Car prices in India are increasing rapidly. A car you purchased for ₹20 lakh three years ago might cost ₹25 lakh today. This sudden price jump creates a serious problem if your car gets stolen or suffers a total loss in an accident.
Most people assume that insurance will fully cover the cost of a new car — but that is not true.
This is exactly where the Return To Invoice (RTI) Add-On becomes extremely important.
What Is Return To Invoice (RTI)?
Return To Invoice is an add-on cover available with comprehensive car insurance.
If your car is:
- Stolen
- Damaged beyond repair (total loss)
RTI ensures you receive the full on-road invoice amount instead of the current IDV (Insured Declared Value).
Earlier, RTI would give you the exact invoice amount you paid at the time of purchase.
But now the rules have changed — and in a good way!
New Rules: RTI Covers Current Car Price
Previously:
- Car purchased for ₹20 lakh → after 5 years, RTI payout = ₹20 lakh only.
Now:
- If today the same car costs ₹25 lakh → RTI payout = ₹25 lakh.
This means you don’t need to pay anything extra from your pocket to buy the same car again.
Why Is RTI Important?
Without RTI:
- Insurance pays only IDV value (which decreases every year).
- You lose money due to depreciation.
- You must add extra cash to buy a new car.
With RTI:
- You get full compensation.
- Depreciation loss = Zero.
- No financial burden while purchasing a replacement car.
Who Should Definitely Buy RTI?
RTI Add-On is highly recommended for:
- New car owners (0–5 years old)
- Expensive or luxury cars
- Cars parked in theft-prone areas
- Users who want full financial protection
How Much Does RTI Cost?
RTI is quite affordable.
Usually, it adds only 5–10% extra to your insurance premium, but the protection it offers is worth lakhs.
Final Verdict
If your car is stolen or completely damaged, RTI ensures that you get the full on-road price, eliminating the need to spend extra money on a new car. It’s one of the smartest and most valuable add-ons you can opt for in car insurance.
So next time you renew your insurance, make sure RTI Add-On is selected — it might save you lakhs!