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What is Bumper to Bumper Insurance?

Bumper to bumper car insurance, also known as zero depreciation cover, helps cover damages to the car caused by an accident, despite the depreciation of its parts. It is primarily suitable for car owners who fall under the categories listed below:

  • New car owners

  • High-end luxury car owners

  • Inexperienced or new drivers 

  • Car owners who frequently drive in accident-prone areas

Getting one can be immensely beneficial to secure your vehicle in the long run. Read on to learn more about bumper to bumper car insurance and other details in the following sections:

Impact of Car Depreciation

Before delving into bumper to bumper car insurance, it is crucial to understand the impact of car depreciation on your insurance claim. 


All vehicles tend to lose their value over time. In addition, the regular wear and tear of vehicle parts can also cause depreciation. This has a major role in determining your car insurance premium, as insurers assess the vehicle’s current value and deduct the depreciation rate to calculate the IDV.

Features of Bumper to Bumper Car Insurance Policy

Here are some of the key features of a zero depreciation or bumper to bumper car insurance policy:

  • The parts covered under the bumper to bumper insurance policy include nylon parts, fibreglass components, plastic, and rubber parts

  • This add-on coverage can be availed while purchasing or renewing your car insurance policy

  • The zero depreciation policy allows you to easily claim the full amount in case of any damage to the car, unlike a standard policy which includes 0-40% depreciation rates

  • This cover is ideal if you have purchased a car within the last 5 years

  • Bumper to bumper insurance policy allows you to make a limited number of claims that vary based on the insurer you choose

  • Any uninsurable peril (event with a high risk of occurrence) or normal wear and tear is not covered under this policy

  • You must renew the insurance every year to enjoy the benefits associated with a zero depreciation policy

Benefits of Bumper to Bumper Car Insurance Policy

With any kind of car insurance, you are privy to certain benefits. However, bumper to bumper insurance brings along a set of additional benefits that are not available with other kinds of policies. Read on to learn more about them:

  • Zero Depreciation

All car insurance policies pay out only the claim amount after setting aside a certain sum for depreciation. Here, depreciation refers to the normal wear and tear of a machine that occurs during its daily usage, and its monetary value lowers regardless of how well you maintain your car.


As a result, you are probably going to end up losing a hefty amount while applying for any kind of claim with your vehicle in case of an accident. However, bumper to bumper car insurance ensures that your insurer does not take into account the depreciation value and instead settles your claims for the car in terms of its original value.

  • Maximises Insurance Coverage

Since this insurance enhances your car’s existing coverage, it significantly decreases any out-of-pocket expenses and offers extensive protection to your vehicle.

  • Secures Your Finances

A bumper to bumper car insurance policy influences the expenses that would be incurred as a result of the depreciation cost of the insured vehicle.

When you opt for car insurance plans available on Bajaj Markets, you may get access to a bumper to bumper car insurance add-on at a nominal cost. You can also opt for a cashless claim settlement facility to ensure a smooth car insurance claim process.

Limitations of Bumper to Bumper Car Insurance

While bumper to bumper car insurance provides several benefits, it’s important to consider its drawbacks as well, namely:

  • Opting for this add-on cover can increase your overall premiums significantly

  • No coverage is provided for car tubes, tyres, and batteries

  • Bumper to bumper car insurance is only available for vehicles that are less than 5 years old

  • There may be a limitation on the number of claims you can file in a year

Difference Between Comprehensive and Bumper to Bumper car Insurance

Let’s understand the difference between comprehensive car insurance and bumper to bumper cover with the below table:


Comprehensive Car Insurance

Bumper to Bumper Cover


The policy provides extensive coverage for third-party liabilities and damage to your vehicle as well.

It is an add-on cover provided over and above your existing comprehensive car insurance policy.


Features only a standard comprehensive policy premium.

Standard car insurance policy premium + Add-on cover amount.


The policy covers old vehicles.

The cover is not available for vehicles that are five years old or above.

What's Covered/Not Covered Under Bumper to Bumper car Insurance?

The table below showcases what’s covered and not covered under the bumper to bumper car insurance policy.


Covered/Not Covered

Cars above 5 years of age

Not covered

Engine damage due to water ingression or oil leakage

Not covered

Body damages


Replacement/repair of the depreciated car parts


Regular wear and tear and damage to tyres, tubes, clutch plate, bearings, and batteries

Not covered

Parts made of rubber, fibreglass, plastic, nylon and metal


Damages due to mechanical breakdown

Not covered

Damage to accessories

Not covered

Private cars used commercially or vice versa

Not covered

Driving without a valid licence during car accident

Not covered

Driving under the influence of alcohol or other intoxicating substances

Not covered

Factors Affecting Bumper to Bumper Car Insurance Policy Premium

The premium you pay for the bumper to bumper car insurance policy is affected by the following factors.

