Benefits of Bumper to Bumper Car Insurance

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5 min read

Car insurance is meant to provide financial protection to the vehicle owner in case of any damage or loss to the vehicle. However, not all car insurance policies provide full protection. For this reason, bumper-to-bumper car insurance is offered to car owners. Let’s learn more about this helpful plan in this blog.

What is Bumper to Bumper Car Insurance Plan?

As the name suggests, bumper to bumper car insurance is an insurance policy designed to provide full protection to your car in the event of any mishap. This could include damage caused to the vehicle during an unfortunate accident, or theft of the car. In any of these situations, your insurer would bear the complete cost of repair or replacement of each of the parts of the car. This is why this policy is also known as full-body insurance.

In other words, by availing car insurance bumper to bumper, you are protecting each and every part of your vehicle for no loss of its depreciation value. This means that all fiber, metal, and rubber parts of the vehicle are fully covered by the insurer under this insurance plan. Any damage, loss, or theft of any of these parts is totally covered by your car insurance company.

However, note that this does not happen by default because your base car insurance plan does not provide this kind of complete or total coverage for the vehicle. Your insurer would need you to purchase an add-on cover for car bumper to bumper insurance in order to receive complete coverage for your car against any mishap.

Agreed, the cost of the add-on cover is relatively higher; however, the main advantage that it offers is preventing the car insurance company from value depreciation of the vehicle’s parts at the time of claim settlement. This means that the car owner stands eligible to be reimbursed every single penny spent on damage repair for the car.

Let’s look at some more noteworthy benefits of bumper to bumper car insurance add-on cover.

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Benefits of Bumper to Bumper Car Insurance

Here’s why you must consider buying a bumper to bumper car insurance for your vehicle:

  • Complete protection: The bumper to bumper car insurance coverage under this particular cover is a total 100%. This is the major advantage of buying this add-on cover under car insurance. In case of any damage to the vehicle, the car owner is reimbursed fully for each cost made towards repair of car parts.
  • Total satisfaction to car owners: Repair of car parts or of the entire vehicle in case of major damage can cost an enormous amount of money. But with bumper to bumper car insurance cover, the owner of the vehicle can be rest assured of getting back every penny spent, thanks to complete coverage offered under the plan.
  • Helps owners of premium cars: This cover is particularly helpful to luxury car owners since the cost of damage repairs in this case can be huge.
  • Offers protection against depreciation: During the time of claim settlement in case of any damage, the car owner need not worry about the insurer paying less due to depreciation of the vehicle. Bumper to bumper car insurance means that your car is protected against depreciation owing to any damage caused to any part of the vehicle.

Exclusions Under Bumper to Bumper Car Insurance

We discussed above the benefits offered to the car owner under this specific cover. Now let’s look at some of the items excluded from coverage under this plan:

  • The cover does not provide protection against damage caused to the car engine, glass windows, tyres, car battery, or bearings.
  • Any damage caused to car accessories does not get covered under this plan; the repair or replacement cost needs to be borne by the insured.
  • Claim can be denied if it is determined that the car was used for any illegal activity.
  • Any damage caused to the vehicle because of a mechanical breakdown does not get covered.
  • No coverage provided for any loss caused due to drinking and driving.

Is Bumper to Bumper Car Insurance the Same as Comprehensive Car Insurance Policy?

Since the insurance company provides total or complete coverage under bumper to bumper car insurance plans, it can often be confused with another car insurance policy – comprehensive car insurance.

However, it must be noted here that the two plans are indeed very different from each other. The major difference being that under a comprehensive plan, the insurance company is liable to depreciate the value of the car parts that may have been damaged and need to be replaced while settling the claim.

Bumper to bumper car insurance, on the contrary, is rightly called a ‘Zero Depreciation’ or ‘NIL Depreciation Cover’, since it provides complete cost coverage for all the car parts in case of any damage, regardless of the depreciation value of the vehicle and/or its parts.

Who Should Buy the Bumper to Bumper Car Insurance Add-On Cover?

This add-on cover is most suited for those who buy a new car (assuring 100% cost coverage), people who stay in accident-prone regions, owners of luxury/prime cars, and those who are extremely particular about even minor dents in the car. In this case, they can easily go for car repair, knowing that they will be fully reimbursed for each repair made to any part of the car.

Read More: Know Everything about Bumper to Bumper Car Insurance Policy

To Wrap Up

While bumper to bumper car insurance cost is generally higher than other covers, including comprehensive car insurance policy, it is totally worth the advantage it provides to the car owner. Hence, it only makes sense to buy one for yourself and secure your car against any future damage-repair costs.

Check out bumper to bumper car insurance online for the best deals on cost of the cover as well as protection offered by different insurance companies and then make an informed decision for the security of your vehicle.

Found this post informational? Browse PayBima Blogs to read interesting posts related to Health Insurance, Car Insurance, Bike Insurance, Term Life Insurance and Investment section. You can visit PayBima to Buy Insurance Online.

 

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PayBima is an Indian insurance aggregator on a mission to make insurance simple for people. PayBima is the Digital arm of the already established and trusted Mahindra Insurance Brokers Ltd., a reputed name in the insurance broking industry with 17 years of experience. PayBima promises you the easy-to-access online platform to buy insurance policies, and also extend their unrelented assistance with all your policy related queries and services.

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