Having a comprehensive two wheeler insurance policy can protect you and your bike from a wide range of risks, including theft, accidents, and natural disasters. If you think you don’t want to pay a relatively higher premium, you may instead go for liability insurance along with a basic standalone cover. Nonetheless, if you are a bike owner in India, you are required by law to have at least third party bike insurance.
With so many bike insurance providers offering different policies, choosing the right one can be a daunting task. To help you make an informed decision, this article will outline the key factors you should consider when comparing bike insurance quotes.
Ride safe and insured: The importance of bike insurance
Bike insurance provides financial protection to the policyholder in case of accidents, theft, or other unforeseen events involving their bike. In India, where two-wheelers are the most common mode of transportation, if you own a two-wheeler, having bike insurance is a must. It provides financial protection against accidents but also makes you legally compliant to ride your bike on Indian roads. A good two wheeler insurance policy covers the damages incurred by your bike along with the third-party liabilities.
Factors to consider when comparing bike insurance quotes
Given below is a list of factors that you should take into consideration while comparing bike insurance quotes –
- Coverage type: When comparing bike insurance quotes, the first factor to consider is the type of coverage offered. In India, there are two major types of bike insurance policies – third party bike insurance and comprehensive bike insurance. Third-party bike insurance covers damages to a third party involved in an accident with your bike. Comprehensive bike insurance, on the other hand, covers damages to your bike, along with covering damages for third parties. While third-party insurance is mandatory by law, a comprehensive policy offers more protection.
- Insured declared value (IDV): The insured declared value (IDV) of your bike is the maximum amount that the insurance company will pay you in case of theft or total loss of the bike. When comparing bike insurance quotes, it’s important to consider the IDV offered by each policy. A higher IDV means a higher premium, but it also means you’ll receive a higher payout in case of a total loss.
- Premium: The premium is the amount you pay for the insurance policy. When comparing two wheeler insurance quotes, it’s important to consider the premium offered by each policy. While a lower premium may be attractive, it may also mean lower coverage. It’s important to strike a balance between the premium and the coverage offered.
- Add-ons: Add-ons are additional coverage options that you can add to your bike insurance policy for an extra premium. When comparing insurance quotes, it’s important to consider the add-ons offered by each policy. Note that third party bike insurance only covers third-party liabilities and does not provide coverage for damages to your own bike.
- No-claim bonus (NCB): A no-claim bonus is a discount on the premium offered to policyholders who don’t make a claim during the policy period. When comparing quotes for your bike insurance, it is important to consider the no-claim bonus offered by each policy. A higher no-claim bonus means a lower premium, so it’s important to choose a policy that offers a good no-claim bonus.
- Cashless network: When choosing a bike insurance policy, it’s important to consider the cashless network offered by the insurance company. A cashless network allows you to get your bike repaired at a network garage without paying any cash upfront. When comparing two wheeler insurance quotes, it is important to choose a policy that offers a wide cashless network.
- Customer service: Customer service is an important factor to consider when choosing a bike insurance policy. While comparing quotes, it is important to choose an insurance company that offers good customer service. This includes timely claim settlement, responsive customer support, and easy claim filing procedures.
- Claim settlement ratio: The claim settlement ratio is the percentage of claims settled by the insurance company during a financial year. While comparing, it is important to consider the claim settlement ratio of each insurance company. A higher claim settlement ratio means a higher probability of your claim being settled in case of an accident or theft.
- Exclusions: Another factor you need to consider while comparing policies is the exclusions of each policy. Exclusions are aspects that are not covered by the policy. Some common exclusions include damage caused by war or nuclear risks, damage caused while riding under the influence of drugs or alcohol, and damage caused by intentional acts. It’s important to read the policy document carefully to understand the exclusions of each policy.
- Discounts: Last but not the least, when it comes to two wheeler insurance, it’s important to consider the discounts offered by each policy. Insurance companies offer various discounts to policyholders, such as a discount for installing anti-theft devices or for being a member of an automobile association. It’s important to choose a policy that offers good discounts to save on the premium.
In conclusion, it is essential for every bike owner in India to have adequate bike insurance coverage. With third party bike insurance, you can ensure that you comply with the legal requirements of riding your two-wheeler on Indian roads.
However, to protect yourself from unforeseen events such as accidents, thefts and natural calamities, comprehensive two wheeler insurance is highly recommended. By comparing different bike insurance policies and considering the primary factors discussed above, you can make an informed decision and choose the right policy that suits your needs and budget. So, make sure you have the right bike insurance coverage to enjoy a safe and worry-free ride.
Disclaimer: The above information is for illustrative purposes only. For more details, please refer to the policy wordings and prospectus before concluding the sales.