  • Car Model - One of the major factors that decide the insurance premium you pay for the car is its model. The cost of car parts which affects the repair bill is dependent on the model or variant of the car. It helps determine the premium you have to pay for bumper to bumper car insurance policy.

  • City - There are several benefits and risks associated with every city which defines the premium you will be required to pay for the insurance policy. Hence, the premium for a standard insurance policy along with add-ons like zero depreciation/bumper to bumper insurance depends on the city where you drive your car. 

  • Age of the Car - Bumper to bumper car insurance or zero depreciation add-on cover is directly linked to the depreciation of the car and its parts. Therefore, the age of your car is crucial when calculating the insurance premium.

What Happens if You Don't Have Bumper to Bumper Insurance?

In the event of an unfortunate mishap involving your motor vehicle, you might want to raise a claim under your car insurance policy. At times, policyholders believe that their car insurance plan can compensate for the entire damage incurred. However, in reality, the scenario can be a little different sometimes. Here’s why:

  • You are claiming add-on benefits that are not included in your existing car insurance plan. Therefore, you may not receive the desired compensation during the claim settlement.

  • You need to cover certain expenses as there is a difference between the current market value of new car parts and the depreciated value of these components. The insurer covers the remaining amount.

  • The depreciation amount can form a significant part of your sum insured amount.


To avoid getting less or unsatisfactory compensation when claiming on your car insurance policy due to depreciation, get a zero depreciation cover on your comprehensive car insurance plan.

How to Claim Bumper to Bumper Insurance

Since bumper to bumper insurance provides 100% coverage, it is vital to ensure that no depreciation cost is considered by the insurer while calculating the IDV. The insurance claim process is simple to a comprehensive insurance claim. Here are the steps to claim insurance:

  • Inform the insurance company immediately after the accident

  • Register the claim

  • Send the vehicle for damage assessment

  • Ensure that the depreciation costs are not added by the insurer

  • Get your vehicle repaired at the garage listed on the insurer’s network to enable direct settlement

  • Sign the documentation and drive your car home

How to Get Bumper to Bumper Car Insurance Online?

The process of purchasing car insurance bumper to bumper is similar to that of buying a comprehensive plan from your insurer. The process may vary depending on the insurer’s website. However, since this is an add-on cover, you have to add it over and above your basic plan during the purchase in the following way:

  1. Visit the insurer’s website and navigate to the section that offers Car Insurance

  2. Enter your personal and vehicle details

  3. Select comprehensive car insurance coverage

  4. Select the bumper to bumper add-on cover along with other necessary rider benefits

  5. Review the policy and coverage details before proceeding to pay the premium

  6. Make the premium payment online


The policy with bumper to bumper insurance will then be issued to you shortly

Documents required to claim bumper to bumper Insurance

You would need the following documents to file the claim:

  • Filled and signed claim form

  • Insurance policy

  • Registration certificate of the car

  • Driving incense

  • Copy of filed FIR

  • Estimated bill of the repair 

  • Bills and payment receipts

Check Out Car Insurance Partners Available at Bajaj Markets

FAQs on Bumper to Bumper Car Insurance

Is bumper to bumper insurance the same as comprehensive insurance?

No. Bumper to bumper insurance is an add-on cover that ensures you get the complete claim amount without considering the depreciation rate. On the other hand, comprehensive insurance is a plan that offers all-round coverage against various mishaps you could face on the road.

How do I claim bumper to bumper insurance?

The bumper to bumper insurance claim process is similar to any comprehensive car insurance policy. Since it is an add-on insurance that entails zero deprecation, you need to ensure that the insurer does not add any depreciation cost.

How many times bumper to bumper insurance be claimed?

The number of times you can claim the insurance varies based on your insurance company. However, most insurers allow two claims during the policy period in the case of bumper to bumper insurance.

Does bumper to bumper insurance cover scratches?

Most insurers allow you to claim the bumper to bumper insurance only a few times during the policy period hence, it is not recommended to claim it for small damages such as scratches. This can allow you to raise a claim for major damages in the future, if any.

What is not covered by bumper to bumper car insurance add-on cover?

Bumper to bumper insurance does not provide any coverage for the following:

  • Damages to the tyres, tubes, clutch plates, bearings, and batteries of the car

  • Damages to the accessories

  • Damages caused due to mechanical breakdown

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