All You Need to Know About RTI in Car Insurance

A car is no longer a luxury in today’s times. It is an essential travel requisite. With cities growing each year by kilometres, commuting requires you to have a vehicle of your own. Moreover, easy finance options make it even more affordable to own a car. But buying a car is not the end of your wishlist. You need to comply with a few other statutory requirements like registration and insurance.

The Motor Vehicles Act makes it mandatory for every vehicle registered in the country to have a valid insurance document. Even though a third party car insurance cover is the minimum requirement, it is much logical to opt for a comprehensive cover when you buy car insurance online.

This way, you can put-off any unexpected damages or injuries, whether to own or to others. Also, any financial liabilities are taken care of by your insurer. A comprehensive cover, when combined with necessary add-ons, goes a long way in providing full-fledged protection for your beloved car. One such nifty cover that you can choose is return to invoice or RTI cover.

What is RTI in car insurance?

One declares the insured declared value (IDV) when opting for a comprehensive cover. But even after declaring the IDV, depreciation is accounted to arrive at its true market value. This gap between the invoice value of your car and its IDV is filled using return to invoice add-on.

Any costs paid towards your car can be recovered using the RTI cover when you have a case of lost or stolen or any damage beyond repair. And yes, by any cost we mean the road taxes too! Also, you can make this addition as you buy car insurance online.

When is RTI cover applicable?

The terms for applicability differ among insurers. Some insurers offer an RTI cover for cars not more than three years old whereas a few others up to five years.

When is RTI cover not available?

The RTI cover is an exclusive feature available for those who are seriously interested in having their vehicle financially insured, i.e. those having comprehensive car insurance policy.

But a few pointers you need to bear in mind when buying this add-on:

  • This cover is not available for old cars. While the term old cars are defined differently by each insurer, some term it as a car older than three years whereas others as five.
  • Minor damages like scuffs or repairs to your car are not covered under this add-on. Only cases of complete damage or theft are included under its purview.
  • It is not available when buying third-party car insurance.

What are the benefits of RTI Cover?

Available at a fraction of the cost of your standard comprehensive insurance, let us look at how it can help you.

Special care for your new car

A new car with its freshly baked paint straight from the assembly line is sure going to stand out in every parking lot. These brand new cars are also the target for thieves, and in such a case, it can be mentally draining in case of theft. Your RTI cover is there to cover your financial loss.

Increases scope of coverage

This add-on will provide an additional cover that you can buy with your insurance policy. Add-ons help increase the scope of coverage to your insurance policy.

Can be combined with other add-ons

When combined with other necessary add-ons as per requirement, you can ensure your money’s worth from your insurance policy covering almost all unfortunate events for your car.

Using a car insurance calculator, you can estimate the premiums when loading it with an RTI cover. Be prudent and get this cover to ensure you have all-round protection in your motor insurance policy.