Sef 43 R(L)

Standard Endorsement Form 43. This form waives depreciation when a new vehicle is added to the policy and the depreciation will not take effect until the specified period of time as shown on the endorsement. This is usually 24-30 months from purchase date.

If the (L) is shown then the vehicle is leased.

If you have this coverage then you can not be charged a betterment fee when you have a claim. For example, your vehicle is stolen and written off. The insurance company will examine the bill of sale to see how much was spent purchasing the original vehicle. This amount is the maximum to be paid on a replacement vehicle. In today's market this is not likely a cause for concern with prices steadily dropping on new vehicles.

Another example is if your one year-old vehicle has been vandalized and requires a new paint job. If you have the 43R endorsement your paint job will be performed without any charge for a betterment or improvement - this is newer paint on an older vehicle.

Remember thought that insurance can and does have exclusions. If the damage is to your engine, tires, transmission or battery and the vehicle is not a write off then betterment will apply. This can be 30% or more.

Many insurance companies include this coverage for free if you have purchased collision and comprehensive coverage. If there is a charge it is usually quite reasonable. Talk to your agent or broker. Take control of your insurance.