The list of exclusions isn't the insurer's "collection of loopholes" but the contract's boundary line: without it, casco would be unaffordable. Anyone who knows the boundaries won't be caught out at claim time – and won't drift into an uncovered situation through their own behaviour either.
- The classic cases: drink-driving, driving without a licence, racing, intent – for these, the terms typically mean no payout: whether as grounds for exemption, an exclusion, or a recovery (recourse) claim.
- The more everyday group: wear and tear, lack of maintenance, an unlocked vehicle, and unreported changes.
- The lists vary by insurer – the definitions and the details make the real difference.
Behaviour-based exclusions
Damage caused while drunk or under the influence, or without a valid licence, is typically a ground for exemption under the policy terms – with some products treating it as an exclusion or a recovery (recourse) ground instead – and the burden of proving the exemption lies with the insurer. The same applies to racing, timed track events, and intent. These aren't small print – they're fundamental to the system: casco covers the risk of accidents, not deliberate rule-breaking. It's worth asking about borderline cases (a rally experience day, say) before signing – not at claim time.
The technical and operational group
Casco isn't a maintenance contract: damage from wear and tear, deterioration, corrosion, and neglected maintenance is left out. A typical grey area is the boundary of consequential damage: collision damage from an accident caused by a mechanical fault may typically be covered, but the faulty part itself isn't. Improper operation also belongs here: overloading, unauthorised modification – the tuning question has its own article.
The due-care conditions
For theft, an unlocked vehicle, keys or documents left inside, or security devices not activated are typical barriers to payout: the key-conditions article. For natural perils, failing to mitigate the loss (leaving a car open and letting rain in after hail damage, for instance) can cause trouble. And a general principle: an unreported material change – a new driver, a change of use, an added extra fitted later – can come back to bite you at claim time.
Five questions to clarify exclusions before signing
1) Exactly which events are excluded, and how does the policy define them? 2) Which exclusions can be lifted with an extra? 3) What about borderline cases realistic for my use (renting it out, driving lessons, abroad)? 4) What due-care conditions apply to theft and natural-perils claims? 5) Which lapses lead to a reduced payout, and which to a full refusal? We go through these at policy-wording level in the comparison table – the 5-question checklist helps here too.
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