The automotive market is currently undergoing profound upheaval, particularly with the rising prices of new and reconditioned vehicles. In this context, the value of a car can be quite different from that initially declared when the insurance policy was taken out. SICOM, the insurance company, explains.
Many motorists underestimate the importance of updating the sum insured on their vehicle. However, this is essential to ensure that the car insurance contract accurately reflects the real market value and provides optimum protection.
Why is it necessary to reassess the sum insured?
In the event of an accident or total loss, compensation is calculated on the basis of the insured value declared in the contract. If the insured value is lower than the vehicle’s current market value, partial compensation may be paid, but this does not cover the full cost of replacement or repair.
This means that the policyholder has to assume a significant financial difference, which can be hard to bear in a context of rising prices. On the other hand, regular re-evaluation brings your coverage into line with market realities, and ensures fair compensation in the event of a claim.
The benefits of a contract update
Updating a vehicle’s insured value is more than just an administrative formality: it’s an act of foresight and responsibility. This update offers :
- Enhanced protection: coverage corresponds to the actual cost of replacement or repair.
- Greater financial security: no loss of earnings in the event of a claim.
- Peace of mind: knowing that the insurance is perfectly adapted to the vehicle’s current value.
DriveSmart car insurance: simpler, safer support!
SICOM places the security and peace of mind of its policyholders at the heart of its priorities. Our advisors are on hand to support you through this revision process, explain the practical implications and offer a transparent adjustment tailored to each situation. Anticipating is already protecting…
