Bike Insurance Guide
Many say that ‘there’s no thrill without danger’. But no matter how experienced a rider you are, mishaps can take place any time. If you don’t have insurance cover for your bike or scooter, the financial implications of an accident can put a significant dent in your hard-earned savings. A bike insurance or two-wheeler insurance policy offers coverage against losses that you may have to incur in case of an untimely eventuality like an accident, theft of your vehicle, etc.
Moreover, having third-party two-wheeler insurance is mandatory in India under the Motor Vehicles Act, 1988. Riding without two-wheeler insurance not only makes you vulnerable to potential losses but also makes you liable to heavy penalties. Hence, every two-wheeler owner in India is expected to hold at least a mandatory third-party liability policy. In this article, let’s find out how to choose the right bike insurance to financially safeguard your vehicle!
Types of Two-Wheeler Insurance
There are two types of two-wheeler insurance plans that you can opt for:
Third-Party Bike Insurance
A third-party liability insurance covers the damages or loss caused to a third party individual or property. It is the minimum coverage offered by insurance companies and is mandatory in India. When compared to comprehensive two-wheeler insurance, it has a lower premium. However, it should not be the only coverage you opt for, as it does not protect your own vehicle against damages.
Comprehensive Bike Insurance
As the name suggests, a comprehensive two-wheeler insurance policy offers complete financial protection against your own damages in addition to any third party loss. Moreover, a comprehensive plan offers coverage against a wide range of risks such as theft, accidents, vandalism, natural calamities, etc. Although comprehensive two-wheeler insurance comes at a slightly higher premium rate, it is an investment worth making.
Important Two-Wheeler Insurance Terminology
No Claim Bonus or NCB is a discount given by an insurance company on the insurance renewal premium. However, you are eligible for an NCB reward only if you don't file a claim throughout the previous policy period. It can be considered as a reward for being a responsible rider. The best part about the NCB is that it increases progressively up to 50% after each claim-free year.
Insured Declared Value or IDV is the current market value of your vehicle which is calculated after deducting the depreciation amount. The IDV is an important component of a two-wheeler insurance policy as it determines the amount of compensation you shall receive. In case your bike is stolen or damaged beyond repair, the Insured Declared Value is offered as the sum insured. In other words, the IDV is the maximum compensation you can get for your vehicle under the two-wheeler insurance policy.
Key Benefits of Buying Two-Wheeler Insurance Online
Since the emergence of numerous insurance companies in India, the two-wheeler insurance market has changed dramatically. Today, bike insurance companies offer plans with a wide range of features and benefits at competitive rates. Here are some of the key benefits of buying two-wheeler insurance online:
Quick paperless process
Cost-effective policy premiums
Speedy processing and approval
Easy transfer of No Claim Bonus (NCB) discounts
Property damage and/or physical injury coverage
Safe and convenient method
Extensive cover against numerous perils
Availability of cashless claim facility
Steps To Buy Two-Wheeler Insurance Online
Since the advent of online bike insurance, buying a policy online has become a quick and simple process. These simple steps will help you buy a two-wheeler insurance policy online easily:
Step 1: Compare and research insurers online
Step 2: Select the right insurance company
Step 3: Pick a suitable insurance type
Step 4: Set the correct IDV (Insured Declared Value) of your bike
Step 5: Opt for any add-on covers to enhance your coverage
Step 6: Go through the policy documents thoroughly
Step 7: Fill in the online application form and make payment
How is Two-Wheeler Insurance Premium Calculated?
There are several factors that are considered while estimating the two-wheeler insurance premium for your vehicle. So, to learn how to know your bike insurance premium calculation, check out the below-mentioned aspects that are taken into account:
Fuel type of bike
Insured Declared Value (IDV)
Cubic capacity of the bike
Make & model of the vehicle
No Claim Bonus (NCB)
You can estimate the premium you need to pay for insurance with our online bike insurance calculator! By filling in a few details, the two-wheeler insurance premium quote will be available for you.
Benefits of Buying Two-Wheeler Insurance with Finserv MARKETS
With Finserv MARKETS, you can buy bike insurance through our website or even our mobile insurance app in a few simple steps. Bike insurance renewal online at Finserv MARKETS is just as easy and absolutely hassle-free.
Enjoy discounts on premium if you are a member of a recognised automotive association, by getting an anti-theft device installed or if you have a good rider history.
NCB refers to No Claim Bonus, which is a reward received when you don’t make any claims throughout the year. If you want to switch to Finserv MARKETS from your previous insurance provider, you can easily transfer up to 50% of your existing NCB to the new insurer.
Through Finserv MARKETS, insurance inspections are quick and hassle-free and the claim settlement process is also simple. This makes the overall two-wheeler insurance buying and claiming experience very convenient.
With this, you must have understood how to choose the right bike insurance for your prized possession! Though third-party insurance is mandatory, taking that step towards opting for comprehensive bike insurance goes a long way in securing your bike.
At Finserv MARKETS, you can buy bike insurance online in a simple and straightforward process. Moreover, you can enjoy exclusive benefits like a cashless claim facility, quick claim settlement, round-the-clock assistance and much more. To buy or know more about bike insurance visit Finserv MARKETS today.