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Old 22nd March 2022, 12:49   #5161
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Re: Automobile Insurance Queries? Ask me

This is my understanding

IDV is the value that you are putting for your car for total loss. That is the reason why it depreciates year on year, and even on the parts to be replaced, there is a depreciation.

IDV has no role while selling your car. IDV is what you tell the insurance company that this is the total liability I am expecting from you in case of a claim. The sale value is between you and seller, nothing to do with insurance company.

RTI cover covers other add ons like road tax etc., which you pay while buying the vehicle in case of a total loss. In other words, if there is a total loss, without RTI, insurance would pay you IDV only, and in case of RTI cover, they pay IDV+Road tax.

It is completely upto you how much you want to insure your car for, that is your risk assessment. with every year depreciation, people tend to depreciate it less or more. Some may want to keep the highest possible amount and others may choose a lower amount.

At the time of buying, not sure if there is a legal restriction on how much you want to keep your IDV. Because only third party is mandatory as I understand.



Quote:
Originally Posted by StepUP! View Post
Sorry if this has been answered before, I didn't know how to search for it. I have a query on car's IDV and RTI cover.
When I have RTI cover, I don't see a point in buying an insurance with higher IDV, typically 95% of car's ex-showroom price. Reason being both come into play only in case of total loss. (IDV could play a role while selling the car, but I see that is very limited in scope).

So in case of total loss, when my RTI cover is giving me invoice amount, why would I waste my money on higher IDV which is redundant anyways? RTI cover is cheaper to buy.
For ex., my new XUV with 22 lakhs IDV is priced at 80k with covers like RTI, zero-dep, engine, consumables etc.
If I reduce the IDV to 16L, the insurance premium gets reduced to 65K with same add-ons, which is considerable saving.

And many insurance companies give option to alter IDV if you wish to during subsequent years.

This theory / assumption of mine isn't debunked yet to whoever I spoke with.

One remote possibility could be, in case of major repairs, lower IDV might result into total loss where higher IDV would go for repairs. This again I see as an advantage to the buyer as I will prefer total loss in case of major repairs.
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Old 22nd March 2022, 13:05   #5162
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Re: Automobile Insurance Queries? Ask me

Quote:
Originally Posted by sriturl View Post
This is my understanding


If there is a total loss, without RTI, insurance would pay you IDV only, and in case of RTI cover, they pay IDV+Road tax.
Is that correct? AFAIK, RTI is return to "invoice" which means ex showroom plus the taxes you paid to RTO. That's the whole point of RTI ccver, it entitles you to claim almost close to the on road amount you paid to buy the car. You can check with the insurance company but this is what they explained to me.

Last edited by Aviator_guy : 22nd March 2022 at 13:07.
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Old 22nd March 2022, 14:01   #5163
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Re: Automobile Insurance Queries? Ask me

Quote:
Originally Posted by Aviator_guy View Post
Is that correct? AFAIK, RTI is return to "invoice" which means ex showroom plus the taxes you paid to RTO. That's the whole point of RTI ccver, it entitles you to claim almost close to the on road amount you paid to buy the car. You can check with the insurance company but this is what they explained to me.
I think you are right. It is explained here. - https://www.godigit.com/motor-insura...-invoice-cover
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Old 22nd March 2022, 15:57   #5164
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Re: Automobile Insurance Queries? Ask me

Quote:
Originally Posted by sriturl View Post
I think you are right. It is explained here. - https://www.godigit.com/motor-insura...-invoice-cover
So this proves my assumotion, right? In case of total loss IDV plays no role here. What I get is invoive value irrespective of what's IDV.
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Old 22nd March 2022, 16:11   #5165
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Re: Automobile Insurance Queries? Ask me

Quote:
Originally Posted by StepUP! View Post
So this proves my assumotion, right? In case of total loss IDV plays no role here. What I get is invoive value irrespective of what's IDV.
It depends on scenario.
1. If car is stolen then RTI cover kicks in without any consideration for IDV declared. But how soon the paper work is completed and how many hoops they make you jump due to complexity involved is another story.

