The Motor Vehicles Act of India not only mandates a third-party insurance policy, but it is also necessary to carry active insurance policies. If your insurance papers are expired or lapsed, you are equally liable for punishments/penalties as individuals who haven’t insured their vehicle. The maximum tenor offered by insurance providers for 2-wheeler insurance is 3 years. However, you can do two-wheeler insurance renewal before the policy nears expiration.
Timely renewal of bike insurance policy is imperative. You can opt for an online or an offline mode for two-wheeler insurance renewal. You can maintain the benefits of your bike insurance by renewing your policy at regular intervals. Following are some pointers to help you preserve your advantages with two-wheeler insurance renewal:
There are two types of two wheeler insurance policy; they are third party insurance policy and comprehensive insurance policy. Third party insurance policies are mandatory while comprehensive plans give you additional protections. A comprehensive two-wheeler insurance plan will protect you against natural and man-made calamities causing damages to your vehicle. It also covers the expenses incurred to the owner/driver of the vehicle during an accident. Therefore, purchasing a 2-wheeler insurance policy can give you complete protection against the risks associated with driving and two-wheeler.
No Claim Bonus (NCB) Claims
If you did not make any claim during the previous policy term, you are eligible to claim for discounts in your premiums during the policy renewal. Usually, this discount ranges from 20% to 50%. With a timely renewal of two-wheeler insurance, you can sustain your no claim bonus and pay comparatively lower premiums.
Third Party Liability Protection
If you injure any person or damage their property, you are liable to provide compensation for the injury and damage incurred to them. It is illegal not to compensate the person affected due to any vehicle in India. With both a third-party insurance policy and a comprehensive insurance policy, you get protection from third party liabilities. You need not pay penalties or get punished in case of mishaps with a bike insurance policy. Your insurance provider will settle the case and give monetary compensations to the injured.
Also Read – Long Term or Short Term Two Wheeler Insurance?
Add on covers are additional covers that enhance your comprehensive insurance policy with some extra premium payment. When you renew or buy two-wheeler vehicle insurance online/offline, you will be bombarded with the list of options available as add-on covers. Some of the add-ons are:
Roadside Assistance Cover
If your vehicle breaks down some place where you do not find any mechanical aid, you can seek your insurer’s help. Your insurance company will provide you with roadside assistance and will also arrange for you to be dropped at the nearest garag. They will also pay for the expenses incurred while repairing your vehicle.
NCB Retention Cover
Almost all financial provider offers an NCB Retention Cover with a comprehensive two-wheeler insurance policy. This add-on cover offers protection of your no claim bonus even after you make few claims. However, the number of claims allowed to retain this cover will be decided by your insurance company.
Zero Depreciation Cover
The Insured Declared Value (IDV) is the market value of your vehicle after depreciation based on the age and condition of your vehicle. With a zero-depreciation cover, you will get the complete value of your vehicle while selling without any depreciation.
Personal Accident Cover
Non-banking Financial Companies (NBFCs) like Bajaj Finserv offer coverage against personal accident as both an individual plan as well as an add-on cover. You can either purchase a personal insurance plan or opt for a personal accident cover along with a comprehensive 2-wheeler insurance policy. Both the plans cover your hospitalization bills, and other medical charges resulted from an accident.
When you renew/buy two-wheeler insurance policy, you must not pay for all the available covers. Instead, you must choose covers that are actually beneficial for you to avoid unnecessary hike in your two-wheeler insurance policy premium.