Bike insurance, also called “two-wheeler insurance,” is a contract between the owner of a bike and an insurance company. The insurance company promises to pay for damage to the bike caused by an accident, theft, or collision. Bike insurance covers all types of two-wheeled vehicles, from scooters and motorcycles to scootys and scoots.
What is insurance for a two wheeler?
Two-wheeler insurance, which is also called “bike insurance,” is a contract between the insurance company and the bike owner. The insurance company pays for damages to third parties and, in some cases, to the bike owner and his bike as well. A two-wheeler insurance policy protects the bike owner from things like theft, natural disasters, accidents caused by people, and even damage to third parties or their property. The Motor Vehicles Act of 1988 says that every person who owns a car must buy third-party insurance to protect themselves against death, disability, or damage to third-party people or property. Whether or not to buy comprehensive two-wheeler insurance is up to the bike owner and their needs.
How to Choose Insurance Policy for Two Wheeler?
Before you buy a two-wheeler insurance policy, you should do a lot of research. To choose the best two-wheeler insurance policy, you should think about your needs and compare a number of online two-wheeler insurance plans. Here are some tips to help you find a two-wheeler insurance policy that fits your needs and your budget:
1. Know what kind of coverage you need. Figure out what you need and how much you can spend so you can choose the best two-wheeler insurance plan for you. When figuring out what you need, you should think about things like how often you use your two-wheeler, how much you spend, your liabilities, etc.
2. Pick extras Add-on covers can help you get more coverage from your two-wheeler insurance. For an extra premium, you can add extra coverage to your two-wheeler insurance policy. Some common extra covers for two-wheeler insurance are “zero depreciation cover,” “personal accident cover for pillion riders,” and “towing cover.”
3. Choose a Reliable Insurance Company: When looking for a reliable two-wheeler insurance company online, the claim settlement rate is the most important thing to look at. It makes sure that settling the claim is easy.
4. Compare online plans for two-wheeler insurance – To make the best buying decision, it’s important to compare different two-wheeler insurance policies online. You can compare plans based on what they include, what they don’t include, how much they cost, etc.
Read reviews on the web – Reading online reviews from real people who have bought two-wheeler insurance policies will help you decide if you are getting the right policy or not. So, it’s best to read both positive and negative comments online so you can figure out what’s best for you.
Key highlights of Bike Insurance
Types of insurance for bikes
There are different kinds of bike insurance that can protect the owner in the following situations.
Comprehensive bike insurance: This type of insurance covers both damage to your bike and damage to other people. It protects the bike owner from damage caused by theft, natural disasters, accidents caused by people, and even third parties.
Third-party bike insurance: This type of insurance is required by law, and it covers you in case you hurt someone else. This type of insurance protects against death, disability, or bodily harm to a third party, as well as damage to their property. If you buy third-party insurance for your two-wheeler, it won’t cover damage you do to your own bike.
Standalone own damage bike insurance: As the name suggests, this type of insurance covers damage caused by theft, natural disasters, or accidents caused by humans. It does not cover third-party liability.
Importance of bike insurance/ Why do you need two wheeler insurance?
Having a two-wheeler insurance policy can help you in different situations, so you don’t have to pay for any legal or financial liabilities out of your own pocket. Besides this, insurance for a two-wheeler can help in the following ways.
Follow the law.
The law says that you have to buy third-party insurance. On Indian roads, every bike must have a valid third party cover. If you don’t buy this kind of insurance, you could be fined up to Rs. 2,000 or even go to jail. To stay on the right side of the law, you must buy or renew your bike insurance on time.
Protection against loss of money
Damage to your bike from natural or man-made disasters or any accident you didn’t plan for can add to your expenses. So, you can stay safe from financial obligations if you have full insurance coverage.
Protection against both natural and man-made disasters
Bike insurance can help you a lot in the event of a natural or man-made disaster, like a flood, cyclone, storm, fire, act of terrorism, etc. It covers damages caused by such disasters.
Coverage for bike theft
If your bike gets stolen, an insurance policy will pay you back according to the terms and conditions of the policy. To file a claim for a stolen bike, you must get a non-traceable certificate from the police.
Personal accident cover
Personal accident insurance is required to protect the owner or driver from death, disability, or bodily harm. By law, every bike owner must have personal accident coverage of up to Rs. 15 lakh.
Benefits of Buying A Two Wheeler Insurance Policy
Insurance for a two-wheeler is not a one-time job; it needs to be renewed on time. If you don’t renew your two-wheeler insurance policy on time, it will expire and no longer cover you. Until you renew your two-wheeler insurance policy, you won’t be able to use any of the coverage benefits. Here are some advantages of renewing your two-wheeler insurance online:
Unbiased Opinion: There is no influence when you buy or renew a two-wheeler insurance policy online because there is no agent involved. You can choose the best two-wheeler insurance plan for your needs and budget, without being told what to do.
Online, it’s easy to compare different plans. When you buy or renew a two-wheeler insurance plan online, you can compare the plans’ features, what they include, and what they don’t include. This helps you figure out which plan is best for you based on your needs, so you can make an informed choice.
Convenience: Renewing your two-wheeler insurance policy online is the easiest way to do it. Your two-wheeler insurance policy is easy to renew online from the comfort of your own home. When you renew your two-wheeler insurance, you save time and don’t have to fill out as much paperwork.
Direct Transaction With The Company: If you buy two insurance plans online, you don’t have to pay the insurance broker or agent an extra fee. If you have any problems, you can call the insurance company’s customer service and get your questions answered.
Payment Security: If you want to renew your two-wheeler insurance online, you can pay your premiums through a secure payment gateway. There are many ways to pay your premium, and you can choose the one that works best for you. There are debit cards, credit cards, and electronic wallets.
