How does casco stand for and where does the term itself come from?

CASCO - an abbreviation or not

With the advent of this type of insurance, auto experts and ordinary citizens had many questions related to the decoding of the term CASCO. In this case, deciphering the abbreviation is not required, since CASCO, in fact, is not such.

The word casco (Italian: “casco”), translated from Italian, means nothing more than “board”. Initially, Italian companies used this type of insurance exclusively for sea vessels. Marine board insurance implied compensation for damage caused to the structural elements of water transport.

There are several other possible versions of the origin of this term:

• Dutch casco is a body,
• Spanish casco means skull,
• English cascade is translated as practicing an imitation of a fall.

The exact decoding of this term is known, but the exact country of origin of this word causes a lot of controversy. At the moment, it is generally accepted that the term CASCO still comes from the Italian language, and other versions are erroneous.

Often you can even hear variants of the meaning of the abbreviation CASCO from Russian auto insurance companies and car owners.

The decryption (the most popular, but incorrect options) is named as follows:

1. Comprehensive Automobile Insurance Excluding Liability (CASIO).
2. Comprehensive Automobile Insurance Except Liability (CASCO).

To increase the client base and interest of drivers, agents of insurance organizations are trying to decipher the term more and more sophisticatedly.
If this is not an abbreviation, then why is it customary in Russia to write this term in capital letters?
The fact is that, by analogy with the compulsory type of OSAGO insurance, the name of this policy began to be prescribed exactly this way. This is most likely done due to the peculiarities of human perception. The correct spelling is CASCO.

Nuances of CASCO insurance

Before taking out a CASCO policy, the policyholder should make a preliminary calculation of the approximate cost of the service from various companies and become familiar with their special conditions. Here are some examples of “special conditions” taken into account by various insurance companies:

1. 
   Before taking out a CASCO policy, the policyholder should make a preliminary calculation of the approximate cost of services from various companies and familiarize themselves with their special conditions.
   In Ingosstrakh Insurance Company, the cost of the policy will be reduced by the fact of having children and a spouse. Specialists offer several different programs that take into account all the needs and capabilities of car owners.

2. IC "Rosgosstrakh" provides three main options for calculating the program and two additional ones. Registration of a product at a discount in this organization will be possible if other companies have a break-even history of compulsory motor liability insurance. Clients who purchase a policy from the organization again can count on an additional 20% discount if no insured events have occurred before.
3. At IC "RESO-Garantia", the company's products are distinguished by a number of features. In it you can insure your car against theft (partial CASCO), and count on a more loyal attitude towards “age” cars (over 12 years old). When calculating the policy in the online calculator, you can choose three options for calculating the cost: damage insurance, theft policy, and full insurance.

Every day on the roads of Russia there are many accidents, resulting in damage to cars and the presence of victims, as well as cases of theft and theft of cars. A CASCO policy is capable of providing maximum financial protection to its owners, and a competent approach to registration and taking into account individual needs will ensure this protection at the lowest cost.

What is the difference between CASCO and OSAGO?

Motorists often compare these two types of insurance. Where do they find differences?

OSAGO is a mandatory type of car insurance. The driver has no right to operate a vehicle without a motor vehicle insurance policy. This document is necessary for compensation for damage to health and vehicle as a result of a car accident. In other words, if a car owner is at fault for a car accident, his insurance company is obliged to compensate for the damage.

The main advantage of OSAGO is its availability and relative cheapness compared to a CASCO policy. Tariffs for compulsory motor liability insurance are set by the government of the Russian Federation. One of the disadvantages of this type of auto insurance is limited payments. If the damage is significant, then insurance will only cover part of the losses.

CASCO insurance is voluntary. By taking out such a policy, the car owner can count on protection of his vehicle, but not on payments to third parties in the event of a traffic accident.

Unlike a compulsory motor liability insurance policy, it protects the vehicle and does not insure the driver’s liability. Not every driver can afford such a car policy. The policy does not have clearly established rates. Its cost, by and large, depends on the nature of the possible risks.

What do they offer on the CASCO car insurance market?

The cost of a comprehensive insurance policy for the same car can vary significantly among different companies.
Currently, more than 80 insurance companies are engaged in auto insurance on the Russian market. The cost of a comprehensive insurance policy for the same car can vary significantly among different companies. However, the programs offered will also have many differences.

Here are just a few parameters that are worth paying attention to when considering a particular insurance program:

• availability of a franchise;
• provision of a free tow truck;
• dispatch of an emergency commissioner to the scene of an accident;
• collection of certificates from the traffic police;
• irreducible sum insured, etc.

You can thoroughly understand the features of various insurance programs by consulting with a specialist from the Unified Insurance Center by phone.

Types of CASCO

As we found out, this type of insurance is exclusively voluntary. There are several policy options.

