Two-Wheeler Insurance

An Insurance Policy for bikes protects them from third-party liability arising from the use of two-wheelers. The policy provides protection for two-wheelers and their owners in case of an accident. All types of two-wheelers are covered under the bike insurance policy, including motorcycles, mopeds, gearless-bike, and scooters. 

Types of Two-Wheeler Insurance

Mainly there are only two bike insurance policies offered by insurance agencies in India which are:   

1. Third-party bike insurance policy 

2. Comprehensive bike insurance policy 

Third Party Two-Wheeler Insurance Policy

Any driver of a two-wheeler, be it a motorcycle or scooter, who plies on public roads in India must have a third-party bike insurance policy which is stated in the Indian Motor Vehicle Act,1988. There will be severe penalties for those who ignore the rule.  

The name implies that third-party bike insurance protects the rider against all the legal obligations arising from having caused damage to a third party. The third party could be either an individual or a company. In the event that you damage someone else’s property or vehicle, third-party bike insurance will cover you against any liabilities you are liable for. This insurance covers your obligations in case you cause an accident that harms a third party, including his death. 

Comprehensive Two-Wheeler Insurance Policy

In summary, comprehensive two-wheeler insurance covers the insured for any third-party liabilities, such as third-party property or people, as well as for damage to the vehicle owned by the insured. The vehicle will be protected against any natural disasters, accidents, thefts, manmade calamities, etc. In case of an accident, while riding the two-wheeler, the policyholder is also covered. 

Benefits in Two-Wheeler Insurance Policies 

Makes You Compliant with Law 

Complying with the law is easier with motorcycle or scooter insurance. A third-party bike insurance policy is compulsory for all bike owners under the Indian Motor Tariff. It is punishable by up to Rs. 2,000 in fines and/or imprisonment if you drive your bike without third-party insurance. 

Protecting yourself from third-party liability 

You can be held responsible for third-party liabilities, such as bodily injury, disability, death, and property damage if you have bike insurance. You have only covered up to Rs. 1 lakh for property damage. 

Own-damage protection 

Bikes are covered by bike insurance in case they are damaged due to accidents, fires, theft, natural and man-made disasters, etc.  

Theft Protection 

A two-wheeler insurance policy covers you if your bike or two-wheeler is stolen. You will, in such events, be provided with your bike’s Insured Declared Value (IDV), which will be calculated based on the market value of the bike at the time the policy is purchased. 

Medical insurance for personal injury 

Your bike insurance plan can include personal accident insurance of up to Rs. 15 lakhs that covers bodily injury, disability, or death of the policyholder. 

Protection from Natural Disasters 

By purchasing bike insurance, you are protected from natural disasters such as earthquakes, fires, explosions, cyclones, floods, landslides, self-igniting storms, etc. It provides coverage for repairs to the damages caused by any calamity. Additionally, the policy provides compensation for the loss of life and bodily injury of both the rider and owner if they are injured. 

Protection from Third-party attacks 

In case of a burglary, strikes, theft, accident, malicious act, or any other type of man-made disaster, your bike may be lost or destroyed. By having bike insurance, you can reduce your fiscal liability in the event of the loss of your vehicle, or replacement and repair expenses. 

Add on Covers for Two-Wheeler Insurance 

Two-wheeler add-on coverage refers to the additional features added to your two-wheeler insurance policy upon paying an additional amount. These are some of the various add-on covers for motorcycles and scooters: 

1. Zero Depreciation Cover: Zero-depreciation insurance, also referred to as bumper-to-bumper insurance, is a popular add-on cover for two-wheelers. Besides a comprehensive coverage, it is also possible to opt for a policy that specifically covers own-damage two-wheelers. For the two-wheeler, the policy provides 100% depreciation coverage, except for the tyres, tubes, and batteries that are covered at 50%. A majority of insurance companies allow 2 zero depreciation claims per policy, but some insurance companies allow an unlimited amount during the policy’s term. 

2. No Claim Bonus: As a reward for riding safely and not filing any claims during the period of your policy, your insurance company offers you a discount. For not claiming your bike insurance, you can get a discount of up to 50%.   

3. Road Side Assistance Cover: Roadside assistance or emergency assistance can save the day in a variety of tight situations. There are several factors that can contribute to an unpleasant trip if you take your bike out for a long ride. A travel emergency assistance policy, however, will allow you to keep munching miles without ever worrying about anything. 

