7 Common Queries on Two Wheeler Insurance Policies

Like your life and health is covered by an insurance plan, are you skipping on insuring your beloved motorbike? If you think that is going to save you some cash, we bet not.

Most people are ignorant of the traffic laws and in turn, end up damaging the vehicles around them. Your bike could also be one of them. Don’t you want to ensure it remains safe? Opt for a two-wheeler insurance plan!

Two-wheelers, like private cars, too have a mandatory requirement of insurance by the Insurance Regulatory Development Authority of India (IRDAI). A two-wheeler is far more exposed to dangers like mishaps and accidents. Moreover, the potholes and bad conditions of the roads further increase the risk of riding your bike. Thus, it is always advisable to purchase bike insurance to ensure safety for you and your vehicle.

Let us look at some frequently asked questions on two-wheeler insurance.

1.     What are the types of two-wheeler insurance policies you can buy?

The two-wheeler insurance market has two types of policies, namely, third-party and comprehensive cover.

A third party insurance cover is also known as a liability only insurance plan. As the name suggests, any liability that the vehicle owner may face due to injury or damage to life and property of a third-party is covered under this policy. The IRDAI regulates the premiums for third-party plans.

Comprehensive insurance cover, on the other hand, has a broader cover. It includes the coverage offered by a third party cover along with protection from accidents, thefts, damages caused during transit while including natural and man-made perils too. It further provides insurance for the rider with a personal accident cover.

2.     What documents are required for purchasing a two-wheeler insurance policy?

For a first time buyer, your vehicle’s registration certificate& your Aadhaar card is all you need to buy a new insurance cover. In the case of two wheeler insurance renewal, you need a copy of your previous insurance policy.

3.     How can I apply for a two-wheeler insurance plan?

Buying an insurance plan can be either done via the traditional method, i.e. through insurance agents or directly from the insurer online. Most insurers have the option to buy directly from their websites. Also, in case of a new vehicle, you can purchase insurance cover from the vehicle dealer.

4.     How are premiums calculated for my two-wheeler insurance?

Primarily four factors are considered while computing the amount of premium.

  • Insured Declared Value or IDV of your bike
  • Age of the bike
  • Location of registration
  • The engine capacity of the bike

You can use a two wheeler insurance premium calculator to determine the premiums that shall be charged before buying your bike insurance.

5.     What documents do I need to file a claim?

The claim documents differ among each insurance company.But more or less, the following documents are standard to claim damages or loss –

  • Copy of claim form
  • Copy of insurance certificate
  • Copy of registration certificate of your two-wheeler
  • Invoice for repairs or other relevant receipts

6.     What is the NCB to my policy?

No Claim Bonus or NCB is the concession in premium offered at the time of your two-wheeler insurance renewal for a claim-free policy year. This rate of NCB generally ranges from 20% to 50% depending on consecutive years without claims.

7.     What is a voluntary deductible?

Voluntary deductible is that portion of your policy which the insured bears when the claims are paid. To simplify, your claim amount is reduced by the deductible portion of your policy. Deductibles to your policy have a direct impact on the premium, thus higher the deductible, lower is the premium.

Post Author: Lailah Ford