2. Accident which renders the car beyond repair. In this case the cost of repair is compared against the IDV declared to decide whether car can be declared total loss and RTI claim can be accepted. So in this case, IDV plays a role.

Others can add comments/points if I missed.

Last edited by Aviator_guy : 22nd March 2022 at 16:15.
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Old 25th March 2022, 16:05   #5166
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Re: Automobile Insurance Queries? Ask me

My car's financier is demanding(yes, demanding) that I share the insurance copy with them. Why would they need it ? What if I refuse ?

From a law & order standpoint, I am solely responsible.

Note: They are listed as the broker in the insurance and could perhaps need this copy to secure their margins. Not sure. Car came with 3 years of 3rd party coverage, copy of which is already with them.
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Old 25th March 2022, 16:10   #5167
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Re: Automobile Insurance Queries? Ask me

Quote:
Originally Posted by vinu_h View Post
My car's financier is demanding(yes, demanding) that I share the insurance copy with them. Why would they need it ? What if I refuse ?

From a law & order standpoint, I am solely responsible.

Note: They are listed as the broker in the insurance and could perhaps need this copy to secure their margins. Not sure. Car came with 3 years of 3rd party coverage, copy of which is already with them.
Are they asking to check that the hypothication is correctly assigned to them? SBI asked me for insurance copy to verify the same.
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Old 2nd April 2022, 23:18   #5168
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Mod Note : Please use the EDIT or QUOTE+ (multi-quote) button instead of typing one post after another on the SAME THREAD!

To know how to multi-quote, click here.

We advise you to read the Forum Rules before proceeding any further.

In Jan 2020 I took a claim(new India policy done through Maruti insurance ) since my Baleno's rear bumper was damaged in a minor accident. The policy expired on March 2021 and I shifted to Bajaj Allianz through an agent(I lost ncb since I took claim). Fast forward to March 2022 I went to Maruti a.s.s to renew my policy from them since I shifted to Punjab and did not want any hassle for cashless claim(god forbid if I want to take one), they asked me to get ncb certificate if I want to get ncb amount. I told them to check my renewal quotation (from bajaj)which clearly said 0 claims taken. Later I talked to the manager and he assured me that I'll get the ncb amount (20%) but the policy premium rose to 19000 from 15000. They said in this case we need to renew only through bajaj which is expensive than new India . Then I renewed my policy from the agent only (in 13000). I just wanted to ask some noob questions from experts here.
Were they right about asking for ncb certificate?
Do we get a cashless claim if we renew the policy through agents?
Is renewing the policy through the policy bazaar/acko is ok for getting the claim(cashless )?

Quote:
Originally Posted by vinu_h View Post
My car's financier is demanding(yes, demanding) that I share the insurance copy with them. Why would they need it?
The financiers need insurance to protect the interest of the bank in case of any mishaps (theft etc)since the car is kept as a security in the vehicle loan.

Last edited by Sheel : 3rd April 2022 at 10:15. Reason: MOD NOTE ATTACHED.
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Old 4th April 2022, 23:50   #5169
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Re: Automobile Insurance Queries? Ask me

I am planning to purchase insurance for my new car Altroz DCA XZA+. The model is not listed in any of the insurance company's website except for the HDFC Ergo, in which it is mentioned that Altroz XZ AMT.
Will it cause any issue in future in case of claim settlement due to difference in the variant names?
Also I don't have much options to select as other insurance providers haven't even updated. Any suggestions?
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Old 5th April 2022, 08:20   #5170
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Re: Automobile Insurance Queries? Ask me

Quote:
Originally Posted by sany0023 View Post
I am planning to purchase insurance for my new car Altroz DCA XZA+. The model is not listed in any of the insurance company's website except for the HDFC Ergo, in which it is mentioned that Altroz XZ AMT.
Will it cause any issue in future in case of claim settlement due to difference in the variant names?
Also I don't have much options to select as other insurance providers haven't even updated. Any suggestions?
You can talk to the customer care of insurance company you have shortlisted and ask for quote with the correct details. That way you can be sure that the particulars are correct.
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Old 5th April 2022, 18:11   #5171
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Re: Automobile Insurance Queries? Ask me

