Is Zero Depreciation Cover Worth It for Your Car?

A motor repair estimate can be surprising even when the accident is covered. Standard own-damage claims may account for depreciation on replaced parts, leaving part of the bill with the owner. A zero depreciation add-on is designed to reduce that particular gap, subject to its terms.

It is useful protection for some cars, but it is not a blanket promise of a zero-rupee repair.

What may still come from your pocket

Compulsory and voluntary deductibles, excluded items, consumables, betterment, uncovered damage and repairs outside the approved scope may still be payable. Claim limits or vehicle-age rules can also apply.

When the comparison is worth making

Owners of newer cars, vehicles with costly plastic or composite parts, and cars driven frequently in dense traffic often find the add-on easier to justify. For an older vehicle, compare the additional premium with realistic repair exposure and eligibility.

• Ask how many claims the add-on permits.
• Check whether tyres, batteries and consumables are treated separately.
• Compare authorised repair options and claim service, not only price.

What to remember

Read one sample claim calculation with and without the add-on. Seeing the unpaid lines is the quickest way to understand what you are buying.

Coverage, exclusions, limits and claim requirements vary by insurer and policy. Read the customer information sheet and policy wording before you buy or renew.