· Glossary ·
Plain-English definitions
Every motor-insurance term we use in your audit — explained without jargon. Most read in under a minute.
- · Consumables Cover ·
Consumables
- On a major repair, the workshop bill includes consumables (engine oil, brake fluid, coolant, AC gas, nuts, bolts, washers, lubricants) — typically ₹5,000–₹15,000. The base policy deducts these from the claim payout. Consumables cover removes the deduction. Worth more on older cars where claims are more frequent. Typical cost: ~₹800/year.
- · Engine Protection ·
Engine Protector
- The base comprehensive policy does NOT cover engine damage that's consequential to flooding (water ingress, hydrostatic lock) or oil-leakage failure. Engine Protection fills this gap. CNG / LPG cars are at higher risk because the dual-fuel intake sits lower. Customers in Mumbai, Kalyan, Chennai, Kolkata, Bengaluru should treat this as essential — typical cost ₹1,200–₹2,500/year vs. ₹60k–₹1.2L hydrostatic lock repair.
- · Insured Declared Value ·
IDV
- IDV is the agreed market value of your car set at policy purchase. On total-loss claims (theft, irrecoverable damage) this is the maximum payout. A higher IDV protects you better but raises the premium. A lower IDV saves premium today but leaves you short if the worst happens. Compare against current resale value on Cars24, Spinny, or a dealer to know if yours is fair.
- · Key Replacement Cover ·
Key Replacement
- An add-on covering the cost of replacing lost / stolen / damaged keys, including dealer-programmed smart keys. Worth ~₹500/year on premium / smart-key vehicles.
- · Loss of Personal Belongings ·
Loss of Personal Belongings
- An add-on covering personal items (laptop, bag, phone) stolen from the vehicle after a break-in. ~₹250/year. Most valuable for premium-vehicle owners.
- · No Claim Bonus ·
NCB
- NCB rewards claim-free years with a discount on next year's premium. Year 1 claim-free → 20% off; Year 2 → 25%; Year 3 → 35%; Year 4 → 45%; Year 5+ → 50%. A single claim — any size — wipes the discount back to 0%. Rebuilding takes 4–5 claim-free years. NCB Protection (~₹500/year) is an add-on that lets you claim once without losing the discount.
- · No-Claim-Bonus Protection ·
NCB Protection
- Without NCB Protection, any claim — even ₹5,000 — wipes your accumulated NCB to 0%. Rebuilding takes 4–5 claim-free years. NCB Protection (typically ₹500/year) lets you claim once (some insurers: twice) without losing the discount. The protected NCB at 35–45% is usually worth multiples of the add-on premium across the rebuild years.
- · Own Damage ·
OD
- The Own Damage component is where insurers compete on price. It covers accidental damage, fire, theft, natural disasters, and similar. Unlike TP (Third-Party), insurers can discount this freely — which is why two quotes for the same car can look meaningfully different. NCB applies to OD, not TP.
- · Roadside Assistance ·
RSA
- RSA is one of the cheapest, highest-utility add-ons. Your insurer dispatches a 24/7 helpline that handles towing, jumpstarts, flat tyres, locked keys, and minor on-spot repairs. The base comprehensive policy does NOT include any of this. Typically ₹200–₹400/year extra; often bundled free with newer policies.
- · Return to Invoice ·
RTI
- On total-loss claims, the base policy pays IDV — which is lower than what you paid for the car. RTI tops up the difference, paying you the original on-road invoice value. Best value in Years 1–3 when the invoice–IDV gap is widest; less useful after Year 5. Typical cost: ~1% of IDV.
- · Regional Transport Office ·
RTO
- The state government office that registers your vehicle and issues the registration number. RightOffer infers your city + flood-risk profile from this.
- · Third-Party Liability ·
TP
- Third-Party Liability is legally mandatory in India. It covers damage you cause to other people's vehicles, property, or persons. IRDAI sets the price annually by car category — every insurer charges the same TP premium. So when you compare insurer A vs. B, the TP component is identical; the difference is OD + add-ons.
- · Zero Depreciation cover ·
Zero Depreciation
- Without zero-dep, your insurer deducts depreciation on plastic, rubber, fibreglass, and metal parts before paying out — a ₹50k bumper claim might net you ₹25k. Zero Dep removes that deduction. Best value for cars under 5 years; less valuable as the car ages because the depreciation gap narrows. Typical cost: ~1.5% of IDV.