In other words, Bajaj Allianz zero depreciation car insurance prevents a car from losing its value due to depreciation. It enables the car owner to get an IDV equivalent to the current selling price of the vehicle as listed by the manufacturer despite an increase in its age. Therefore, zero depreciation add-on cover is also known as nil depreciation cover or bumper-to-bumper car insurance.
A Bajaj Allianz car insurance policy will reimburse the depreciation value of the insured car and its parts only if the car owner buys zero depreciation add-on cover by paying an additional premium amount. Moreover, zero depreciation cover is only available under Bajaj Allianz comprehensive or standalone own damage car insurance and not under third party car insurance.
Benefits of Buying Bajaj Allianz Zero Depreciation Car Insurance
Here are some of the benefits of buying Bajaj Allianz zero depreciation car insurance:
- Covers Out-of-Pocket Expenses - It prevents a car owner from incurring out-of-pocket expenses at the time of claim as the Bajaj Allianz General Insurance Company covers the depreciation value of the insured car and its parts
- Provides Higher Claim Amount - It offers a higher claim amount to the car owner as no money amounting to depreciation is deducted from the value of the car or its parts. As a result, the IDV increases and the policyholder is able to get a higher claim amount in the event of theft or total loss claims.
- Expands Policy Coverage - It expands the coverage level of a Bajaj Allianz car insurance policy as it provides coverage for the amount of depreciation applicable to the insured car as well as its parts.
- Saves Money - It allows the car owner to save money and prevent a financial loss as he/she does not have to pay any money towards depreciating value of the car and its parts.
Special Conditions Applicable to Bajaj Allianz Zero Depreciation Car Insurance
The zero depreciation cover under Bajaj Allianz car insurance comes with certain special conditions. They are as follows:
- Age Restriction - Zero depreciation car insurance is available only for cars up to three or five years of age.
- Approved Garages - The zero depreciation car insurance will reimburse the depreciating value of the car, provided the insured car is being repaired at an approved garage of Bajaj Allianz General Insurance Company.
- Number of Claims - The Bajaj Allianz zero depreciation car insurance allows for a maximum of two zero depreciation claims in a policy year.
Note: This is your car’s recommended IDV as per IRDAI’s depreciation guidelines.asdfsad However, insurance companies allow you to modify this IDV within a certain range (this range varies from insurer to insurer). Higher the IDV, higher the premium you pay.Read More