HDFC ERGO Zero Depreciation Add-on

Over time, the value of an asset reduces. The decrease in the monetary value of an asset over time is known as depreciation. The process of losing the monetary value of the two-wheeler over a period of time because of factors such as age, wear and tear etc. is known as depreciation. At the time of filing a claim for two-wheeler, people often end up paying a large amount due to depreciation deduction. A zero depreciation cover comes in handy under such a situation. Zero depreciation cover offers comprehensive coverage considering depreciation.

The HDFC ERGO Zero Depreciation can be availed with the HDFC Comprehensive bike insurance policy as well as with the HDFC Standalone Own-damage cover for bikes.

Benefits of HDFC ERGO Zero Depreciation Add-On Cover

You can enjoy the following benefits with zero depreciation cover offered by HDFC ERGO General Insurance.

• Helps You Get Full Claim Amount - If you opt for this add-on cover, no depreciation expense will be deducted by the insurer at the time of claim settlement and you get full claim amount.
• Unlimited Number of Zero Depreciation Claims Allowed - Most insurance companies allow 2 claims under the zero depreciation add-on, however, HDFC ERGO General Insurance allows its policyholders to make unlimited number of claims under the zero depreciation add-on cover.
• Saves Money- When you purchase zero depreciation add-on cover, the premium of the policy becomes a little higher but in case an unforeseen event takes place, no depreciation shall be imposed on the two-wheeler and the claim amount shall be calculated without considering the depreciation, which helps the policyholder get a higher compensation.

Depreciation Rate Applicable on Bike With And Without Zero Depreciation Add-on

What is Included under an HDFC ERGO Two-Wheeler Insurance Policy with Zero Depreciation Cover?

Below mentioned aspects shall be covered under a HDFC ERGO Two-Wheeler Insurance policy with Zero Depreciation Cover:

• Compensation for depreciable parts is provided to the policyholder such as nylon, rubber, fiberglass and plastic parts.
• Cost of replacement and repair at time of claim settlement shall be compensated to the policyholder.
• Some policies with zero depreciation cover cover partial damages to the battery and tyres without calculating the depreciation.
• One can avail zero depreciation cover at the time of purchasing and renewing the policy.

What is not Included under a HDFC ERGO Two-Wheeler Insurance Policy with Zero Depreciation Cover?

Below mentioned are the aspects which shall not be covered under a HDFC ERGO Two-Wheeler Insurance policy with Zero Depreciation Cover:

• Damage to the two-wheeler caused due to mechanical faults
• Wear and tear or routine ageing shall not be covered under a two-wheeler insurance policy with zero depreciation cover
• Loss of the vehicle or total damage of the two-wheeler
• Damage caused to the uninsured items of the two-wheeler such as tires, gas kits and bi-fuel kit.

There are certain conditions set by the insurer to avail the zero depreciation cover.

• You cannot avail zero depreciation cover if the bike is completely damaged or stolen
• You can opt for the zero depreciation add-on only if the bike you are insuring is not more than 5 years old.
• You can only avail zero depreciation add-on cover 2 times during the entire policy tenure.