Car Insurance Zero Depreciation Meaning. Zero depreciation car insurance comprehensive car insurance; Depreciation refers to the gradual decline in value of an asset over time due to a combination of factors such as age, wear, tear and obsolescence.
The second you leave the dealership, the value of your car will begin to depreciate, meaning that it starts to lose its value. Zero depreciation also known as nil depreciation or bumper to bumper car insurance is a car insurance policy that leaves out the depreciation factor from the coverage, thus giving you complete cover. The normal wear and tear with use and the depreciation.