✓No Inspection Policy Issuance ✓24x7 Assistance ✓Quick Claim Processing | Buy a Bike Insurance Plan Starting at ₹538/year* Check Plans

What is a Long Term Two Wheeler Insurance Plan?

Getting insurance for your two-wheeler is mandatory as well as necessary. Due to hectic schedules and lifestyles, sometimes policyholders forget or fail to renew their two-wheeler insurance plan that leads to financial complications in future. To avoid the hassle of annual renewal, insurance companies offer long-term two-wheeler insurance to customers with a validity of 2-3 years.  It is a time-saving, hassle-free and budget-friendly two-wheeler insurance plan with 360-degree coverage against theft and accidental loss and damages. It offers financial coverage for the personal as well as to the third party for any accidental damages or loss incurred.

 

Having a comprehensive insurance plan for your two-wheeler is a necessity. It not only helps protect your vehicle from accidents and mishaps, but it also does not burn a hole in your pocket. The cost of damage on vehicles can put a dent in your savings in case you miss paying premiums on time or renewing your two-wheeler insurance plan. This is why it is beneficial to get a long-term two-wheeler insurance plan with a validity of 2-3 years.

 

The long-term two-wheeler insurance plan gives you 360-degree coverage against accidental damages and theft at affordable premiums. Moreover, both personal and third-party damages will be covered under long-term two-wheeler insurance for up to 3 years. So you can save time and forget stressing about renewing the insurance for your two-wheeler year after year.

Benefits of Long-Term Two-Wheeler Insurance

Eliminates the Hassle of Yearly Renewals

The hassle of renewing short-term insurance plans may lead to the expiry of the plan. It may also be possible that you may forget to renew the two-wheeler insurance plan on time. In such a situation, if something unfortunate happens to the vehicle during the grace period, you will have to pay for damages/ loss out of pocket.

Cost-Effective

 Long-term two-wheeler insurance comes at budget-friendly premium plans compared to short-term insurance plans.

Constant IDV

Policyholders have to declare IDV upon every policy renewal when considering depreciation. So when you purchase a short-term insurance plan, the IDV decreases upon every policy renewal, whereas in a long-term two-wheeler insurance plan, the IDV is constant for the entire policy tenure.

No-Claim Bonus

<p>You can redeem the <a href="https://www.bajajfinservmarkets.in/insurance/motor-insurance/two-wheeler-insurance/ncb-in-bike-insurance.html">No-Claim Bonus</a> points in exchange for premium discounts in long-term two-wheeler insurance plans.</p>

Break-in Policy

If you want to renew your bike insurance plan that has expired, your vehicle will need to undergo inspection. Such plans are called break-in policies. Renewing an expired plan can lead to a higher insurance premium which may not be ideal. So, you can opt for a longer policy term to avoid any breaks in your insurance plan.

Lower Premium

Insurance providers offer lucrative premium quotes for long-term two-wheeler insurance. This not only enables you to avoid yearly renewals but also make significant savings!

Moreover, insurance companies can hike premium amounts every time on policy renewal. With long-term two-wheeler insurance plans, the insurance companies do not hike premium amounts throughout the tenure

How to Buy Long-Term Two-Wheeler Insurance at Bajaj Markets

You can purchase long-term two-wheeler insurance online via Bajaj Markets to save time and enjoy a hassle-free experience. Follow these simple steps mentioned below:

  1. Download the Bajaj Markets app or visit the official portal of Bajaj Markets

  2. Login to your account using credentials or create an account 

  3. Under the ‘Insurance’ option, select the ‘ two-wheeler’ tab

  4. Click on ‘Apply now’

  5. Fill out all the details in the insurance application form and attach all required documents

  6. Select the tenure and proceed with the premium payment

 

Once the premium payment is completed, your policy details will be shared on your registered contact details.

Why Opt for Long-Term Two-Wheeler Insurance?

Long-term two-wheeler insurance online is convenient and helps save time by eliminating the hassle of regular renewals with a single-year insurance renewal. If you are not planning to exchange or purchase a new two-wheeler, the long-term two-wheeler insurance plan can be the best option for you. Apart from discounts and No-Claim Bonus rewards, you can also enjoy various advantages like a break-in policy facility, budget-friendly premium amounts, etc., compared to short-term two-wheeler insurance plans.

Types of Long Term Two-Wheeler Insurance Policy

Long-Term Third-Party Cover - The Motor Vehicles Act, 1988, mandates for every vehicle owner to purchase third-party liability insurance. The long-term third-party insurance plan offers financial security against third-party liabilities for the damages and loss caused to your two-wheeler for up to 3 years. The insurance plan covers vehicle damages, treatment for minor injuries, etc apart from compensation for the demise of the third party.

 

Private Car Bundled Cover - The private car bundled cover offers more comprehensive coverage. The cover includes damages and loss caused due to natural or man-made calamities, accidental damages, theft, third-party liabilities, etc. You can also include other add-on features in the insurance plan and customise it as per your comfort.

What's Covered and Not Covered under Long Term Two Wheeler Insurance Policy

Inclusions

Exclusions

Third-party property damages 

Wear and Tear of the vehicle parts due to regular usage

Death or injuries caused to the third-party

Electrical or mechanical breakdown

Personal damages or injuries

Damages or injuries caused under the influence of toxic substances

Man-made disasters and theft

Loss incurred while riding the two-wheeler without a valid driver’s licence

Natural calamities, accidental injuries and damages

Any damage caused while using the vehicle for other purposes than mentioned in the policy.