4. Daily Allowance Benefit: When you have a car under repair, you can commute in a private vehicle with Daily Allowance or Downtime Allowance. In the event that your bike is in the garage for more than two days, this add-on policy will provide you with a daily allowance of Rs 500. 

5. Return to Invoice: Insurance plans that include comprehensive coverage include a cover called Return to Invoice. With this add-on, you can receive compensation for the bike’s invoice value, which is the original purchase price of the bike. Bikes that are stolen or beyond repair can be covered. 

6. Helmet Cover: Wearing a helmet while riding a two-wheeler is the best way to stay safe. Your head can be protected if you are wearing one. In the event of an accident or collision, you should always replace your helmet even if the damage is minor. Nevertheless, the cost of replacing your helmet frequently can add up. Helmet covers can save you from paying out of pocket for your headgear. Your helmet is covered for damage or loss caused by fire, burglary, or theft under this policy. 

Why should you buy Comprehensive Two-Wheeler Insurance Policy? 

Two-wheelers / motorcycles, scooters, and mopeds can have anything happen to them. Traffic congestion, bad roads, and morning and evening rush hours are some of the problems we face today. Additionally, instances of rainfall or heat waves may cause problems on the road, such as slippery surfaces, muddy or mushy areas, or sticky tar. A two-wheeler vehicle could be damaged or the rider could be injured in these situations. An appropriate two-wheeler comprehensive insurance policy can protect you from all such incidents. As a result of the motor protection laws in India, third-party bike insurance is required for millions of bike owners to protect themselves from potential expenses. 

 Coverage for Third-Party Liabilities – Comprehensive bike insurance policies provide coverage for third-party liabilities. 

Own Damage Coverage – A comprehensive two-wheeler policy covers you for expenses incurred as the result of damage or loss to your bike. A comprehensive bike insurance policy can grant you the option of cashless repairs at any network garage in India. 

Various add-on benefits are available for comprehensive two-wheeler insurance, such as return to invoice coverage, consumables coverage, zero depreciation coverage, engine and gear protection coverage, breakdown assistance coverage, and zero depreciation coverage. When you purchase your policy, you can purchase these add-ons by paying an additional premium. The add-ons are not necessary to buy but are preferred in order to enhance coverage. 

You will earn a No-Claim Bonus on a bike insurance policy for every year in which you do not file a claim, between 20%-50%, for successive 5 years. 

Best Two-Wheeler Insurance Policy providers in India 

• Bajaj Allianz Two-Wheeler Insurance 
  
  
• Bharti Axa Two-Wheeler Insurance 
  
  
• Oriental General Insurance  
  
  
• HDFC Ergo General Insurance 
  
  
• Future Generalli India Insurance 

Things Not Covered in Two-Wheeler Insurance Policy

Following things are not covered in Bike Insurance Policy: 

• An accessory of your bike has been lost  
  
  
• Any legal liability on the part of a paid driver 
  
  
• No coverage for the second rider  
  
  
• In case of negligence on the part of the driver 
  
  
• Normal scratches and tearing of the vehicle 
  
  
• Riding bike under the influence of alcohol, drugs and sedatives or other intoxicants. 

Documents required for Claiming Two-Wheeler Insurance 

• Policy Number 
  
  
• Phone Details 
  
  
• Name signed in the Policy 
  
  
• Bike manufacturing date and Model Name 
  
  
• Bike registration number 
  
  
• Accident Details 
  
  
• Location and estimate of loss 
  
  
• Repair Shop Details 

Two-Wheeler Claiming Process  

There are two ways to file a motorcycle insurance claim online with a motorcycle insurance company. You can make a cashless or refund request to your insurance company. Let’s elaborate on both types of claims.  

Cashless Claims:  In the case of a cashless, the claim amount will be paid directly to the network garage where the repair was made. Cashless claim settlements can only be claimed if the insured’s vehicle is repaired at one of the insurance company’s network workshops.  

Reimbursement Claims: Reimbursement claims can be made if repairs are made at a workshop that is not on the insurance company’s list of approved workshops. In this case, you will have to pay for the repair and later file a claim for compensation with the insurance company. 

