the processing fee. Total bill came to nearly 1.25L. Had it not been for zero dep, I would have been . In my nearly 23 years of driving, this was the first shunt and I hope it stays like that. Even if you're a very cautious driver, you can't stop morons on the road. So my advice would be to opt for zero dep till it can be availed. It solves a lot of hassle. The premium will be more but there is no substitute for peace of mind. Last edited by BoneCollector : 24th August 2021 at 19:55.
	(4) Thanks

25th August 2021, 09:34	#6
Storme5257 BHPian Join Date: Apr 2021 Location: Pune/ Nashik Posts: 25 Thanked: 40 Times	Re: Should I take zero-dep insurance for a car older than 5 years? You might find this surprising but my 2007 santro xing still has zero dep insurance. I do not have any claim history, nor my car has expensive spares but it is a peace of mind and I wouldn't have to shell out much money in case of major work at the company service centre. Hyundai labour and part charges are absurd at times. Guess I will take 3rd party insurance this time the zero dep one expires. Last edited by Aditya : 13th September 2021 at 04:26. Reason: As requested
	() Thanks

25th August 2021, 17:20	#10
Samfromindia BHPian Join Date: Jan 2014 Location: Kolkata - Pune Posts: 726 Thanked: 2,799 Times	Re: Should I take zero-dep insurance for a car older than 5 years? My 2014 Ecosport have crossed 7 yrs. On 8th year I renewed zero dep insurance from IFFCO Tokio, however they limited IDV of my car to 43% of original ex showroom price, down from 50% last year. Following are the insurance providers whose zero dep policies I have taken so far: 0-1 Yrs : Future Generali 1-6 Yrs : HDFC Ergo 6-8 Yrs : Iffco Tokio
	() Thanks

26th August 2021, 20:35	#12
aneesh2M BHPian Join Date: Jul 2021 Location: Pune Posts: 91 Thanked: 139 Times	Re: Should I take zero-dep insurance for a car older than 5 years? Yes you should opt for zero dep insurance as long as you can get one. Usually you can get it for 10 years of car age. Even if the parts are cheap for alto, a major damage like front end which may require many parts like bumper, headlights, etc. Which comes under 50% dep. Straight away in case it's not zero dep. May give you a major hit. Which will be saved in case of zero dep.
	(1) Thanks