Know Common Reasons Observed For Not Renewing Two-Wheeler Insurance
Published On Nov 01, 2020 8:00 AM By InsuranceDekho
60 percent of vehicles in India are not insured & most of these are two-wheelers.
Approximately 60% of vehicles on Indian roads are not insured, according to the General Insurance Council report. In 2015-16 reportedly, only 8.26 crore vehicles were insured out of 19 crore registered vehicles. Out of these 60% most of the vehicles are motorcycles and scooters. India encountered the same situation in 2012-13 when the total number of registered vehicles was 15 crore and out of which only 6.2 crores were insured.
Two wheelers in India accounts to over 76% of the urban traffic in our country and surprisingly they also make up for over 34% of road accidents all over India, as per a report by the Ministry of Road Transport and Highways. Considering all such incidents the law of India has made it compulsory to have at least a Third Party Insurance for two-wheelers. Sometimes two-wheelers owners do not purchase bike insurance and in case they do they do not renew the plan. The reality is that vehicle owners in India, more specifically two-wheeler owners, do not realize the importance of motor insurance.
Common Reasons Observed For Not Renewing Two-Wheeler Insurance
People in India have different reasons for not having their two-wheeler insured. Some of these observed reasons include:
- The bike is very old
- The bike is second-hand
- On a daily basis, the distance travelled is short
Because India has a poor law management people easily get away with not having an active insurance plan for their vehicle. Law violation is just a regular thing in India. India needs some more strict laws and need to increase the penalty for not abiding by it. The existing penalty from Rs. 1,000 to Rs. 2,000. Till the time claim is filed, the people of India believe that that insurance premium is just an extra burden and complete waste of money.
Insurance regulatory and Development Authority of India formulates the insurance premium for all insurance covers across India. Currently the third party premium for a two-wheeler insurance plan ranges between Rs. 482 - Rs.2,323. The premium amount differs as per the engine cubic capacity of the two-wheeler.
Buying Two-Wheeler Insurance is the Need of the Hour
The total number of two wheelers in road accidents has been increasing since past few years. As per the Report on Road accidents in India 2019, the number of accidental deaths in India stood at over 1.5 lakh.
On road two wheelers are highly exposed to risk because of which they are the most vulnerable vehicles. This is the major reason why insurance experts stress on buying insurance for your bike. It is absolutely imperative for every automobile to be insured.
Bike Insurance Helps You Fulfill Your Sense of Responsibility
General public needs to be responsible for their actions. They need to understand that nobody wants to face damage because of someone else. Nobody wants to be held answerable for the actions of some other person. Hence, the government has made insurance coverage absolutely compulsory. The major reason behind that is to ensure the safety of the people who ride their vehicles on a regular basis.
Don’t Wait For Anything to Happen to You
People do not take things seriously unless they are affected by them (directly or indirectly). Individuals need to be proactive and not wait for something unfortunate to happen to you. Therefore it is advised to buy appropriate insurance coverage for the vehicles (be it car or bike) which can help you add an extra layer of protection.
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In this article we have discussed a lot about the importance of two-wheeler insurance so if still you are amongst the people who haven't purchased an insurance cover yet, you should go and buy an insurance cover for your bike as soon as possible.
You need not to step out of your house. You can check online different plans available with different insurance providers and select the one that best suits you according to your requirements. It is advised that one should go for a plan that offers maximum coverage while having minimum premium.
Disclaimer: This article is issued in general public interest and meant for general information purposes only. Readers are advised not to rely on the contents of the article as conclusive in nature and should research further or consult an expert in this regard.