Filing Process Cashless: 

• If you have been involved in an accident or mishap, notify your insurer 
  
  
• so that a damage survey can be conducted 
  
  
• Submit the claim form along with all the other necessary documentation 
  
  
• for approval by the insurer 
  
  
• A garage affiliated with the insurer will repair your vehicle.  
  
  
• After the repairs are completed, your insurer will pay the garage directly for the repairs. 
  
  
• A deductible or non-covered expense (if any) must be paid by you. 

Reimbursement: 

• Register a claim with your insurance company  
  
  
• Complete the claim form and send it to your insurance company along with other required documents 
  
    
• An investigation will be made to estimate the cost of the repair and you will be notified of the assessment  
  
  
•  Leave your insured vehicle repaired at an unauthorized garage  
  
  
•  After the repair is completed, the insurance company conducts another inspection  
  
  
• Pay all fees and pay bills at the garage  
  
  
• Submit all invoices, payment receipts and “proof of stock” to the insurance company  
  
  
• Once the application is approved, the application amount will be paid to you 

Things to keep in mind while buying Insurance Policy 

• The first thing to consider when insuring your new bike is whether to get liability insurance or get comprehensive two-wheeler insurance. Third-Party liability insurance contracts are required by law. This is a policy designed to protect the financial interests of various third parties. This policy will cover damage to third parties or their property. Its pricing is standardized by the Insurance Development and Regulatory Authority of India (IRDAI).  

• two-wheeler policies, on the other hand, are designed for bikes and bikers. It covers third-party liability, personal damage, as well as major perils like theft, accident, natural disaster, and more. The premium charged for this policy varies among insurance companies. Therefore, it is important to compare the different features and price of the policy before buying. You can also choose Addons to add that extra layer of security. 

• Add-ons aren’t obligatory and they could handiest be packaged with a Comprehensive coverage. A primary Comprehensive coverage has sure exceptions, matters that aren’t covered. Add-ons are designed to cowl the ones exceptions. Also, now no longer all of us is probably willing to avail the functions provided via way of means of the Add-ons and pay cash for it. Thus, those Add-ons are separated from the middle coverage and provided as an option.
  
    
• Adding Add-ons on your Comprehensive coverage will growth its insurance however may also growth its price, i.e., the top class charged. Therefore, one ought to handiest cross for appropriate Add-ons. Zero Depreciation, Pillion Rider Cover, and Roadside Assistance are a number of the famous Add-ons. 
  
  
• The declared insurance value (IDV) is the current market value of a two-wheeled vehicle. This is the value you will receive if your bike is completely lost or stolen. It is important to enter the correct IDV as it directly affects your insurance premium.  
  
  
• IDV is a dynamic value. Therefore, it will be recalculated at the time of insurance renewal. It is calculated using the following formula: 

IDV = (Listing price stated by manufacturer – Depreciation) + (Additional accessories – Depreciation) 

Renewing Two-Wheeler Insurance Policy 

Please fill out the form available on the website to renew your motorcycle insurance online. However, the process is very simple to renew your bike insurance policy in just 30 seconds. You need to have the policy handy.  

To renew your bike insurance online, follow these steps: 

• Go to the bike insurance renewal form  
  
  
• Please enter your bike registration number and other related information Select the motorcycle insurance plan you want to buy or update your IDV. You can update your IDV as needed. “IDV should be 10% lower than last year’s policy  
  
  
• When you complete the process, you will see the premiums you have to pay  
  
  
• You can choose any type of online payment to pay the premium amount Motorcycle insurance will be renewed as soon as payment is completed 

Offline Way 

Traditionally, motorcycle insurance can be extended by visiting the nearest branch of the insurance company. The process is very simple, but you need to find time to go to the branch. You need to know the policy and vehicle details and fill out the application form. When you pay the premium in cash, bill of exchange, or EC card, the branch usually issues a new insurance policy immediately.  

Check payments take a long time to settle, and in most cases, the policy will be emailed to the official email address. If you want to buy a new optional driver or add-on cover, you may need to go to the nearest branch office. This procedure can vary from insurer to insurer, so it is recommended that you contact your insurer to confirm before choosing additional coverage. 