How Does the IDV Depreciate Throughout the Year?

The Insured Declared Value (IDV) of any vehicle determines the insurance claim amount and premium in a long-term two-wheeler insurance plan. Various factors contribute to the IDV depreciation of the vehicle:

  • Regular wear and tear caused in the vehicle

  • Irregular servicing 

  • Below average fuel efficiency

 

Apart from these factors the age and model of the vehicle also play a crucial role in determining the depreciated value of the IDV during long-term two-wheeler package policy renewal.

What is the Premium for Long-Term Bike Insurance?

The long-term two-wheeler insurance policy is a great option since you don’t have to renew your third-party insurance on a yearly basis. Third-party two-wheeler insurance premiums for a tenure of 3 years can be 3 times the annual premium for a third-party plan. However, with long-term two-wheeler insurance, you pay a fixed premium throughout the policy period, helping you save money from the annual premium hike. 

 

Many companies provide great offers on purchasing long-term two-wheeler insurance online, along with other perks. Furthermore, the standalone third-party cover cannot be cancelled except in the case of a total loss, wherein the full premium for the unexpired years will be refunded.

What Are the Factors Affecting Long-Term Bike Insurance Premiums?

Here are the factors affecting long-term two-wheeler insurance premiums:

  • IDV - Insured Declared Value is the market value of the vehicle declared by the policyholder during policy purchase. IDV helps the insurance company determine the premium amount per the risks involved.

  • Cubic Capacity- The cubic capacity or ‘cc’ of the two-wheeler influences the engine performance and power quality. Insurance companies consider a vehicle’s cubic capacity to evaluate its performance quality.

  • Registration Place - If your vehicle is registered in a metro city, the premiums will be slightly higher than vehicles registered in non-metro or rural areas. 

  • Vehicle’s Age - Since old vehicles are more prone to frequent servicing and damages, older two-wheelers may invite higher premiums compared to newer vehicles.

  • Vehicle’s Modification - Any modification or adjustment made to the bike also influences the policy premium amount.

  • No-Claim Bonus - You earn No-Claim Bonus points if you don’t make any claims in a year. These points can be redeemed in the form of premium discounts when you renew the policy later.

  • Add-ons - The type of add-ons or covers you choose can increase the premium amount of the two-wheeler policy.

Factors to Contemplate Prior to Purchasing Extended Motorcycle Insurance

Here are a few factors you must consider when purchasing an extended bike insurance policy:

  • Increase in Premium

If you possess a comprehensive bike insurance policy, it will cover damages caused to your bike as a result of an accident, human negligence, or a natural disaster. In addition to this, it will also secure you financially against a theft.

However, the main benefit of an extended two-wheeler insurance policy is that you will not have to get its renewal done annually. If you were not locked in for a span of 3 years, it is probable that the insurance premium will increase after every year. However, you would be able to pay the five years’ two-wheeler insurance premium and avert the upcoming price hikes.

  • Ownership Duration

Long term two-wheeler insurance policy is valid if your bike is brand new and you plan to keep it for at least three years. However, a long-term plan may prove to be ineffective if you decide to sell your two-wheeler within a span of three years. Your insurance policy will then be required to be transferred to the new vehicle owner. Besides, you will also have to get an insurance policy for any new vehicle you purchase.

  • Insurer’s Service

You will be locked in with your insurer for a five year tenure of your bike insurance. Hence, you must consider the legitimacy of your insurer and the quality of their services. You must opt for an insurance provider which has a large network of garages and a decent claim settlement ratio (preferably, 95%-99%). Also, it is also advisable to talk to the existing policyholders or read through the online evaluations of an insurer before choosing one. Also, you should also ensure to check for the price of a new bike insurance for 5 years.

  • Add-on Covers

The add-on covers generally increase the premium of the long-term bike insurance and need careful considerations. Hence, you must choose the add-on covers which will be valid to you over the tenure of your insurance policy and not just in the beginning.

  • Extra Features

Most of the insurance providers are increasing their online process, therefore, they are saving huge amounts of money on their administrative costs. Ultimately, they are getting successful in attracting more customers. Certain insurers also provide free pick-up and drop services to and fro from the network garages. Hence, it is important to consider these benefits offered by the various insurance providers before opting for an insurance policy. 

Read More

Difference Between Long-Term Two-Wheeler Insurance & Short-Term Insurance

Parameters

Long Term Two-Wheeler Insurance

Single Term Bike Insurance

Tenure

The policy period is for 2-3 years

The policy period is for 1-year

Renewal Frequency

As long-term two-wheeler insurance has a longer tenure, you don't have to renew the plan annually

Short term bike insurance has to be renewed every year

Impact of Premium Hikes

Third-party premiums of long term 2 wheeler insurance experience no impact.

The third-party premium for short-term plans may increase year on year

Refund for Mid-Term Cancellation

A proportional refund facility for uninitiated policy terms is available even after making a claim

No refund facility is available if you have made a claim

No Claim Bonus

Additional NCB reward is provided during policy renewal

NCB reward is available as per tariff

FAQs on Long-Term Bike Insurance

Is long-term two-wheeler insurance available for more than 3 years?

Yes. You might find insurance providers offering a long-term two-wheeler insurance package policy with a tenure of up to 5 years.

Can I opt for a 3-year insurance plan for the component only with its damage?

No. Currently, no separate long-term insurance plans are available for the own damage component.

Home
active_tab
Loan Offer
active_tab
Download App
active_tab
Credit Score
active_tab