Deciphering the abbreviation “casco” and other secrets of voluntary auto insurance


Casco insurance is a voluntary type of insurance for vehicle owners. It is not necessary to issue it when buying a car, but the presence of such auto insurance significantly increases the possibilities of the owner. Even if the accident is the fault of the insured, the insurer will still pay him compensation within the established sum insured.


Casco car insurance specifics

There are several options for how Casco stands for. In particular, this name is associated with the word casco, which in Spanish means “helmet”, and in Dutch – “case”. In the general sense of the word, a policy is a variant of voluntary car insurance that provides for payments even if the insured is at fault in an accident. 

Also on the Internet you can read that the decoding of the abbreviation Casco is “comprehensive car insurance, except for liability”. However, this is a myth and a hoax. Casco is not a Russian abbreviation, but a foreign word. You can see casco sales ads in other countries as well.

The main risks that this type of auto insurance protects against are theft and damage to the vehicle. It does not matter if the car was damaged in an accident or it was, for example, a tree falling. Payments are also made if the insured object has received defects as a result of an attack by intruders, a fire, or other natural phenomena specified in the contract (hail, rain, hurricane, landslide, etc.). 

In simple terms, the definition of Casco comes down to voluntary car insurance. The amount of payments and tariffs for insurance at the state level are not controlled. 


Casco features:

  • registration of insurance – only on request;
  • the cost of the insurance service is arbitrary, not subject to the regulation of OSAGO tariffs;
  • you can conclude an agreement for any period – not only for a year, but also for 3-6 months and even for several days;
  • insurance covers a large number of risks, which, when realized, are repaid by repairing a damaged car or paying the sum insured to the beneficiary’s account. 

How to get insurance

Casco registration is no different from the purchase of compulsory insurance. You can buy a policy at any branch of the insurer that provides services in the field of auto insurance. 

Buying auto insurance is also available online (since 2018). Policies purchased online have the same validity as those issued in classic branches. 


Important: some companies do not sell Casco without a visual inspection of the car. Whether it is possible to buy a policy without a face-to-face meeting with an insurance agent, you need to ask the insurer before submitting an application. 

The cost of insurance services is influenced by several factors, such as the make and model of the car, the year of its release. The insurer also takes into account the frequency of theft – voluntary insurance for cars that are most desirable for criminals will cost more than for less popular models. The appearance and condition of the machine, its technical characteristics are taken into account. 

If the owner of the car has OSAGO, before buying a second policy, it is better to clarify the rates in the insurance company where the mandatory contract was drawn up. Most companies are interested in retaining policyholders, and therefore offer discounts on complex services, for example, issuing two car policies at once. 

Reference: Casco is not approved by everyone. If the owner’s car is in poor condition, it is unprofitable for companies to take out voluntary auto insurance. In addition, everyone who has previously been convicted of fraud or already has a contract for the same vehicle, issued in the same organization on similar conditions, is denied (duplicate policies are prohibited). 

How OSAGO differs from Casco

When taking out insurance for a car, owners are faced with a choice: to buy or not to buy an additional policy if they already have OSAGO? However, OSAGO and Casco are not equivalent.

The main difference between OSAGO and Casco is that it is impossible to refuse to issue compulsory insurance. If, during the inspection, traffic police officers find out that the owner of the vehicle does not have OSAGO, he faces a fine of up to 800 rubles. In the case of voluntary insurance, there are no such requirements. 


The cost of “autocitizen” is regulated by the legislature. Tariffs are strict and mandatory for all insurers. The company can reduce the rate for auto insurance within the limit, but the insurer has no right to exceed it. For this – sanctions from the Central Bank of the Russian Federation. 


For the consumer, the most important thing is that under OSAGO you insure someone else’s life and property, and under hull insurance you insure your own car.

Pros and cons of insurance

Having determined why Casco is needed and how Casco works, you should evaluate the pros and cons of this type of insurance. Given the voluntary nature of the policy, it has more advantages:

  • the amount of insurance indemnity can be any and is limited only by the sum insured specified in the contract;
  • you can include those risks that will never be paid for OSAGO. The insurance even covers damage caused to your car through the fault of the insured;
  • you can buy a policy both after registration of OSAGO, and before that;
  • Registration of the contract online takes only 5-10 minutes. 

Reference: the main advantage of voluntary car insurance is that they will pay for damage to the car even if the insured is guilty of an accident. In addition, Casco may provide for compensation in the event of theft. 


The main disadvantage of Casco is the rather high cost. This is because insurers in this insurance industry have complete freedom of action. The law allows registration of compulsory auto insurance with one insurer, and voluntary insurance with another. In the market of voluntary auto insurance coverage, the tariffs of insurance companies are so different that even taking into account the discount for OSAGO, buying a comprehensive program of the same insurer is not always profitable.

Tip: in order not to overpay when applying for a hull, it is better to use the services of comparing insurance rates. With their help, it is easy to find out which organization has the most affordable comprehensive insurance at the moment, without resorting to detailed consultation at the insurer’s office. 

Who draws up the Casco

Knowing what hull insurance is for a car, you can determine the main buyers of this type of insurance. Mostly the policy is purchased by those who are interested in maintaining their car in unforeseen situations. 

Often, owners of expensive cars buy policies – those who recently purchased a new car in the showroom. Also, without Casco, in some cases it is impossible to get a car loan. Many organizations, from banks to car dealerships, force borrowers to take out additional insurance. It protects the object of the targeted loan from the risks in which the machine may be damaged before the end of the loan repayment period. 


Reference: Casco is not always a mandatory policy for lending. Often, without buying it, an auto loan is not issued. But a year after the payment of contributions, you can not renew voluntary insurance if the car owner wants to save his money. Also, obligations to purchase a new car policy are terminated after the full repayment of financial obligations to the creditor. 

In organizations providing auto insurance services, voluntary auto insurance protection is not in such demand as OSAGO. Because, as already mentioned, according to the law, it is impossible to refuse the second type of insurance, regardless of the method of acquiring a car. 

How to save on the cost of the policy

Casco insurance for a car is an additional cost item. The amounts under the contract usually exceed 50,000 rubles. But there are exceptions. Reducing the cost of the policy is not difficult. It is enough to choose a franchise – a condition that reduces the size of the insurance premium. True, it proportionally reduces the amount of payments in case of realization of the risk.

Reference: Casco deductible is a coefficient that reduces the amount of payment for insurance. The advantage of the service is an instant reduction in the cost of the policy. The downside is a reduction in the sum insured. If the amount of contributions under the contract is low, it is better to refuse to use the deductible in order to receive full compensation from the insurer in case of realization of the risk.

An example of a franchise: the policyholder is ready to reimburse up to 40% of the cost of repairs in the event of an accident due to his fault. The cost of his policy in this case will be calculated based on the difference between the primary cost of insurance and the amount of compensation for risks from his own funds. Because there is a direct relationship between the insurance premium and the sum insured: the higher the first, the more the insurer will pay when realizing the risk within the framework of the executed insurance contract.

Deciding whether to issue a hull or not is the prerogative of the car owner. If the driver often has accidents or curious situations that lead to damage to the car, it is better to play it safe and protect yourself from constant expenses for repairs. For those who drive rarely and carefully, auto insurance will help protect the car from theft. If the car is stolen, then in the absence of a chance to return the car, the owner will receive insurance compensation.


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