What is Bike Insurance?
Bike insurance or two-wheeler insurance is one of the protection methods for your bike. This helps you financially if your bike faces damage or causes harm to someone else’s property or life due to accidents or other unexpected events. In India, every person who owns a bike must have insurance, specifically a third-party insurance plan.
Different bike insurance plans offer different benefits, and the cost varies depending on factors like the bike’s model, brand, registration year, add-on covers, city of registration, and the insurance company.
It’s important to consider insurance needs and choose a policy that provides sufficient coverage to safeguard you. If something bad happens, proper insurance can help a lot.
Types of Bike Insurance
There are three main types of bike insurance: Third-Party Bike Insurance, Comprehensive Bike Insurance, and Own-Damage Bike Insurance. Let’s discuss this in detail.
1. Comprehensive Bike Insurance
The most common bike insurance in India protects against damage to other people’s property and your own bike. This policy keeps your bike safe from accidents, fires, theft, and other incidents, whether they’re caused by humans or nature. You can make it even better by paying more for extra coverage, like no depreciation cover, engine coverage, roadside assistance, etc.
2. Third Party Bike Insurance
Third-Party Bike Insurance, a liability-only policy, is essential for motorcycle riders. This insurance keeps you safe in case you accidentally cause harm to someone or damage their belongings while you’re riding. It covers the medical costs, disability, or death of the other person, along with property damage expenses up to Rs. 1 Lakh. It’s crucial to understand that this insurance won’t cover the cost if something happens to your bike.
3. Standalone Own-Damage Bike Insurance
This insurance policy type for your two-wheeler covers damages caused by accidents, natural disasters, theft, fire, and other accidents. OwningOwning damages to buy two-wheeler insurance online allows you to choose your preferred insurance company. You can buy the basic and additional coverage separately from the same or different companies. You can also add extra features to your insurance policy to get more protection.
What are the Key Features of Bike Insurance?
Bike insurance has different key features that you should know about:
Protection from Natural Disasters and Non-Natural Incidents
If you buy two-wheeler insurance, you are covered for damages from natural disasters like floods and earthquakes. It also protects against non-natural incidents like burglary, theft, etc.
Legal Coverage for Third-Party Involvement
The insurance helps with legal liabilities if your bike is involved in an accident with a third party. It will cover any third-party liability arising from an accident.
Additional Benefits
Regularly renewing your insurance makes you eligible for discounts, like the No Claim Bonus (NCB), a reward for claim-free years. The higher you cover NCB in bike insurance, the lower your insurance premium at renewal.
Cashless Claim
A significant perk is the cashless claim feature. You can have your bicycle fixed at different repair shops without needing to find money, as the bills are already settled between the garage and the insurance provider.
Insurance for Personal Accidents
The bike insurance premiums include coverage for the rider’s injuries resulting from an accident. While not mandatory, it’s wise to have this cover. If you already got it from another vehicle, you don’t have to buy it again.
Long-Term Insurance Option
Some providers offer coverage for three years with a fixed-wheeler insurance premium. This eliminates tension about yearly renewals and potential premium increases.
Personal Accident Cover in Bike Insurance
If you’re thinking about getting or already having a bike, the Motor Vehicles Act of 1988 says you must have third-party insurance. This type of insurance helps you financially if you have an accident involving someone else and you’reare responsible for paying for the damages.
Another kind of insurance that some folks might not know they need is personal accident insurance, which is mandatory for all vehicle owners. This policy, often called PA (Personal Accident) cover, provides financial help if the insured person is disabled or dies in an accident. Since many people lose their lives in road accidents in India each year, especially those on two-wheelers, this emphasizes the need for filing a two-wheeler insurance policy online.
Factors that Affect Bike Insurance Premiums for Two-Wheelers
The price you have to pay for bike insurance, called the premium, is influenced by different things. Here are some simple explanations:
Type of Coverage
You can choose between basic, own-damage, or comprehensive insurance. The greater the insurance you need, the more you have to pay.
Cubic Capacity
The size of your bike’s engine affects the premium. Bigger engines mean higher premiums.
Location
Where you live matters, if you’re in a safe, low-traffic area, your premium may be lower.
Type and Price of Your Bike
Expensive or high-powered bikes cost more to insure. The type and price also play a role.
Modifications
If you’ve customized your bike, your premium might go up. Inform your insurer about any changes.
Age of the Bike
Older bikes generally have lower premiums.
Make and Model
Expensive bikes cost more to insure because they’re worth more money.
Insured Declared Value (IDV)
This is how much your bike is worth in the market right now. A higher IDV means you’ll pay more for insurance.
Add-On Covers
Extra protections like zero depreciation or roadside assistance increase your premium.
Anti-Theft Devices
Adding authorized anti-theft tools can reduce the cost of your insurance.
Voluntary Deductibles
Choosing to pay a portion of repair costs can reduce your premium.
No Claim Bonus (NCB)
Not making claims earns you a bonus, lowering your premium over time.
How To Buy Bike Insurance Online
Tell About Your Bike
Share details like the model and fuel type of your two-wheeler. This helps to find you the best insurance quotes from different companies.
Compare the Quotes
Examine the insurance choices and pick the one that suits your needs and can afford the most.
Pay Online
After choosing your insurance, pay the two-wheeler insurance policy online. Once you’ve paid, your insurance document will be sent to your email. It’s easy and fast!
What happens if You forget to Renew Your Two-Wheeler Insurance Policy Online?
You have a 90-day grace period during which the insurer can set up the policy as a break-in, allowing you to keep benefits like No Claim Bonus (NCB). However, if you go beyond this 90-day renewal process window without renewing, you’ll need to purchase a new policy, starting fresh with no benefits.