Zero Depreciation Insurance EXPOSED: Does It Really Cover Your Tyres?

Zero depreciation bike insurance is a popular option for two-wheeler owners. It offers full protection without cuts for wear and tear. While this add-on policy covers most bike parts, there is often confusion about whether tyres are included under this coverage. This article explores the details of zero depreciation insurance, how it works, and whether it covers tyre damage.

What is Zero Depreciation Bike Insurance?

Zero depreciation insurance, or bumper-to-bumper insurance, is an add-on for comprehensive bike insurance. Normally, when a bike part is damaged and needs to be replaced, insurers deduct depreciation before settling the claim. With zero depreciation coverage, the insurer pays the full replacement cost. They do not factor in depreciation.

This means policyholders get more money for claims than with a standard comprehensive policy. It is particularly beneficial for owners of new or expensive bikes, as it helps save significant repair costs in case of an accident.

Does Zero Depreciation Insurance Cover Tyres?

Tyres are a key part of a two-wheeler. Coverage under zero depreciation insurance depends on the insurer and the policy terms. Here’s what you need to know about tyre coverage:

1. Tyres are Considered Wear-and-Tear Items

Tyres naturally wear out with regular use, which is why most insurers do not cover them under zero depreciation insurance. Just like brake pads, clutch plates, and engine oil, tyres fall under consumable items that degrade over time.

2. Limited Coverage for Accidental Damage

While normal wear and tear are excluded, some insurance policies may offer coverage for tyre damage caused by accidents. However, even in such cases, insurers may apply depreciation unless you have an additional tyre protection add-on.

3. Depreciation on Tyres in Standard Policies

If your bike’s tyre gets damaged in an accident and you have a standard comprehensive policy (without zero depreciation), the insurer will pay based on the tyre’s current value after depreciation. Typically, tyres depreciate at the following rates:

• 0-6 months: No depreciation
• 6 months – 1 year: 5% depreciation
• 1 – 2 years: 10% depreciation
• 2 – 3 years: 20% depreciation
• 3+ years: 50% depreciation

This means that as your bike ages, the claim amount you receive for tyre replacement reduces significantly.

4. Tyre Protection Add-On

Some insurers provide a tyre protection add-on. This covers tyre damage from cuts, bursts, or accidents. This add-on covers the full replacement or repair cost without applying depreciation.

When Can You Claim for Tyre Damage?

If your tyres suffer damage, your ability to claim insurance depends on the cause of the damage and the type of policy you have. Here are some common scenarios:

Covered Under Comprehensive Insurance (with Tyre Add-On):

• Accidental damage to tyres.
• Irreparable tyre damage due to road hazards like potholes.
• Tyres damaged due to vehicle collision.
• Theft or vandalism resulting in tyre damage.

Not Covered Under Insurance:

• Regular wear and tear of tyres.
• Damage due to improper maintenance or overuse.
• Tyre bursts caused by excessive load or incorrect air pressure.

Benefits of Zero Depreciation Insurance (Even Without Tyre Coverage)

While tyres may not always be covered, zero depreciation insurance still offers several benefits, such as:

• Higher Claim Settlement: You receive full claim amounts without depreciation deductions.
• Covers Expensive Parts: Covers the cost of costly components like the engine, body parts, and electronics.
• Ideal for New Bikes: Best suited for new or premium bikes that require high repair costs.
• Reduced Out-of-Pocket Expenses: Minimizes the money you need to pay during repairs.

How to Get Maximum Tyre Coverage?

If you are concerned about tyre protection, consider these options:

1. Choose an insurer that offers a tyre protection add-on – This ensures complete coverage.
2. Check your tyres often. Keep them properly inflated and inspect them regularly. This helps them last longer and avoids extra damage.
3. Check policy exclusions before buying. Read the terms to know what tyre coverage includes.

Conclusion

Zero depreciation insurance is a great add-on. It offers full protection against depreciation deductions on most bike parts. However, tyres are generally excluded because they are considered consumable components. If you want full tyre coverage, consider adding a tyre protection add-on to your insurance policy.

Always read the terms and conditions of your policy before purchasing to ensure you get the coverage you need. With the right insurance plan, you can ride confidently, knowing your bike is well protected.

Must read:

• Must-Know Secrets: Shocking Benefits & Hidden Traps of TVS Insurance!
• Shocking Truth About Cashless Health Insurance: How to Get Instant Hospital Bills Covered!
• Shocking Truth About NCB Calculation in Motor Insurance – Don’t Lose Your Savings!

FAQs on Zero Depreciation Insurance and Tyre Coverage