Bike Insurance

A two wheeler insurance policy is an agreement between an insurance company and a bike owner wherein the insurance provider promises to cover any damage or loss sustained by the insured bike due to an accident, theft, fire, etc., based on the opted policy. Generally, the contract between insured and insurer is of a year which should be renewed every year.

No matter which bike you own, you need to comply with some laws to ride it. To carry a bike insurance policy is the most important rule to drive a motorcycle / scooter as you need to adhere to the legal requirement of carrying at least a third party cover. Besides this, a bike insurance policy also covers your financial liabilities which you may incur towards a third party or own damages sustained by your bike due to an accident or any unfortunate incident.

There are three types of bike insurance plans such as third party bike insurance plan, standalone own damage bike insurance plan, and comprehensive bike insurance plan.

The cost of the premium for different bike insurance plans are different. When it comes to the third party policy, its premium is set by the IRDAI which varies as per the bike’s engine capacity. But, the premium amount for own-damage and comprehensive plans varies from bike to bike due to various factors like bike’s make, model, and variant, engine capacity, fuel type, etc.

Every two-wheeler insurance policy has a date of expiry before which you should renew it to continue to avail it. However, if you fail to renew the policy on time, you still can renew it within the 90 days grace period from the expiry date, but it can not be renewed after that and you will have to buy a new policy in that case.

Bike insurance policy number is a unique number which is of 8 to 10 digits provided by the insurance company. It is generally printed on the insurance card that is issued by the insurance providers. You can also find it by entering your registered mobile number on the website of your insurer.

There are numerous parameters to select an insurance company to insure your bike. The Claim Settlement Ratio (CSR) is one of the most important parameters to gauge the efficiency of an insurance provider. The CSR is a ratio of claims settled by a bike insurance company out of the total claims received by the insurer during the financial year. In the financial year 2019-20, the companies with the highest claim settlement ratio are IFFCO Tokio General Insurance (95.30%), Royal Sundaram General Insurance (92.66%), and Oriental Insurance Company (91.76%) with which the IFFCO Tokio can be considered the best company in India for the year 2021.

Yes, according to the Indian Motor Tariff, every bike owner is required to carry at least a third party bike insurance plan.

No, a bike owner can not buy two insurance plans for the same bike. However, you can buy a third-party policy and own-damage plan separately from different insurance companies.

Yes, a bike insurance policy can be transferred from the old bike owner to the new bike owner, if it is sold out. The policy transfer must be completed within 14 days from the purchase date of the bike.

The third party policy premium amount of your bike is fixed by the IRDAI, while the standalone own-damage and comprehensive policy premium rates varies from insurer to insurer based on several factors which are as follow:

• Type of Coverage – Different policies cost different premium amounts such as third party policy, own-damage policy, and comprehensive policy.
• Bike Make, Model and Variant – The brand, model, and variant of the bike affects the premium as per their cost. The high-end bikes have higher premiums when compared to standard bikes.
• Bike Modifications – Modifications in a bike may improve its looks and performance, but to cover those modifications and accessories your insurance premium will also increase.
• Add-on Covers – Insurers offer different add-on covers for bike insurance plan. To add them in your policy, you will have to pay an additional premium that increases the policy premium.
• Anti-Theft Devices - Anti-theft devices lessen the probability of bike theft which reduces the risk for the insurers too due to which they reward the insured with a lower premium.

You can raise a bike insurance claim online with the below-given steps:

Step 1: Raise a claim at your insurer’s website or mobile app

Step 2: You will get a claim registration number from your insurer.

Step 3: Insurer will send a surveyor to examine the damage extent.

Step 4: Take your damaged bike to a garage to get repaired of your choice.

Step 5: The claim will be settled by your insurer on the basis of the chosen garage.

The insurance of old bikes after 15 years of their age is possible. They can be insured with the third-party bike insurance plan as it is a compulsory cover. However, when it comes to own-damage cover, it varies from insurer to insurer.

As per the Indian Motor Tariff Act, a bike insurance plan is necessary for every bike owner in order to legally ride their vehicle on the Indian roads to avoid paying any penalty. Therefore, it is advised to buy and renew your two-wheeler insurance on time.

Keeping your best interest in mind, it is usually recommended to renew your bike insurance plan at least 45 days prior to the expiry of your two-wheeler insurance policy. You should not wait for your insurance plan to lapse. This is because in case your insurance plan lapses, then you might stand to lose all the accumulated insurance plan benefits so far.

Getting your bike insurance plan renewed from the same insurance provider without any doubt is hassle free and more convenient. Moreover, at the time of renewal you can also get the lowest bike insurance premium from your existing insurance company.

As per the Indian Motor Tariff Act, the fine which is charged towards driving your two-wheeler without a two-wheeler insurance plan is Rs. 2000 and/or getting imprisoned for a maximum of 3 months.

Depreciation in bikes refers to a reduction in the value of your two-wheeler and its various other components because of ageing and regular wear and tear.

The insurance premiums rates offered by different insurance companies vary due to various factors. As decided by the Indian Motor Tariff are related either to vehicle or demographic in nature. Some of the factors are engine cc of the vehicle, driving record, credit history, model of the bike, credit history, profession, etc.

Yes, if you wish to cover the passenger riding with you then you need to buy a passenger cover. A passenger add-on cover is designed specifically to provide coverage to the person who is sitting behind the bike rider on the insured bike from any kind of bodily injuries incurred or even demise that can happen because of any mishap or accident. Although, this add-on cover is not necessary yet everyone should buy this cover as the life of the passenger is equally important as that of the bike rider.