Do I need to buy NCB add-on for new car purchase for first time to claim it? My insurance sales guy is telling no need to buy anything regarding NCB as I am purchasing policy for the first time for the new car. He is saying I can claim it automatically in the coming years afterwards and it is only for transferring from old to new car.
Please confirm.
PS : This is going to be my first car.
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Old 6th April 2022, 13:21   #5172
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Re: Automobile Insurance Queries? Ask me

I'm trying to find an own-damage insurance policy for my one-year-old Kia Sonet. I want the Return to Invoice (RTI) addon along with zero depreciation and engine protection. I have all these addons in my current policy. The ex-showroom price is 12.89 lakhs and the on-road price is around 15.3 lakhs.

When I tried to get a quote from Acko, they don't have the RTI addon available (I don't know the exact reason, their support said it's just not available for my car) but they allow IDV up to 17 lakhs. So if I opt for an IDV value of 15.3 lakhs without the RTI addon, is that the same as getting an insurance cover with IDV 12.89 lakhs + RTI? Acko support says it is, but I'm still not sure.
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Old 9th April 2022, 08:47   #5173
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Re: Automobile Insurance Queries? Ask me

Quote:
Originally Posted by robincsamuel View Post
If I opt for an IDV value of 15.3 lakhs without the RTI addon, is that the same as getting an insurance cover with IDV 12.89 lakhs + RTI? Acko support says it is, but I'm still not sure.
No. As per guidelines, IDV is calculated on ex-showroom price of the vehicle after deducting depreciation as per age (5% for first year and in 10% increments for subsequent years). Payouts from insurance company will be based on depreciated value of your vehicle even if you have chosen an inflated IDV. Only RTI add-on will provide the coverage that you are looking for. Go with some other insurer if Acko does not have it for your car.

Quote:
Originally Posted by sany0023 View Post
Do I need to buy NCB add-on for new car purchase for first time to claim it? My insurance sales guy is telling no need to buy anything regarding NCB as I am purchasing policy for the first time for the new car. He is saying I can claim it automatically in the coming years afterwards and it is only for transferring from old to new car.
Please confirm.
PS : This is going to be my first car.
Your sales guy is right. NCB can be transferred from your old car to new car. There is no need to buy any add-on to claim it later for transfer to another car's policy.

EDIT: If you're talking about NCB protect add-on, it is good to have one. It protects your accumulated NCB (that is otherwise lost) in case of one or two claims during the policy period.

Last edited by self_driven : 9th April 2022 at 08:48.
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Old 9th April 2022, 10:14   #5174
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Re: Automobile Insurance Queries? Ask me

Quote:
Originally Posted by self_driven View Post

EDIT: If you're talking about NCB protect add-on, it is good to have one. It protects your accumulated NCB (that is otherwise lost) in case of one or two claims during the policy period.
For the first year when there is no NCB (unless someone is transferring old car NCB), the NCB protection add on is not available/ is irrelevant. The add on is to protect current NCB which in this case is Zero so this cover doesn't apply.
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Old 9th April 2022, 11:29   #5175
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Re: Automobile Insurance Queries? Ask me

Quote:
Originally Posted by Aviator_guy View Post
For the first year when there is no NCB (unless someone is transferring old car NCB), the NCB protection add on is not available/ is irrelevant. The add on is to protect current NCB which in this case is Zero so this cover doesn't apply.
Hi, it could be possible that this add-on is unavailable with some insurers but I don't see any reason why it will be irrelevant for first year. My understanding is that, if one has opted for NCB protect for a brand new car, he/she will be entitled to 20% NCB at the time of renewal if there is a claim in the first year (i.e. 1 or 2 claims will be counted as zero claims as long as policy is renewed through same insurer). Without this add-on, NCB at the time of renewal will be 0%. So it is very much relevant even for first year policy. Correct me if I'm wrong.

Last edited by self_driven : 9th April 2022 at 11:39.
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