Benefits of Two Wheeler Insurance Renewal
Here are some of the benefits of renewing your bike insurance online:
Unbiased Opinion: There is no influence when you buy or renew a two-wheeler insurance policy online because there is no agent involved. You get to choose from the best insurance plans for your motorcycle or scooter based on the information you give, without being pushed.
Easy to Compare Different Plans Online: If you buy or renew your bike insurance online, you can easily compare different plans’ features, what they cover, and what they don’t cover. This lets you know the pros and cons of each policy and the cost of premiums for similar plans, so you can make a smart decision about what to buy.
Convenience: Buying or renewing a two-wheeler insurance policy online is the easiest way to do either. You can compare different policies from the comfort of your own home to find the best one. Also, you can buy a policy at any time and from anywhere in India. When you do it online, it only takes a few minutes to renew your bike insurance.
Direct Transaction With The Company: When you buy bike insurance plans online, you can avoid paying an extra fee to the insurance broker or agent. If you have any problems, you can call the insurance company’s customer service and get your questions answered.
Payment Security: When you buy or renew two-wheeler insurance online, you can pay your premiums through a secure payment gateway. There are many ways to pay your premium, and you can choose the one that works best for you. There are debit cards, credit cards, and electronic wallets.
Least Paperwork: You don’t have to fill out a lot of paperwork when you buy bike insurance online. You don’t have to send in copies of your documents. All you have to do is fill out online quotes, compare different plans online, and make an online shortlist of the best policy.
Why Should You Buy A Comprehensive Bike Insurance Policy?
Here are some reasons why you should buy a two-wheeler insurance policy that covers everything:
Coverage for Third-Party Liability: Third-party liability is covered by a comprehensive bike insurance policy.
Own Damage Coverage: If you damage or lose your bike, a full two-wheeler insurance policy will pay for any costs that come up because of that.
3. Cashless Repairs: If you have a comprehensive bike insurance policy, you can get repairs done at any network garage in India without having to pay out of pocket.
4. Extra Covers: Comprehensive two-wheeler insurance comes with extra benefits like return to invoice cover, consumables cover, zero depreciation cover, engine and gear protection cover, breakdown assistance cover, and zero depreciation cover. You can pay an extra premium when you buy the policy to get these add-ons. You don’t have to buy these extras, but most people do because they improve coverage.
5. No-Claim Bonus: If you don’t make a claim on your bike insurance for 5 years in a row, you get a No-Claim Bonus of between 20% and 50%.
Factors That Affect Bike Insurance Price For Two Wheelers
Insurance companies use a number of factors to decide how much to charge for a bike insurance premium. Some of these things are discussed below:
1. Type of Coverage: In India, there are different types of two-wheeler insurance policies, such as third-party bike insurance, standalone own-damage bike insurance, and comprehensive bike insurance. The prices of the premiums for each type of policy are different. Comprehensive bike insurance gives you more protection than the other two types, so its premium is higher. But the price of the premiums shouldn’t be the only thing you think about when deciding if you need bike insurance or not. Comprehensive two-wheeler insurance is recommended because it gives you more benefits.
2. The type of two-wheeler and how much it costs. Just like the prices of different motorcycles or scooters vary, so do their insurance premiums. The bike’s cubic capacity is one of the things that insurance companies look at when deciding how much to charge for bike insurance. The more powerful your engine is, the more you will have to pay for your two-wheeler insurance.
Changes to a two-wheeler: A lot of people who like to ride two-wheelers make changes to their bikes to make them look better and make them run better. If you make changes to your bike, you will have to pay a higher premium if you also want to be covered for the changes.
4. Details about the Rider: Your bike insurance premium is also based on your age, how long you’ve been riding, your gender, etc. For example, if you are 35 years old and have been riding for more than ten years, you will pay less for your insurance than someone who is 20 years old. This is because an insurance company will see the 20-year-old as a higher risk.
5. Add-on Covers: Add-on covers give you more coverage, so if you add them to your two-wheeler insurance policy, you’ll have to pay a higher premium. You don’t have to buy add-on covers, but you should if you want more coverage. Some common extras you can add to your bike insurance policy are zero depreciation cover, return to invoice, roadside assistance, etc.
6. Anti-Theft Devices: Anti-theft devices protect your two-wheeler and make it less likely that you will lose it. As it reduces the insurance company’s risk, you will have to pay a lower premium if your motorcycle or scooter has an anti-theft device that has been approved by ARAI. Installing anti-theft devices on your bike is a good idea, not only to protect it, but also so that you can get bike insurance with lower premiums.
7. Voluntary Excess: There are two types of excess in bike insurance: one that is required and one that you can choose. When you have a compulsory excess, you have to pay a certain percentage of the cost of repairs out of your own pocket. The insurance company pays the rest. It can’t go up or down, and neither can its percentage. When it comes to voluntary excess, on the other hand, you can make changes when you buy the policy. Since this benefit lowers the insurance company’s risk, you will have to pay a lower premium if you choose it.
8. No Claim Bonus: If you’re renewing your two-wheeler insurance policy and you didn’t make any claims in the past year, the insurance company will give you a No Claim Bonus. The bonus can be anywhere from 20% to 50% for up to 5 years, which can make a big difference in how much your bike insurance costs.
Documents Required for Filing a Bike Insurance Claim
Following are the documents required to file a bike insurance claim:
- Driving license
- Identity proof
- Address proof
- Bike registration certificate
- Bike insurance policy
- Original keys of the bike
- FIR report
- Original repair bills and payment receipts in case of reimbursement claim