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Zero Depreciation Cover For Car Insurance - Benefits And Limits

​​​​​​​In a zero-depreciation or nil-depreciation policy the entire claim amount is paid by the Car Insurance Company​ without considering the depreciation on the value of the car. Obviously, you have to pay slightly more in terms of your premium. However, this add-on feature is highly recommended to everyone considering the fact that it eliminates the possibility of any out-of-pocket expense from the owner.  This add-on extends to the repairing costs of fibre, glass, rubber parts and plastic

 
The following are a few important points to consider while opting for a zero-dep policy:​​​

 
  • The zero depreciation policy is applicable to cars under the age limit of 3 years. So in other words, only new cars are      
         eligible for nil-depreciation policy. 
  • You can make only a certain number of claims under the nil-depreciation policy. This is to limit the customers from making                 claims about every small dent in their car.