Three new cosmetic insurance products designed to be sold at the point of sale have been introduced for the 1,350 dealers who make up the RAC Dealer Network. 

RAC Scratch and Dent Insurance, RAC Combined Alloy Wheel and Tyre Insurance and RAC Alloy Wheel Insurance are designed to provide effective protection for car buyers and create an extra revenue stream for retailers. 

Kellie Grocott, RAC director of sales at Assurant, which partners with the RAC in the warranty and aftersales sector, said: “Research shows that there is widespread demand for these products among car buyers who are looking to preserve their vehicles in the best condition possible over time and protect themselves from unexpected costs in this area.* 

“Working with the RAC, we’ve created three products that are, we believe, market-leading in terms of the protection and value-for-money that they offer. They are designed to fulfil and exceed the high expectations that consumers rightly have when buying RAC branded products and services. 

“They’re intended to be offered by the RAC Dealer Network as an option within any car sale they make, enhancing the overall proposition and tailoring it to individual customer needs. Interest has already been impressive from dealers and car buyers.” 

RAC Scratch and Dent Insurance can be bought for periods ranging from 12-48 months. Cover is for damage up to 30cm in diameter and 3mm deep, and up to five claims can be made a year, with a £150 contribution made towards the bodyshop bill if the repair can’t be made using smart techniques. Cover can be paid for as a lump sum or an interest-free option is available over 10 months. There is no excess. 

The RAC Combined Alloy Wheel and Tyre Insurance and RAC Alloy Wheel Insurance products are similarly structured. Again, cover is available from 12-48 months, with five alloy wheel claims and five tyre claims allowed per annum and up to 20 claims on each allowed during 48 months. The policies provide up to £200 towards a tyre, £400 towards a wheel and £50 towards a puncture repair. There is no excess except where alloys are diamond cut and require a lathe skim, in which case the excess is £150. Again, the product is available on 10 month interest-free terms. 

For all three policies, the claims process is designed to be as easy as possible, with information and images submitted through a range of channels including digital, with no need to complete a conventional claims form. Repair can take place at a location to suit the customer or the vehicle taken into a workshop. 

Grocott continued: “We have created an online dashboard for dealers where they can track their sales of these products. Also, we are providing training and marketing support to help them promote their benefits and make them an integrated part of their sales process. We are expecting customer interest to be naturally high. These products answer a very real desire on the part of car buyers who want to maintain the appearance of their vehicles.”