Any car owner can insure his vehicle with an auto policy, using several of its variations:

1. Damage. This option is the most popular. The document covers damage resulting from a transport accident, natural disaster, or fire. In addition, such insurance involves compensation for damage received from people or animals.
2. Hijacking. Not the most popular way of insurance. The problem is that almost all insurance companies, as a prerequisite, require the installation of a special satellite search system, blockers or other protective devices on vehicles. Not every organization is ready to issue such a policy option, since there is a risk that the owner of the vehicle will rush to get rid of such personal transport.
3. Comprehensive insurance. Combines the two car policy variations presented above. This type of Auto and CASCO is recommended to be issued if the car owner bought the vehicle on credit or he is the owner of an exclusive car.

The ability to choose the type of insurance that is convenient for you is a great success. Definitely, of the presented options, the third one is the most reliable. However, the cost of such a car policy is high. What makes it so expensive and inaccessible? Let's consider what the cost of CASCO depends on.

What is comprehensive insurance these days?

Casco is a voluntary type of insurance and allows the vehicle owner to protect him from various risks, the types of which he chooses independently.
Casco is a voluntary type of insurance and allows the vehicle owner to protect him from various risks, the types of which he chooses independently. The definition of comprehensive insurance means that, having insured a car in this way, its owner can drive completely calmly, without fear of accidents and thefts.

Frequently, car enthusiasts intending to purchase their first car ask what is needed to obtain comprehensive insurance? To do this, you should take the documents for the car and your passport to the office of the insurance company, where they will inspect the car to detect possible defects, about which a corresponding report will subsequently be drawn up.

Then an insurance contract is filled out, which includes the risks against which the car is insured. After drawing up the contract, you should read it carefully, since no corrections or additions can be made to an already signed document.

Then the policyholder pays for the insurance and receives a policy, which begins to be valid from the date indicated on it.

What determines the cost of the policy?

Insuring a car or other vehicle under CASCO is not a cheap pleasure. The price of insurance depends on many factors.

Moreover, the insurance organization has the right to refuse to issue a car policy if there are grounds for this:

• more than three years have passed since the vehicle was manufactured;
• The vehicle is parked in an unguarded parking lot.

Each company sets its own prices for the policy.
The price will depend on the following vehicle characteristics:

• type and model;
• year of issue;
• period and nature of insurance;
• wear;
• availability of a franchise.

Everything is more or less clear with the first five points. It is better to examine the concept of a franchise in more detail.

What affects the cost of CASCO?

When choosing the most suitable CASCO program, the policyholder must take into account various factors that will affect the final cost of the product (they are also indicated in the online calculator when calculating the cost):

• car make and model;
• year of manufacture of the vehicle;
• technical characteristics of the car;
• contract time;
• Providing an installment payment service (leads to an increase in cost);
• the presence of a good insurance history and the absence of insured events in it (leads to a decrease in the calculated coefficient);
• the presence of additional equipment to protect the car from theft (reduces the cost of the policy).

Other factors that reduce the cost of the policy include the following conditions:

• partial CASCO insurance against damage will reduce the cost of the policy by 20-40%;
• a larger franchise reduces the cost of the policy;
• when choosing an aggregate insured amount, each subsequent payment is reduced;
• compensation for damage through the insurance company’s service station is the least expensive option when calculating CASCO insurance;
• processing payments “taking into account wear and tear” will reduce insurance premiums, but compensation will also be calculated taking into account the degree of wear and tear of the car.

The policy is most expensive for novice drivers. They can choose a CASCO policy without limiting the number of drivers allowed to drive a car.

What is a franchise and who benefits from a car policy with a franchise?

Most motorists are very familiar with the types, conditions and prices of car insurance. However, in any type of insurance there are nuances that allow you to reduce the cost of the insurance policy. One of the options for reducing the price of car insurance is to have a deductible clause in the contract.

In simple terms, a franchise is an additional condition in an insurance contract, expressed in the obligation of the insured person to cover part of the losses caused to the vehicle at his own expense.

The amount of the franchise can be expressed in a specific fixed amount specified in the contract, or as a percentage of the insured value of the vehicle.

The type and amount of the deductible are discussed in advance by the insurance company and the car owner, and then reflected in the insurance contract.

The franchise has several types:

1. Conditional. If the damage caused does not exceed the established deductible, the insurer will not compensate for such loss.
2. Unconditional. Implies a portion of the loss deducted from the final amount of compensation.
3. Dynamic. It is a type of unconditional franchise. It is applied from the second or third insured event.

In property insurance, an unconditional deductible is most often used. The main advantage of this type of auto policy is guaranteed financial protection as a result of serious car accidents, as well as lower insurance costs.

Advantages and disadvantages of CASCO

Despite one significant drawback - the cost of a CASCO policy, this product has undoubted advantages:

1. In case of damage to the car, restoration costs will be reimbursed in full, regardless of the degree of fault of the policy owner.
2. The CASCO owner is financially protected from losses in the event of theft or car theft.
3. If you have expensive equipment in your vehicle, it can also be insured.
4. The indemnity value cannot be reduced while the policy is in force.
5. The client has the right to choose any acceptable method of solving problems related to car restoration: a cash premium or repairs by the insurer.
6. A number of companies do not require a certificate from the traffic police for minor damage.
7. Various options for loyal customers in the form of assistance with evacuation, mobile assistance, resolution of disputes on the service.

