What is bike insurance?
Two-wheeler insurance or bike insurance is an agreement between an insurance company and a bike owner in which the insurance company promises to the latter to take care of financial losses that may occur from an unexpected incident that involves the insured’s bike. The policy of insurance for bikes covers all kinds of two-wheelers including motorcycles, scooters mopeds, and scootys. There are three types of plans for bike insurance on the market, including third-party bike insurance as well as independent own-damage (OD) bicycle insurance and complete bike insurance. The insurance for scooters or motorcycles plans is differentiated by their coverage. Whichever policy you select, it is recommended to take out insurance renewal prior to the date of expiration as it’s the only method to ensure your bike is protected.
Different types of bike insurance
Comprehensive Bike Insurance
A comprehensive policy of insurance for bikes provides complete protection by paying the financial obligations you could incur to an uninvolved third party, as well as offering compensation for costs incurred because of the damages you have caused by your bike. The policy protects your bike from damages caused by fire, accident theft, man-made or natural disasters such as self-ignition, explosions, and more. You can also increase its protection by paying an additional fee to purchase additional protections like zero depreciation roadside assistance and engine cover.
3rd-Party Insurance for Bike
In India, the country, a third-party bicycle insurance policy is a mandatory requirement for anyone who rides a bike. It’s also called a liability-only insurance policy that covers bodily injuries, permanent or temporary disabilities, as well as the death of a third party as a result of an accident or mishap caused by the insured’s bicycle. The insurance for a scooter or motorcycle policy also covers costs for property damage incurred from the other party to 1 Lakh rupees. 1 Lakh however it doesn’t pay for damages caused by the insured’s vehicle or by the insured.
Own-damage Bike Insurance
The separate own-damage bike insurance policy provides coverage for personal damages that occur to the insured bike as a result of a fire, accident, theft natural disaster, or human-caused calamities. A separate own-damage policy gives the option of selecting the insurance company that they prefer. Policyholders can purchase an own-damage policy or a third-party policy with the same insurer or another one. The insured person can extend the coverage offered by an own-damage insurance policy by purchasing add-on policies.
How do you choose Two Wheeler Insurance Policy?
The purchase of a two-wheeler insurance plan requires thorough research. To narrow down the best bike insurance policy, analyze your needs and then look at various bike insurance plans on the internet. These are additional tips you can use to pick an insurance policy for your bike in accordance with your budget and needs.
1. Know Your requirements for coverage Consider your needs and budget to ensure that you are able to choose from various types of insurance for bikes which will meet your needs the best. When you are evaluating your needs it is important to consider a variety of elements like the usage of your two-wheeler, costs, liabilities, etc.
2. Choose Add-ons Carefully: Riders or add-ons let you expand the coverage of your bicycle insurance policy. However, you’re required to pay a fee for it, it is essential that it is important to include only the ones that you require. The most common add-ons to two-wheeler insurance are no depreciation insurance as well as personal accident coverage for pillion riders, as well as towing insurance.
3. Choose a reliable Insurance Company: Checking the ratio of claim settlement is essential when choosing a reliable bike insurance firm online. This ensures that the settlement process is easy.
4. Compare Two Wheeler Insurance Plans Online: It is crucial to review various bike insurance policies online to help you make the best purchase choice. It is possible to compare policies based on the inclusions, exclusions, rates, and more.
5. Read online reviews Reviewing online reviews from authentic customers who have purchased bike insurance policies can assist you in determining if will be purchasing the correct two-wheeler insurance policy. It is therefore recommended to read both positive as well negative reviews online to determine which one is the best fit for your needs.
Benefits of Buying a Two Wheeler Insurance Policy
Two-wheeler insurance comes with a vast variety of benefits for Policyholders. The most important advantages are listed below:
1. Helps You Stay In Compliance With The Law
An insurance plan for your motorcycle or scooter ensures that you are in compliance with the laws. In accordance with the Indian Motor Tariff, every motorcycle owner is legally obliged to carry at least an insurance plan for their bike from a third party. If you do not have an insurance plan is punishable by a fine of up to Rs. 2,00 or imprisonment three months or more.
2. Protection from Third-Party Liabilities
The bike insurance policy covers the financial liability you might incur against the third party such as bodily accidents and death, disability as well as property damages. The insurance coverage in case of damage to property is only 1 Lakh. 1 Lakh.
3. Protection from Personal Damages
A bike insurance policy covers the cost of repairs to your bike that may occur as a result of fire, accident theft, natural and human-caused disasters, etc. This coverage is offered in separate own-damage plans as well as complete bike insurance plans.
4. Protection for Theft
A two-wheeler insurance policy gives you protection even if your bicycle or two-wheeler is stolen. In these instances, your insurance provider will send you a copy of the value of your bike’s insured declared value (IDV) which will be the same as the price you paid for your bicycle when you make the purchase.
5. Personal Accident Cover
You can also include an individual accident insurance policy up to Rs. 15 Lakh in your bike insurance policy to provide coverage for the bodily injury, disability, or death of the Policyholder.
