July 22, 2021

Buying a Comprehensive Car Insurance policy provides coverage against the damages caused to your car. However, in the event of repair/replacement of the engine, the insurance company will not pay its cost. In order to cover the engine repair cost, you need to get an engine protection add-on cover with your comprehensive car insurance policy.

Mr. Rajesh Shah bought a comprehensive car insurance policy to get the complete coverage against the damages caused to his Maruti Suzuki Baleno. The engine repair due to water ingression costs him a huge amount of Rs 95,000 and the auto insurance cover he bought last year, did not pay for these engine repair expenses. Rajesh did not have to pay this huge engine repair cost from his pocket if he had opted for ‘Engine Protection Add-on Cover’. The insurance company would pay the entire cost for engine repairs or replacement.

Engine Protection Coverage available from Different Insurers

Engine Protection Cover Coverage
ICICI Lombard Engine Protect Plus Expenses incurred in repair or replacement due to consequential damages to engine parts, differential parts, and gearbox parts
HDFC ERGO Engine and Gear Box Protector Covers consequential damages to the internal parts of the engine and gearbox of the insured vehicle
Bharti AXA Engine and Gearbox Cover Cover you if your car breaks down due to damage to the internal parts of the engine and gearbox.
Tata AIG Engine Secure Pay your repair and replacement expenses for the loss/damage to internal parts of the engine, gearbox, transmission or differential assembly
Bajaj Allianz Engine Protector Covers the consequential damage to the internal parts of the engine and gearbox of the Insured Vehicle arising out of water ingression/ leakage of lubricating oil

(Note: The coverage specified above is from just a few insurers. You may explore plans from other insurers to pick the right cover for your vehicle.)

Significance of Protecting the Engine

The engine of your vehicle is exposed to serious damages during the rainy season when the roads are usually waterlogged. If the water enters the engine, it may cause serious damage to it. Any engine repair costs a huge sum of money, due to hefty material and labor charges. An Engine Protection add-on cover will reimburse the cost of repair of the engine.

Choosing this add-on coverage with a basic auto insurance policy will surely increase your premium amount, but it proves beneficial in the long run. Your comprehensive auto insurance policy does not provide cover for your vehicle’s engine and it’s thus wise to opt for this add-on cover. An engine protection add-on will provide cover against any repair cost for the damaged engine and its parts like crankshaft, piston, gearbox, pins, cylinder, etc.

Who Should Buy the Engine Protection Cover?

This motor insurance cover is highly advisable for:

  • People living/ working close to a flood-prone area
  • People who own high-end/luxurious cars whose engine repair cost is quite huge
  • For those who want to avoid all kinds of financial risks with respect to engine repair.

How much it costs?

The cost of a motor insurance policy with Engine Protection Cover is slightly higher than a basic motor insurance policy.

Insurance Company Basic Car Insurance Premium (INR) Engine Protection Cover Premium (INR) Total Premium (INR)
ICICI Lombard 21,245 1,041 22,286
HDFC ERGO 21,172 1,270 22,442
Bharti AXA General Insurance 20,793 1,102 21,895
Tata AIG 20,853 1,120 21,973

(Note: The premium illustration is calculated for a newly bought Maruti Baleno 1.2 ALPHA)

What an Engine Protection Add-on Policy Includes?

An Engine Protection add-on cover protects you financially when your vehicle is encountered with the following situations:

  • Leakage of lubricating oil: With engine protection cover, expenses incurred for repairs done due to the leakage of lubricating oil are covered.
  • Water ingression: By choosing this add-on cover, you will get coverage for expenses against damages caused due to the ingression of the water in the engine & its parts.
  • Gearbox damages: Expenses incurred for the repair done for damages due to gearbox malfunction are covered.
  • Hydrostatic lock: The engine protection add-on provides cover for the cost incurred in fixing the hydro locked engine.

Note: The coverage available under this add-on cover may differ from one insurance company to the other and you must read the fine print before choosing a policy.

What is not included under Engine Protection Cover?

An engine protection cover proves extremely beneficial, especially during monsoon. However, there are some exclusions under this policy.

  • Force start: When you try to force start your vehicle when it is submerged under the water, it can cause serious damages to the engine. It is considered as an intentional move of damaging the engine and thus not covered.
  • Consequential damages: Any consequential damages, which are not directly caused by the accident will not be covered.
  • Validity: This add-on cover does not offer cover for an unlimited number of claims and you need to read the policy terms to ascertain the number of times your claims will be admissible.
  • Age: The engine protection add-on cover offers coverage for cars not more than 5-year-old.

To the end

A car with a damaged engine is just a scrap. You are thus required to get the engine protection cover to avoid financial crises that may arise due to the cost of a repair/ replacement of the damaged engine. You are advised to call on the insurer’s customer executive or agent to get the complete details of the engine protection cover and then decide whether it makes sense to take this add-on cover.

Apart from the engine protection cover, you can consider choosing a zero depreciation cover which will help you to get the entire claim amount against accidental damages for your vehicle.

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