The retail value of a car (which is usually the higher value of the two) is the average price a car dealer would sell it for. In insurance terms, this means that if your car is covered for its retail value and it is written off in an accident or stolen without being recovered, the settlement amount will be based on the car’s retail value. If your car is insured for its retail value, it will be much easier to replace a damaged or stolen car with a similar make and model.
The market value of a car is almost always lower than the retail value and considers several variables, including mileage, vehicle condition, service history and accident reports. If you were to sell your car privately, the market value would be the price that you could likely sell it for. Because this figure can vary from car to car, short-term insurers need to find a way to standardise the market value.
The reasonable market value uses the retail value as the base and considers the number of kilometres on your car’s odometer, the condition of the car as well as any extra items added to the car.
If something should ever happen to your car, Champions Insurance will pay out the reasonable market value of the car. The market value uses the retail value as the base and considers the number of kilometres on your car’s odometer, the condition of the car as well as any extra items added to the car.
Insure your car with Champions Insurance
Champions Insurance is Zimbabwe’s leading short-term insurer, insuring risks cover for personal risk, corporate risk, specialised risk and agriculture risk for individuals, SME’s and corporates. We also offer the following cover and benefits:
If you’d like more information about how to get affordable motor vehicle insurance to suit your pocket, Champions Insurance is one call away. Please call +263 86 77 004068 or email info@championsinsurance.co.zw or visit any of our Head Office and branches across all leading retailers (Food World, Pick and Pay, Choppies) and NetOne Offices countrywide.