Owning an impressive car is highly satisfactory, but mishaps like accidents or thievery can quickly take this satisfaction out of your life. Is there any solution, then? Well, picking Return to Invoice(RTI) cover as an add-on to your existing car insurance can be one!
From its benefits and applicability to inclusions and exclusions, this quick read will clear all your doubts. But before diving deep, let’s start from the ground level-
What is Return to Invoice in car insurance?
What is RTI in car insurance? It helps you recover the total amount you originally paid for your car if it’s stolen or damaged beyond repair. Regular policies only pay the depreciated value, known as the Insured Declared Value (IDV), but RTI goes further by covering the total purchase price, including road tax and registration fees. So, whether it’s a fire, flood, or major accident causing a total loss, RTI ensures you aren’t left with a financial gap in those critical early years of ownership.
Benefits of RTI car insurance
Let’s understand what makes picking this add-on cover a pro move-
Extends coverage beyond basics
Return to Invoice cover provides extra protection beyond standard car insurance. It bridges the gap between the depreciated value your policy typically covers and the total invoice value, providing peace of mind for those who want complete coverage.
Perfect for new cars
RTI car insurance is especially valuable for new car owners who want to secure their entire investment. In case of total loss from accidents or natural disasters, this cover reimburses the amount you paid, making it a solid choice for brand-new vehicles.
Helps in case of theft
Car thefts can be financially devastating. With RTI, you’re covered for the total on-road price you paid, ensuring you’re not left with a financial loss if your car is stolen.
Covers total loss situations
For cases of extreme damage where repairs would cost more than the car’s resale value, RTI becomes the ultimate saviour. It ensures you don’t face a financial shortfall in a total loss event.
Compatible with comprehensive policies
The return to invoice cover meaning is best understood with comprehensive car insurance plans, as it complements these policies. Before choosing, you can use a car insurance calculator to check how much RTI would add to your policy.
What’s covered under RTI cover in car insurance
Check these eligibility criteria for this add-on:
- RTI covers the full invoice price of your car if it’s stolen or damaged beyond repair.
- It’s usually available for cars less than three years old.
- RTI is especially valuable in high-risk situations(Ex- damage due to natural disasters).
- The original invoice may be needed when making a claim.
Exclusions of this add-on cover
Here are some exclusions of this add-on feature-
- RTI isn’t available with third party car insurance; you must have a comprehensive plan.
- Cars over a certain age aren’t eligible for RTI, as insurers limit it to newer vehicles.
- RTI covers only total loss or theft, so you can’t raise a claim against minor repairs or damages.
How to calculate RTI?
Calculating RTI is easy, and you don’t even need a tool like a car insurance calculator! Look for the actual on-road price you paid when you bought your car. Whatever the amount your invoice reflects, your insurer will compensate you in case of total loss or damages beyond repair.
Who should opt for this cover?
RTI add-on is perfect for you if-
- You own a new car and want complete protection on its value.
- You live in an area with a high theft risk, providing peace of mind.
- You’re in a region prone to natural disasters, where significant damage is more likely to occur.
Along with a decent comprehensive insurance plan, RTI add-on cover is a step towards eliminating all unexpected financial burdens. While third party car insurance tackles all damages related to others involved in an accident, a comprehensive plan extends protection to your own vehicle.
When we talk about comprehensive policies, Future Generali offers reliability and lots of customisation to your car insurance plan. You can get a quote for the RTI and other policy options using our curated car insurance calculator.
FAQs
What is the validity of the RTI?
Generally, the Return to Invoice cover remains valid until your base policy expires.
Are RTI and Insured Declared Value(IDV) the same?
RTI and IDV are different. IDV is the current market value of your car after depreciation. But RTI ensures you get the full invoice value you paid initially, covering the difference if your car is stolen or completely damaged.
RTI or Zero Depreciation cover- How do you choose?
Choose RTI if you have a greater chance of theft, natural disaster, or possessing a brand-new car. Zero Depreciation cover is ideal if you prefer no deductions for parts’ wear and tear on regular claims.
Does it cover my additional accessories?
No! You can only claim your car’s invoice value through the RTI add-on cover.
Can I buy other add-ons along with it?
Definitely! You can customise your policy with any other add-on covers along with RTI.
