Are you also surfing through various bike insurance policy from different motor insurance companies to get the best deal? Do you also want to ensure that you pay only for the policy that is within your budget and fulfils all your needs?
Then have a quick look at some of the important points that you should know before purchasing bike insurance in a country like India.
Before buying a two-wheeler insurance plan, you need to consider various factors such as its mileage, design, comfort, maintenance cost, and its actual price. Apart from these factors, it is important that you take into consideration a bike insurance policy as well.
It is important to buy two-wheeler insurance for all kinds of bike and scooter owners in our country. Either you can buy a minimum of third-party two wheeler insurance cover.
Types of Bike Insurance Policy
- Third-party cover – It covers the damages caused to a third party, vehicle or property. It will not cover damages caused to you and your vehicle occurred in accidents.
- Comprehensive cover – In addition to the third-party cover, this insurance also provides coverage to you (vehicle owner/policyholder). The insurance premium is higher for a comprehensive plan as compared to others, as it covers all the major damages. You get options to choose a value-for-money product after comparing various products that are available in the market.
Have a quick look at some of the important factors that you should know before purchasing a bike insurance policy-
1. Factors Affecting the Cost of Premium
The following factors will affect the insurance premium of your two-wheeler insurance policy-
- The company produced and model of the two-wheeler
- The engine capacity of the vehicle
- State of registration
- Type of insurance
- Safety installations in your vehicle like an anti-theft device
- Driving records of driver
- Usage of the vehicle
- Annual premium or long-term premium
- Automobile association membership
- Bonus or discounts offered by the insurance company
- Online/offline insurance policy
2. No-Claim Bonus
If you have not made any claims in the previous policy year owned by you. After that then you may get a no-claim bonus while renewing the policy.
The no-claim bonus also increases with each claim-free year. The no-claim bonus ranges between 10% and 40%.
If you claim the policy in the third year after the purchase of a vehicle. And then the no-claim bonus will be nullified at the time of renewing the policy in the fourth year. It will be applied again from the fifth year after starting with the lowest percentage of no-claim bonus.
3. Add-on Covers
Apart from the basic coverage, it is also important for you to know about the add-on coverages. You can enhance your bike insurance cover by opting for various add-on covers available. Such as personal accident cover, pillion rider cover and roadside assistance. The insurance premium will keep on increasing with the inclusion of the add-on cover. If you have a specific risk factor, it should be covered by the insurance policy.
There are two types of deductibles available Compulsory and Voluntary Deductibles. The voluntary deductible will be applied over and above the compulsory deductible amount.
For this following reasons your bike insurance claim will be reject.
- If there is a mechanical or electrical breakdown of the vehicle
- Normal wear and tear of vehicle
- Ageing of the vehicle
- Loss or damage to the vehicle due to the act of terrorism or war or accidents.
- Damage to the vehicle by a person driving without a valid driving license.
- The private vehicle which is using for commercial purposes.
You can easily buy a two-wheeler insurance policy online as well as renew the existing policy online on different websites.