[easterncar]

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[Rehaan]

Okay, stupid Q of the day:

How can I be sure that RTI is in fact included on this policy?

[manoj.elan]

Originally Posted by Rehaan

Okay, stupid Q of the day:

How can I be sure that RTI is in fact included on this policy?

You should see a mention of RTI or Return to Invoice under the addons section which in your case is absent in the images you have shared.

[Stolidus500]

Originally Posted by Rehaan

Okay, stupid Q of the day:

How can I be sure that RTI is in fact included on this policy?

Total Cover in Reliance speak is Return To Invoice. Your policy includes that.

[Rehaan]

Originally Posted by Stolidus500

Total Cover in Reliance speak is Return To Invoice. Your policy includes that.

This is what the dealership (who provided this insurance for the new car) claims as well.

However, I was NOT convinced.


On further investigation, i see that Reliance's own 'Policy Wording' document lists Total Cover and Return To Invoice as two very differently defined things:

Page 18 - Total Cover:


Page 25 - Return To Invoice:



So now I'm wondering if this is just plain ignorance, or it is yet another smart scam. Will be speaking to the dealership insurance guy soon - let's see what he says.

Keen to hear what BHPians know / think about this.

Just a few days ago I came across Hanlon's razor, which is the philosophy I'm operating under for the moment:

"Never attribute to malice that which is adequately explained by stupidity*"

.

* = At this stage, could be mine as well

[Stolidus500]

Originally Posted by Rehaan

So now I'm wondering if this is just plain ignorance, or it is yet another smart scam. Will be speaking to the dealership insurance guy soon - let's see what he says.

I stand corrected both might indicate the same but are very different in operation.Total Cover only covers total loss cases, whereas RTI covers theft too. If you were sold Total Cover as RTI please contact your dealership ASAP, they might be able to cancel the policy and issue you a new one.

[Rehaan]

Originally Posted by Stolidus500

Total Cover only covers total loss cases, whereas RTI covers theft too.

Appreciate your response, but I don't think this is the case.

Total Cover does also cover theft. See the last word of point "4." as well as the last 2 words of point (a) in the Total Cover screenshot above.


The difference between the two lies in the essence of RTI -- which is filling the gap between (depreciated) IDV and On-Road (Invoice) price.

The advantage of Total Cover as an add-on is the inclusion of Registration fee etc in the cover. (But unlike RTI, there's no protection against depreciation).

[Voodooblaster]

Originally Posted by Rehaan

The difference between the two lies in the essence of RTI -- which is filling the gap between (depreciated) IDV and On-Road (Invoice) price.

The advantage of Total Cover as an add-on is the inclusion of Registration fee etc in the cover. (But unlike RTI, there's no protection against depreciation)

A few more details (a bit verbose), as per my understanding of the pdf uploaded by you here

Both add ons activate only in the following scenarios:

1)In case of theft
2) Total loss (vehicle damaged beyond scope of repair - ie burnt , fell into ravines/gorges etc)
3) Constructive Total Loss (When it’s not economical to repair the vehicle- normally when vehicle repair cost exceeds 75% of IDV)

Return to Invoice UIN No.: IRDAN103RP0010V02100001/A0065V012018

19 This cover is applicable if it is shown on Your schedule. What is Covered In consideration of the payment of the additional premium by the Insured as mentioned in the schedule and realization thereof by the Company, We will pay the financial shortfall between the amount You receive under Section 1 of the policy and the purchase price of the vehicle as confirmed in the invoice of sale or current replacement price of the new vehicle in case exactly same make/ model is available, whichever is less, in the event of Your vehicle has suffered a Total Loss/ CTL following an accident or Stolen during the Period of insurance and is not recovered during the Period of Insurance. We will also reimburse the first time registration charges, road tax & applicable insurance cost which You have incurred on the insured vehicle.

In plain terms you will get:

1) Ex Showroom price as on date of accident or purchase (Whichever is lower)
2) Road Tax, Registration Charge
3) Insurance cost incurred during purchase of new vehicle

In short, the cash to buy a new vehicle

Total Cover UIN No. : IRDAN103RP0010V02100001/A0009V012009

`This add on cover is applicable only if it is mentioned in the policy schedule. In consideration of payment of an additional premium and notwithstanding anything to the contrary contained in section I of this Policy it is hereby understood and agreed that the Company will indemnify the Insured for an amount (as specified in the policy schedule) towards amount spent on Registration Fee, Octroi and/or any other charges levied by the government authority towards the insured vehicle and the insurance premium in the event of insured vehicle being a total loss or stolen. Provided always that:
(a) The indemnity shall be payable only in case of Total Loss / Constructive Total Loss / Theft claims
(b) Road Tax and Insurance premium will be payable on prorata basis for the unexpired duration of Policy period only.

