Casco is voluntary cover for your own car: it pays out if the vehicle is damaged in a collision, stolen, battered by hail, or has its windscreen broken – regardless of who is at fault. This is the key difference from MTPL, and it's the starting point for understanding everything else.
- Casco covers damage to your own vehicle – MTPL covers damage you cause to others; the two complement each other rather than replacing one another.
- The classic four pillars: collision, theft, natural perils, glass damage – plus optional extras (luggage, replacement car, assistance).
- How much it's worth when a claim happens comes down to three settings: the deductible, the depreciation rule, and the exclusions.
Why do I need it if I already have MTPL?
Because MTPL never protects your own car. If you cause an accident, your MTPL settles the other party's damage – repairing your own car comes out of your own pocket. If hail hits, if an unknown culprit scratches it in a car park, if it's stolen: none of these have an "other party" whose MTPL would pay. You either cover your own car's risk from savings, or hand it over to an insurer with casco – that's the essence of the casco vs MTPL question.
The four pillars – and what builds on them
Comprehensive casco rests on four covers: collision damage (crashes, collisions, parking damage, vandalism), theft and robbery, natural perils (storm, hail, flood, fire) and glass damage. On top of these sit the extras: luggage cover, a replacement car during repairs, assistance, and for new cars, GAP-style value protection. The exact scope varies by insurer – the same word can mean different things in two policies, which is why comparisons need to go by content.
What decides how much it's worth at claim time?
Three settings. The deductible decides how much of the claim stays with you – typically a percentage plus a minimum amount together. The depreciation rule decides which parts the insurer deducts value from due to age. The exclusions decide what the cover doesn't reach at all. Two offers with a similar premium can genuinely differ on these three points – this is where everything is decided at claim time.
Who is it for – and who isn't it for?
An honest question deserves an honest answer: casco isn't worthwhile for everyone. For a new or higher-value car, financed cars, or daily use, there are strong arguments for it; for an older, low-value car, partial casco or deliberately self-insuring may be the rational choice. A separate article covers this: who should get casco and who shouldn't – no pressure to run the numbers.
Would you like to see what this would mean for your car? book a free 20-minute consultation →
