For premature contract termination, installments are recalculated retrospectively. This new rate will always be higher than the initial one. This is done since installments must be the same for the entire period of lease. However, the effective depreciaton rate of a vehicle is always on a declining scale. Thus, a new car's value will decrease relatively rapidly, and as it ages, value loss will keep declining. Should a leasing contract be terminated prematurely, the vehicle's actual depreciation will not equal the anticipated amount used as a basis of calculation for installments. This difference will have to be balanced out on premature contract termination. Car insurance companies have recently started to offer a new insurance product, covering payment of leasing installments in case of unemployment or incapacity to work due to illness or accident.