In plain terms you will get:

1) IDV - ie depreciated value. IDV is a percentage of the Ex Showroom price. The percentage decreases based on year of usage
2) Road Tax and Insurance cost after deducting period of usage (we pay tax for 15 years. If total loss happens after a year, the road tax for the remaining 14 years is paid)
3) Registration Charge, octroi etc



To summarise: RTI>Total Cover

[msnarain]

Reviving this thread for a couple of doubts I have regarding RTI.

In case of a total loss,

1. What happens during replacement of a car under RTI cover if there has been a hike in road tax? Would the insurance company cover the original road tax and expect the customer to pay the balance? Or are they liable to pay the new road tax considering replacement of the car seems to be the deal?
2. What happens if there was a facelift and the variant of the model in question is now a few lakhs more expensive? Will replacement still be an option or will they insist on cash settlement of the original invoice value?

Thanks in advance!

[Bsimhan]

Generally the rule is that the IDV will represent the Value insured. There is no way the insurance company will pay you more that the insured value. There might have been a price rise, taxes might have gone up or you might have added accessories. You must have declared the additions made to the insurance company and enhanced the value. If this is not done you can expect only the declared value to be returned. Rgds, Balaji

[Rehaan]

Just wanted to update on the issue I faced earlier, of paying for "Return To Invoice (RTI)" and getting "Total Cover" -- which as per me are 2 similar but yet uniquely different types of coverage.

As per the insurance guy at the dealership, due to some unknown reason on the KIA system, "Return To Invoice" shows up as "Total Cover" on the policy that is sent to customers.

I told the insurance guy to give me a confirmation of this in writing / on email, and he happily agreed + promptly emailed me the following:

Originally Posted by email

<xxxx.xxxxx@autobahn.co.in>
Jul 17, 2023, 5:14 PM


Dear Sir,


Good Evening,

Greetings from Kia Autobahn !!!!!!!!!!

This is in regards to the Coverages of Return to Invoice opted in policy of Kia Seltos vehicle with Kia Preferred Insurance partner “ Reliance General Insurance Co. Ltd. “

Kindly refer the below KIA OEM Portal screenshot which is clearly indicating that your policy is with *Return to Invoice* Cover. ( Return To Invoice = Ex Showroom Price of vehicle + RTO Tax including Registration Charges + Insurance Cost etc. )




Don’t worry about it as it’s intact as RTI Cover Only.


Pls feel to free to call me back for your any query.



Thanks & Regards,
Mr. XXXX XXXX
Group Insurance Manager
Mob: XXXXXXXXXXX

Authorized Dealer of Kia, Volkswagen & Nissan.

That was enough for me to accept this and move on

[PreethamNag]

Hello all,

1. Its time to renew my insurance had a doubt regarding RTI, is it applicable to second owner.

2. Also when consulted acko agents one said
a) RTI = IDV+registration + roadtax
Other said
b) RTI = invoice value of same car currently or the original invoice value whichever is lower.
The second one makes sense as to what RTI is. Please help with whats the correct meaning of RTI is.

3. If I buy RTI its better go for low IDV as it will reduce the premium cost also will be better in case of a major event/theft. As if the repair costs exceed 70% I will be entitled to RTI. Is my understanding right.

[robincsamuel]

Originally Posted by Rehaan

As per the insurance guy at the dealership, due to some unknown reason on the KIA system, "Return To Invoice" shows up as "Total Cover" on the policy that is sent to customers.

I don't know if it's dealer-specific but it was always "Return To Invoice" in my policy document. Moreover, my friend renewed his insurance policy two weeks back and it's again "Return To Invoice" there. And it's the same insurer, Reliance, and the same broker, SMC, via Kia Safety.

I think it's better to clarify with the insurer to be on the safer side. Sorry! I don't trust these guys. I recently got an email confirmation from them stating all Kia cars are E20 compatible while the manual says the warranty is void if anything above E10 is used. This was when I enquired about my 2021 model.

EDIT: I verified my friend’s car insurance and it’s Total cover, though the proposal says Return To Invoice.

[Rehaan]

Originally Posted by robincsamuel

I think it's better to clarify with the insurer to be on the safer side. Sorry! I don't trust these guys.

I tried multiple times, but apparently the Reliance customer care reps cannot access the policy details since it was bought via the dealership!

Originally Posted by robincsamuel

EDIT: I verified my friend’s car insurance and it’s Total cover, though the proposal says Return To Invoice.

[mayank4823]

I purchased a new car which costed me 18.50 L on road. The invoice of the car shows the value as 15.85 Lac only. Is this normal or was it done to deliberately decrease my insurance premium while negotiating on that ? The invoice doesn’t mention Insurance Premium, RTO Fees, Service Value Package but even after adding all those things, The total doesn’t come out to be 18.50 L. I have opted for RTI so i’ll get 18.50 Lac or 15.85 L ?

Another question is - While renewing Insurance next year, should I go for Max IDV possible or should it be 10% less than the IDV in previous year Insurance policy ?