Understand Theft Cover of Two-Wheeler Insurance Plans

Nowadays, two-wheelers are considered one of the easiest transports to commute. The major reason behind this fact is that there is a very lesser chance of getting stuck in traffic in addition to the affordability of the bikes and scooters in comparison to cars. In addition to this, for many people driving bikes is a hobby and are fond of buying superbikes. However, with the increase in the number of two-wheelers on Indian roads, unforeseen events like accidents and theft are also becoming common. Also, it is quite difficult to track the stolen two-wheelers, which enhances the significance of bike insurance plans.

While making a search for bike insurance online, finding a suitable insurance plan as per your budget and requirements becomes easier. The online portals allow you to compare several two wheeler insurance add-ons to make the insurance policy purchase decision based on your suitability. Even after buying the bike insurance plan, it is recommended to go through the policy documents to understand its terms and conditions and claim process offered by the insurance provider.

However, it is suggested to buy a comprehensive bike insurance policy to give it a proper theft cover.

What Is Comprehensive Two Wheeler Insurance?

Comprehensive bike insurance plans cover all damages which are sustained by your bike in case of an accident or mishap along with the damages that you may incur towards a third party or its property. This policy benefit is of great use to policyholders as it offers financial assistance. When you purchase a bike insurance plan online, you can also get benefits of various features such as quick policy issuance, easy claim registration, online discounts, no claim bonus transfer and so on. This bike insurance plan also allows you to include some add-on covers to broaden your policy coverage by paying a little extra premium amount with which your bike will get better protection.

Theft Cover Under Two-Wheeler Insurance Plans

One of the crucial benefits which are provided by bike insurance is the coverage for total loss or theft of bikes or scooters. Your bike could not just be stolen on the road, it can even be stolen when your house is locked. As you know that the recovery rate for stolen bikes is quite less than that of stolen cars. In short, losing your scooter or bike without holding comprehensive bike insurance could end up costing you a lot as it can subdue the loss and compensate for the theft of your bike.

Steps to Follow in Case of a Two-Wheeler Theft

If your two-wheeler gets stolen, you would require to make the claim request with your two wheeler insurance company as soon as possible through proper procedure. If you have gone through the claim process during the bike policy purchase process, it shouldn’t be tough for you to make the claim request as per the rules.

Here are the points of the bike insurance claim process that you should follow:

1. File an FIR

Whether it is your bike’s accident or it has got stolen, in such cases you need to file a First Information Report (FIR) at the relevant police station before you make the claim request. In this process, you will be required to submit a copy of this FIR with a claim form to maintain the authenticity of the claim.

2. Connect with Your Bike Insurance Company

In case of bike theft, you can make the two wheeler insurance claim settlement request only after a particular number of days after which you will not be able to file a claim. So, it is always suggested to stay connected with your bike insurance provider as soon as you have filed the FIR. Hence, you should report the theft of your bike and immediately inform the insurance provider of your claim.

3. Submit the Documents

Generally, you are required to submit a duly signed and attested claim form, an original copy of the FIR, a copy of the Registration Certificate, policy document copy, driver license copy, transfer papers from the RTO, and the original keys to request the claim.

4. No Trace Report

The last thing which you need to wait for is a certificate from the police stating that the bike cannot be traced after searching for long. This certificate is generated after a month of the date of the incident and is very important for the processing of your claim.

However, after the claim request is processed, your insurance provider can investigate the theft of your bike through a private investigator which might take around 60 - 90 days for your claim to be processed and compensation to be given to you. But, if your bike or scooter is recovered, you would not be eligible to get any claim amount from your insurance company. If your vehicle was under a loan, then your two-wheeler insurance company will reimburse the payout amount to the financier of your vehicle and the difference amount shall be paid by you.

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Disclaimer: This article is issued in the 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.

Add-on Covers For Your Bike Insurance Policy

  • Zero Depreciation

    Like other assets, the value of your two wheeler also depreciates constantly with time and the liability of this expense by default rests with the policyholder. A zero depreciation add-on protects you against the depreciation expenses incurred by your bike. Thus, if you opt for a zero depreciation cover, depreciation expense of your bike is not deducted from your claim amount at the time of a claim settlement. This add-on is available with comprehensive bike insurance plans as well as standalone bike insurance plans. This is one of the most popular and recommended bike insurance add-on covers.

  • Invoice Protection

    In case of total loss (more than 70% damage) or theft of your bike, the insurance company pays you the Insured Declared Value of your bike as compensation. However, this Insured Declared Value (IDV) is less than the invoice price which you pay at the time of purchasing your bike. The Invoice Protection add-on cover helps you claim the Invoice Price, i.e. total ex-showroom price of your bike plus taxes plus registration charges, of your bike in case of total loss or theft of your bike.

  • NCB Cover

    No Claim Bonus is the reward which is given to the policyholder for not making any claim during the policy period. This reward is offered by the insurer in the form of a discount on the own-damage premium of the bike insurance policy at the time of policy renewal. The NCB ranges from 20% to 50% of the own-damage premium depending on the number of claim-free years. However, if you make even a single claim during the policy period this NCB gets lost. But, with the NCB Cover, you can keep your NCB intact even after making a claim during the policy period.

  • Engine Protection Cover

    The damages incurred by the engine of the two wheeler are by default not covered under a bike insurance policy. However, if you opt for an Engine Protection Cover, the insurer will be liable to compensate you for damages incurred by the engine of your bike such as damage due to leakage of lubricants, water ingress, hydrostatic lock, damaged gearbox, broken crankshafts or pistons and cylinders. The repair cost of the internal engine parts is often high and can sum up to thousands of rupees or more. Thus, addition of this add-on to your comprehensive or standalone 2 wheeler insurance policy can save you from these expenses.

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