Stocks● Neutral
Own Damage Insurance: Key Protection During Monsoon Season
Own Damage cover protects your vehicle from flood and storm damage. Experts explain key add-ons like engine protection and return to invoice for monsoon risks.
Continue with
The monsoon season brings increased risk of flood damage to vehicles. Standard third-party insurance covers only damage to others. Own Damage (OD) cover is necessary to protect against repairs from water ingress and fallen trees.
Experts say many drivers focus on the cheapest premium without considering the extent of protection they forgo. One key factor is the Insured Declared Value (IDV), which sets the maximum payout. Choosing a lower IDV reduces the premium. It also lowers the amount payable if the vehicle is stolen or declared a total loss. When repair costs reach about 75% of IDV, insurers may treat the vehicle as a constructive total loss.
Add-ons can fill gaps. A Return to Invoice add-on can provide the original purchase price instead of the depreciated IDV. Engine and Gearbox Protect covers water ingress damage, which a standard OD policy may treat as consequential damage. Consumables Cover pays for engine oil and coolants during repairs. Roadside Assistance offers towing if the vehicle breaks down during the monsoon.