Bike Insurance

What is Bike/Two-Wheeler Insurance?

Two-wheeler insurance, which is also referred to as bike insurance, is a contractual agreement between an insurance company and the owner of a motorcycle, scooter, or any other type of two-wheeler. This agreement provides coverage for damages caused to a third party, and in some cases, it may also cover damages to the bike owner and their vehicle.

By purchasing a two-wheeler insurance policy, the bike owner can protect themselves against unforeseen events such as theft, natural disasters, man-made calamities, as well as damages caused to a third person or their property. As per the Motor Vehicles Act of 1988, it is mandatory for every vehicle owner to purchase third-party insurance to get protection against death, disability, or damages caused to a third party or their property.

Whether or not to purchase comprehensive two-wheeler insurance is a matter of personal choice and depends on the individual requirements of the bike owner.

Types of Bike Insurance in India

In India, there are primarily three types of bike or two-wheeler insurance policies available:

• Third-party Liability Insurance

  This is the minimum legal requirement under the Motor Vehicles Act of 1988, and it covers the policyholder against any legal liability arising from the damages caused to a third party, including injury, death or property damage. This policy does not cover any damage to the policyholder's own vehicle.

• Comprehensive Insurance

  This type of policy offers more extensive coverage than the basic third-party insurance. In addition to third-party liability coverage, it provides coverage for damages caused to the policyholder's own vehicle due to accidents, theft, natural calamities, and other unforeseen events. Some insurers also offer add-on covers such as personal accident cover, pillion rider cover, etc., that can be customized as per the policyholder's requirements.

• Own Damage bike insurance provides coverage for damages to the policyholder's own vehicle due to accidents, theft, natural calamities, and other unforeseen events. Own damage insurance can be purchased as a standalone policy or as an add-on to a third-party liability policy. It provides coverage for repairs or replacement of the policyholder's bike, depending on the terms and conditions of the policy.

It is important to note that while third-party liability insurance is mandatory, comprehensive insurance is optional. However, it is highly recommended as it provides comprehensive coverage and financial protection to the policyholder against a wide range of risks and eventualities.

Importance of Bike Insurance

Having a two-wheeler insurance policy is essential as it can help you in various situations and ensure that you don't have to pay for any legal or financial liabilities out of your pocket. There are several benefits to having two-wheeler insurance, including:

• Compliance with the law

  It is mandatory to have third-party insurance coverage as per Indian law. Every bike on Indian roads must have a valid third-party cover. Failure to comply with this requirement can attract a penalty of up to Rs. 2,000 or even imprisonment in some cases. Therefore, it is crucial to buy or renew your bike insurance on time to ensure compliance with the law.

• Financial protection

  If your bike is damaged due to natural or man-made calamities or any unforeseen accident, it can increase your financial burden. With comprehensive insurance coverage, you can protect yourself against such financial obligations.

• Protection against disasters

  In the event of natural or man-made disasters such as floods, cyclones, storms, fires, terrorism, etc., bike insurance can be of great help as it offers coverage against damages caused by such disasters.

• Theft coverage

  If your bike is stolen, an insurance policy can compensate you as per the policy terms and conditions. However, to claim for bike theft, obtaining a non-traceable certificate from the police is mandatory.

• Personal accident cover

  It is mandatory for every bike owner to have personal accident cover up to Rs. 15 lakh. This cover protects the owner/driver against death, disability or bodily injury.

How to Select Best Bike Insurance Online?

When it comes to buying a two-wheeler insurance policy, it is crucial to do your research and choose the right plan for your needs. Here are some tips to help you choose the best two-wheeler insurance policy based on your requirements and budget:

Benefits of Buying Bike Insurance Online?

Buying a two-wheeler insurance policy is not a one-time task; it requires timely renewal. Failure to renew your policy on time can lead to the policy lapsing and becoming invalid, and you will not be able to claim any benefits until you renew it. Here are some benefits of renewing your two-wheeler insurance policy online:

• Unbiased Opinions:

  Renewing or purchasing a two-wheeler insurance policy online eliminates the influence of any agent or broker, and you can choose the most suitable policy based on your requirements and budget without any persuasion.

• Easy Comparison of Plans:

  Renewing or purchasing two-wheeler insurance online enables you to compare different plans in terms of features, inclusions, and exclusions. This helps you make an informed decision and choose the most suitable plan.

• Convenience:

  Renewing your two-wheeler insurance policy online is the most convenient option as it saves time and requires less paperwork. You can easily renew your policy from the comfort of your home.

• Direct Transaction with the Insurance Company:

  When you buy two-wheeler insurance online, you can avoid paying an extra fee to a broker or agent. If you face any difficulty, you can get in touch with the customer care executives of the insurance company and get your queries resolved.

• Secure Payment:

  Renewing your two-wheeler insurance policy online allows you to pay premiums through a secured payment gateway. There are various modes of payment available, including debit cards, credit cards, and e-wallets, which provide flexibility and convenience.

Reasons to Buy a Comprehensive Bike Insurance

If you are wondering whether to buy a comprehensive bike insurance policy, here are some reasons why it's a good idea:

• Third-Party Liability Coverage: A comprehensive two-wheeler insurance policy covers you for third-party liabilities, which is mandatory by law.

• Own Damage Coverage: A comprehensive bike insurance policy covers you for expenses arising due to damage or loss to your bike, including accidental damage, theft, or natural calamities.

• Cashless Repairs: With a comprehensive bike insurance policy, you can avail of cashless repairs at any network garage across India.

• Add-On Benefits: A comprehensive two-wheeler insurance policy comes with different add-on benefits, such as return to invoice cover, consumables cover, zero depreciation cover, engine and gear protection cover, breakdown assistance cover, and more. These add-ons can be purchased by paying an additional premium at the time of policy purchase, and they can help enhance coverage.

• No-Claim Bonus: A comprehensive bike insurance policy provides you with a No-Claim Bonus for every year that a claim is not made, between 20%-50%, for a consecutive 5 years. This can help you save money on your premiums and incentivize safe driving practices.