Don’t Forget To Do This While Buying Car Insurance.

A brand new car loses somewhere between 9-11% of its value, the moment you drive it off the showroom lot. The culprit? Depreciation. 🚗

Since our vehicles are primarily a mechanical device it is prone to regular wear and tear and loses its efficiency over time thereby losing its value. According to IRDAI, by the 4th year your vehicle will lose around 50% of its value due to depreciation. The depreciation rates also varies as per the component of the car. For eg - rubber, nylon, plastic parts and batteries have the highest depreciation rates.

When we make insurance claims for damage to our vehicles the insurer will not cover the depreciation cost of the components being replaced. For eg, if your car is more than 4 years old then you may have to pay close to 50% of the bill.

To avoid paying this, it is recommended to also get a ‘Zero Depreciation Add-on’ to your vehicle insurance. This add-on typically costs 15% of the base insurance premium and varies as per the model of your car, location and age. It is not available for vehicles older than 5 years.

➡️ Source: Digit, Ramsey Solutions
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#financewithsharan #carinsurance #vehicleinsurance #insurancepolicy #insuranceclaim #insurancetips #investingforbeginners #personalfinance

[domcity]

Initially when we came across this channel, we used to find last line weird but now enjoying to listen it. Don't know why.. May be because we are impressed with your content as we watch daily and so started liking you 😊

[ThDaniel]

This is a very important add-on clause everyone should add in their vehicle insurance

[nihalchand]

Note that 15% extra is not the total insurance 15%. Its car ex showroom price 15%.
If your car cost 10L = then zero dept is of 15k + comprehensive insurance approx 12-15k
Laymen term -
Comprehensive = 12-15k
Comprehensive + zero dept = 12-15k + 15k = 27-30k
Hope it helps

[Lastlaugh]

I follow you r the first informative reels for me🤘🤘🤘....great energy by the way

[PranavBhattad]

Fun fact if you add all the add-ons and extras of car insurance you end up paying more than the cars price

[shyamtaneja]

Hehehe I purchased this add on without the proper knowledge/understanding but now I am well understood and nown proud Thanks to your video👍👍👍😀😄
I follow you Mann broooo👍😄

[ashokshenoy]

How DO you know all this.?? Ur wide knowledge surprises me

[target_Judiciary]

It's not just 15% extra. It's almost about 100% of the own damages amount.

[Daneshnr]

You should do a segment on car insurance where after a certain time and based on the car segment, the insurance company will stop giving you Own Car Damage insurance and only 3rd party insurance coverage

[DEEPAKSEHRAWAT]

Sharan
Bro. Please make a video of your monitor screen with steps and insurance company that offer zero Dep.

[IndianBoy]

He has very good financial knowledge even though he is a mechanic

[nobody]

Dude, I really appreciate your videos. But when I went shopping for a car insurance, most big companies offered just a First Party Insurance and one more called "bumper to bumper insurance".
The second one costed about twice as much as the first part Insurance .

100 %. Not 15%.

[Technewlogy]

What has zero dep gotta do with damages i fail to understand? Zero dep should be important if the whole car is totalled right because in that case you get the enrire calue of the car without any depreciation.
But why would i be paying more if its just normal damage?

[kaustabhgogoi]

True... But its applicable only uptill 5 years from the date of purchase

[dianapriyadarshinilp]

Love all your videos and my son's repeats always ... " I follow my man finance with sharan"

[longerreign]

Bro how about make a playlist with all ur vids on diff topics

[roygomes]

My celerio car is 6 yrs old, needs for addon like engine protection dero depreciation

[veerendrars]

Hi Sharan,
Kindly do a video on this topic or suggest me the what is right or anyway how to get
My friend worked in a limited company from 17th Jan 2011 to 14th Jan 2016, as company have gratuity policy, he asks for gratuity considering he worked 240days in 5th year, but company gave him reason that he worked in contract roll from 17th Jan 2011 to 31st July 2011 and from 1st Aug he is taken to permanent roll, such that 240 days he didn't complete in the 5th year so he is not eligible for gratuity....kindly elaborate the issue and give ur opinion...thanks in advance

[umangpandey]

Sharan I love your videos and along with it how you act is just fantastic

[Naveencoin]

Most of the insurance companies will not give zero-dep policy for vehicles beyond 3 years.