The freedom of riding your own bike can be amazing. But this happiness comes with a high sense of responsibility. It is an accepted fact that accidents are unpredictable and have the potential to damage more than just your vehicle. In such cases, the third-party insurance cover shall take care of the compensation. However, since this type of insurance demands a lower premium, its benefits are very limited.
To tackle this, comprehensive insurance serves the rider’s needs as it promises to cover all the losses one can bear during an accident under a single policy. So, let’s take a look at the types of two-wheeler insurance plans.
When it comes to types of two wheeler insurance, there are three kinds that you need to watch out for:
Third-party insurance coverage safeguards the owner-rider from any third-party liabilities incurred on the road. Be it damage to property, bodily injuries endured by the third party or death of the victim, your insurer covers all such unfortunate scenarios. However, you must also know that third-party insurance is compulsory under the Motor Vehicles Act, 1988, and there is no way of opting out of it.
Furthermore, third-party bike insurance protects you from any accidental injuries endured in a mishap. But right off the bat, you must have understood that third-party insurance offers no coverage to your own two-wheeler, which is one of the major drawbacks of this policy.
For vehicle owners who travel using their bikes on a daily basis, comprehensive insurance is a must. Not only does the plan cover third-party liabilities but also offers protection against numerous other perils affecting your vehicle. From theft and accidental damage to calamities and fire, comprehensive bike insurance has got it all!
Similar to third-party insurance, the comprehensive bike insurance policy secures you against injuries resulting from an accident. But did you think this was it? Such an insurance plan further enables you to enhance your cover by opting for add-on benefits. These additional components provide extra protection in case of certain events. Some popular add-on covers are:
By looking at the name itself, you can infer that the standalone Own Damage (OD) cover secures the loss or damage incurred by your own two-wheeler. But how is this different from comprehensive insurance, you ask? Well, you can opt for a standalone OD cover if you have already purchased third-party insurance.
It may so happen that you choose to buy a third-party cover but later realise the importance of securing the loss caused to your vehicle. In this case, you can opt for OD cover instead of waiting for the renewal due date to upgrade to a comprehensive insurance plan. The standalone OD cover safeguards your bike from perils such as natural and man-made calamities, theft, own damage, etc.
Understand the difference between the three types of insurance plans for bikes with the below-given comparative view:
Parameters |
Third-Party Bike Insurance |
Comprehensive Bike Insurance |
Standalone OD Cover |
Coverage |
Third-party bike insurance covers loss incurred by the third party such as damage to property, bodily injuries or death |
Comprehensive bike insurance offers a well-rounded coverage that includes third-party liabilities, calamities, theft, own damage, etc. |
Standalone OD cover in bike insurance covers natural and man-made calamities, accidental damage, theft, etc. |
Legal Aspect |
Third-party bike insurance is compulsory to drive in India |
Comprehensive bike insurance is optional |
Standalone OD cover is optional |
Premium Amount |
The premium rate of third-party cover is lower in comparison to the other two plans. The premium is decided by the IRDAI |
The premium rate for comprehensive insurance is slightly higher. The premium rate is decided by the insurance company |
The premium rate for standalone OD cover is optimal. The premium rate is decided by the IRDAI and the insurance company |
IDV |
Third-party insurance has no IDV |
Insured Declared Value is a crucial aspect of a comprehensive bike plan |
Insured Declared Value is an essential aspect of standalone OD cover in bike insurance |
Customisation |
Customisation isn't available |
Comprehensive insurance can be customised with add-on covers |
Standalone OD cover can be customised with add-on covers |
Claim Amount |
The claim amount is decided by the Motor Accident Tribunal |
The claim amount is decided by your insurance provider |
The claim amount is decided by your insurance provider |
Exclusions |
Third-party insurance doesn't cover own damage, theft, calamities, etc. |
- |
Standalone OD cover doesn't include third-party liabilities |
Can you imagine your precious bike getting stolen or incurring damages that are beyond repair? Though we never wish such an unfortunate incident to affect you, such vehicular expenses can easily burn through your savings! Moreover, the repair cost of accidental loss incurred by your bike can be quite hefty. With comprehensive bike insurance, you can rest assured about the financial aspect of any damage that affects your motorcycle!
A comprehensive two-wheeler insurance plan not only offers 360-degree protection but also extensive coverage with add-on covers. By opting for some essential add-ons such as nil depreciation, roadside assistance, NCB protection cover, you can really save a lot of money!
The number of road accidents that occur in India has only been increasing. During such times, you can have peace of mind when it comes to unforeseen perils on the road. Be it an accident, theft, natural or man-made calamity or third-party liability, insurance has got your back!
A two-wheeler insurance policy is just the thing you need to secure your bike and any future expenses related to it. Most of the time it so happens that an accident occurs with no fault of our own. But that doesn’t mean you don’t require any backup against mishaps. You can first estimate the premium you need to pay with our bike insurance premium calculator before opting for a policy!
Browse through the two-wheeler insurance plans available on Finserv MARKETS today and enjoy enhanced coverage at an affordable premium!
If you are caught without a valid third-party bike insurance plan, you will have to pay a hefty penalty and/or face the risk of imprisonment. Thus, it is recommended to avoid riding your vehicle without insurance first!
A comprehensive two-wheeler insurance policy is the most suitable option as it offers maximum coverage during an unfortunate mishap. Learn more about the benefits of comprehensive bike insurance on our platform now!
If you use your two-wheeler on a frequent basis to travel in the city, third-party bike insurance isn’t enough. You must opt for a comprehensive bike insurance policy for complete protection!
Policyholders who have already purchased a third-party bike insurance policy are eligible to buy a standalone OD cover.
Third-party insurance for a bike secures any damage or loss incurred by the third party and not your own vehicle.