Benefits of Renewing Two-Wheeler Insurance 

1. Become a law-abiding citizen  

Renewing your motorcycle insurance when it expires guarantees that you are in compliance with national law. You avoid paying fines and will continue to be protected according to your insurance coverage. Anyone who rides a bike without valid motorcycle insurance can be fined or even imprisoned. Please note that the motorcycle policy becomes inactive as soon as it expires. This makes it increasingly important to extend your motorcycle insurance online at the right time after your motorcycle insurance has expired.  

2. Continue to insure  

If you do not renew your bike insurance, you may incur financial losses in the event of unfortunate events related to your bike. Comprehensive motorcycle insurance covers your bike if it is damaged in an accident or disaster. It also prevents the theft of motorcycles. If you renew your motorcycle insurance, you will be able to take out insurance and continue to use your bike insurance.  

3. No detriment to robbery  

As mentioned above, you need to renew your insurance policy before your insurance expires. Motorcycle insurance is considered robbery if you only renew for a long time after the expiration date (varies by the insurance company). In such cases, the insurance company may want to check your bike. This can increase your bike insurance premiums.  

 4. Keep NCB active  

The No Claim Bonus (NCB) is an incremental rebate (5 years) provided by the insurance company when renewing the insurance policy. This is a discount given for safe driving and there is no claim during the insurance period. If you make a claim within 90 days of the expiration date, or if you fail to renew your bike insurance, your claim bonus will not expire. 90 days is the grace period provided to keep the NCB active.  

5. The right time to review  

One month before the policy expires is usually a good time to check for comprehensive motorcycle insurance. At the time of update, you can select add-ons such as roadside assistance and passenger seat cover as needed. The  

add-on will slightly increase your insurance premiums but will increase your insurance coverage by expanding your coverage. You can also change the insurance company when you renew your contract. Digitization has changed the insurance industry and new insurance companies have emerged.  

6. Get a discount on bike insurance   

If you extend your bike insurance in a timely manner, the insurance company can give you a certain discount on your premiums. If you did not claim your insurance during the previous insurance period, you are entitled to a no-claim bonus. This can be as much as 50% of the premium and is considered the largest discount possible. NCB is conditional in nature. Therefore, certain requirements must be met for discounts to be available.  

As mentioned above, if you do not make a claim, you can claim an NCB. To get a higher discount, i.e.. 50% if you do not charge for 5 consecutive years. The complaint will reset the NCB cycle. That is, the discount will be zero.  Another reason for the NCB to drop to zero is if you don’t renew your motorcycle insurance on time. If the policy expires more than 90 days, purchasing a new insurance policy for your bike will start a new NCB cycle. If you extend your bike insurance online at a good time, you can take advantage of high discounts. The cover remains Failure to renew your bike insurance makes you vulnerable to various financial risks associated with damage to your bike and other assets. By renewing your bike insurance in a timely manner, you can handle the following situations if you have comprehensive bike insurance.  

• Liability: Bike insurance financially protects you from third party liability such as personal injury, property damage and / or legal obligations. You don’t have to worry about compensating for damages to a third party. Of course, not hurting others should always be a top priority. But in the event of an accident, you are financially protected.  
  
  
• Fire: Damage to the bike as a result of a fire-related accident is also covered by the policy.  
  
  
• Personal Damage: As with the liability of bike liability insurance, personal damage, that is, damage to the insured’s bike, is also covered. If your bike is damaged, your insurance company will provide financial assistance. Take your damaged bike to the network garage and it can be repaired without cash.  
  
  
• Accident Insurance: According to a recent ruling, bike insurance has a maximum death benefit. In the event of death or disability, the cost will be covered by bike insurance with the help of passenger accident compensation.  
  
  
• Disaster: Your bike insurance will financially cover you for damages caused by natural or man-made disasters in the area. Natural disasters include earthquakes, floods and landslides. Man-made disasters include riots and vandalism.  
  
  
• Theft: You can rest assured that your bike will be protected from theft. If the bike is stolen and the police cannot be found, the insurance company will cover the approximate present value of the bike.  

Remember to complete the bike insurance renewal process before it expires in order to be eligible for the above coverage.  

No fines or penalties: Auto insurance is a legal requirement in India. Therefore, if you do not renew your motorcycle insurance before it expires, you should expect fines and penalties. If you do not have bike insurance, the fine is 2,000 rupees and/or imprisonment. You have to pay a fine, or worse, a fine, except that there is no financial protection for the responsibilities associated with the bike. 

Frequently Asked Questions (FAQ’s)