What may be the grounds for refusal of insurance payment?

Any car insurance contract contains a clause with possible reasons for refusing to compensate the client for damages or exemption from payments. There are a great many such reasons and there is no point in listing them.

Here are the most popular insurance claim denials:

• violation of traffic rules by the driver, including alcohol or drug intoxication;
• absence from the policy of the person driving the vehicle at the time of the accident;
• storing a vehicle in unguarded parking lots;
• absence or malfunction of the anti-theft system;
• repairing vehicles before they are inspected by a representative of the insurance company;
• violation of the period for filing an insurance claim.

To ensure that the car owner is not denied payments, it is necessary to carefully read the contract and study each clause. Not all insurance companies operate using legal methods. If a car enthusiast has such doubts, it is better to seek help from an experienced car lawyer.

What are special offers for CASCO and how do they work?

In addition to basic CASCO options, each insurance company has a number of special offers. These offers are designed for certain categories of clients; insurance for them is cheaper.

Often special offers relate to:

• Certain brands and models of vehicles.
• New cars.
• Young or experienced drivers.
• Owners of expensive or used vehicles.
• Credit, leased or pledged cars from the bank.
• Cars with certain anti-theft systems.

Therefore, you should definitely ask what special programs, offers or promotions the company currently has.

Insurance conditions and cost

CASCO is an exclusively voluntary insurance product, when a person independently chooses whether to protect his own car or not. However, there is no centralized price regulation here. As a result, prices for services can vary widely. In addition, the insurer has the right to refuse to conclude a contract without any justification for its decision.

As for rates for various types of risks, they are exclusively individual for each company, so the issue of choosing an insurer should be given increased attention.

Design features

Before concluding a contract, it is important to study all the conditions offered by a particular company. In particular, a list of insurance cases for each type and the amount of the deductible. To purchase a policy you will need the following documents:

• owner's passport;
• PTS;
• vehicle registration certificate.

It is also worth clarifying:

• the period within which you need to provide documents about the insured event;
• Do the conditions include the presence of vehicles in a guarded parking lot at night?

These nuances are important, because without compliance with them, the insurer has the opportunity not to pay the insured amount.

The main difference between these policies is that with CASCO insurance, the car owner will receive compensation for damage in any case, even if he was the culprit of the accident. OSAGO only covers the costs of harm, only if the driver is the injured party.

Cost and age of the car. If your car is inexpensive, then there is no point in purchasing CASCO insurance; OSAGO will fully cover your costs in the event of an accident, provided that you are the injured party. Vehicle class. If you bought a luxury car, it is better to use a CASCO policy. Was the purchase made in cash or was the car purchased on credit? If you bought a car on credit, it is still advisable to apply for CASCO insurance. In case of serious damage to the car, CASCO will reimburse most of the costs. With MTPL insurance, you may incur large losses in addition to your existing loan.

1. Garage storage of the vehicle from 0:00 to 6:00 or guarded parking. This means that if your car is stolen at your dacha or a car parked near your house is scratched at three in the morning, you will be refused payment for the damages.

2. Any franchise upon conclusion of the contract. By purchasing a franchise, you can save only once, and this saving will be equal to that same franchise. But the insurance company will be able to save money on you. And as many times as you contact her in a year. It is best to take out a franchise for those who have a good driving record and excellent driving skills.

3. The contract may contain the following clause: “a serious road accident is not an insured event.” Naturally, you will not be paid for insurance if you drove into the oncoming lane while drunk, but for some it applies even to very trivial cases - for example, if you did not give way to a neighboring car...

4. If the insurance company does not cover damages such as scratches, chips, or situations such as collisions with obstacles as an insured event, then run away from this company. These are the most common cases, especially among beginners.

CASCO is voluntary insurance, and the company concluding transactions is not given the right to dictate requirements to its potential clients or determine interest rates that are not regulated by laws and regulations.

The conditions for issuing a policy are:

• car requirements – you can insure domestic and foreign models up to 10 years old;
• anti-theft systems - this can be any method of protection, but its presence is required to conclude a deal;
• calculation of insurance payments - an expert assessment is carried out;
• additional requirements and conditions - calculation of coefficients determining wear and tear, the amount of compensation payments in the absence of an anti-theft system, the presence or absence of a “green card”;
• the opportunity to participate in the program of authorized service centers in cases where the client does not agree to financial compensation, but prefers restoration or repair work;
• the ability to issue a policy in installments with payment in equal installments;
• franchise application;
• determining the effective date of the insurance contract - there are often cases when the premium is fully paid and received by the company, but the policy does not gain legal force because the car has not passed the inspection report (this nuance must be specified in the agreement);
• determination of the moment of occurrence of an insured event - a list of items acceptable for the car owner is negotiated with the company’s employees at the stage of drawing up the contract (after the fact of its signing, the clauses of the document cannot be changed by any of the parties participating in the process).

And the last condition is a list of documents. It must be as complete as possible and comply with all regulatory requirements.