If your bike insurance claim gets rejected, then as the next step you must look for any errors in the claim form that you had submitted. Moreover, in case you need any assistance while rectifying your claim form, then you can do that with the help of a third party representative along with correct documents.

The premium paid by you towards your bike insurance plan is dependent on the geographical location and is charged as a percentage of IDV. Based on your geographical location and the related possibility of loss or damage to the two-wheeler, the premium amount is calculated by the insurance company. Therefore, areas that are more prone to thefts, accidents and vandalism have higher premium rates charged.

If the vehicle is designed specifically for usage by mentally challenged, handicapped and blind individuals, then a discount of 50% might be allowed on the own damage payable premium amount with respect to both vehicles that are privately owned and the ones that used by institutions that is engaged in offering services to handicapped, blind and mentally challenged individuals.

Generally, the insurance offers coverages towards the ambulance ride cost whenever it gets medically important. In such scenarios, insurance providers would consider the ambulance ride cost as the same as any other medical expenses incurred post a bike accident.

A cover note in bike insurance is a temporary insurance certificate issued by the insurance company prior to the insurance policy issued after the insured person has submitted a duly filled proposal form and has made a complete premium payment.

An individual can buy or renew their two-wheeler insurance plan online within just a few minutes. This is because the digital insurance buying process does not involve standing in long queues or the need for any long paper piles.

To transfer the two-wheeler insurance plan to your name, follow the below-mentioned steps:

• Step 1: First of all at the Regional Transport Office (RTO),you need to apply for the transfer of ownership. You need to ensure that it is the same RTO wherein your initial vehicle registration took place.
• Step 2: After this, you are required to submit Form 29 and 30 along with other important documents including emission test papers, insurance documents, and registration certificate at the Directorate of Transport Office.  Also, you need to submit a few passport sized photographs.
• Step 3: Once all the documents get submitted, thereafter verification is done by the registering authority and if everything happens as per the order, the bike ownership gets transferred.

No, it is not worth filing a claim for small dents or scratches on the surface of your insured bike. This is because by filing for a claim you may lose out on your accumulated NCB discount, which can result in losing out on a lot of money.

Yes, a bike insurance plan offers coverage for scratches and dents. However, the dent and scratches need to be caused by any insured peril mentioned under your policy document such as vandalism or bike accident. Based upon the deductible, it may not be worth filing for such a small claim.

Generally, there aren’t any such restrictions on the total number of claims made by a policyholder within a year. However, it is important to note that making claims affects your NCB. Moreover, making repeated claims in a single policy year can lead to an increase in premium at the time of plan renewal.

A zero depreciation is also referred to as bumper to bumper cover or nil depreciation that does not takes into account depreciation factor. This simply means that if your bike gets damaged due to a collision, then no amount of depreciation would get subtracted from the coverage due to regular wear and tear or ageing of your bike.

IDV or Insured Declared Value in a two-wheeler insurance plan means the maximum amount of claim that your insurance company would compensate in case your vehicle gets damaged or lost beyond repair or gets stolen.

A comprehensive bike insurance plan offers protection to the insured bike against both own damage risks and third party liabilities incurred due to accident or any other mishaps.

A cashless bike insurance claim helps the policyholder in getting their bike repaired after incurring any kind of loss or damage due to an accident or mishap, at any of the listed network garage without needing to pay for any kind of repair cost.

The Insured Declared Value in bike insurance can be calculated as follows:

• Insured Declared Value = Listed Selling Price of the Manufacturer – Depreciation
• Please note that the Insured Declared Value of the accessories which aren’t factory fitted are separately calculated at an additional price if there is a need of insurance for them.

NCB or No Claim Bonus is a discount or reward offered by the insurance provider to an insured individual for not raising any claim requests during the plan tenure. Generally, this discount ranges between 20%-50% and is given to the insured individual at the time of insurance plan renewal.

The NCB discount that has been accumulated over the years along with your bike insurance plan would get lost in case the insurance plan is allowed to lapse for more than 90 days.

When you plan to sell your bike, then firstly you need to write an application to the RTO form where you have got your two-wheeler registered. This is important as you need to transfer the ownership in the name of the new seller. Alongside the application form, you need to submit valid insurance, emission certificate, fitness certificate and RC.

To get a duplicate bike insurance policy copy online, you need to simply go to your insurance company’s website and enter your policy number details or you can also contact them via their toll-free number and request the customer care executive to give you a duplicate plan copy.

To download your bike insurance policy document or certificate, follow the below-mentioned steps:

• Step 1: Go to the official website of your insurance company.
• Step 2: Choose the kind of policy you want from the available options.
• Step 3: Enter your insurance policy details like name, policy number, etc.
• Step 4: Once you have completed the documents, you can easily download or print your insurance plan.

To rectify any mistakes or discrepancies made while issuing your bike insurance plan, you can simply call at the toll free number of your respective insurance company and get the mistakes rectified.

Yes, a bike insurance plan issued online and the policy documents available after the issuance are completely safe and valid documents.

Once you have realized that you have lost your bike insurance policy copy, then immediately file an FIR at the nearest police station. Also, remember to keep a copy of FIR handy as you would have to submit it to your respective insurance provider.

Yes, it is necessary to submit a copy of FIR while raising a claim for bike insurance to your respective insurance provider.

This depends upon insurance company to insurance company. Generally, it takes around 14-28 days of settlement. There are certain insurance providers that settle the claim faster while others take a little more time.

You can check your bike insurance policy status online through 3 different ways i.e. through regional transport office, VAHAN and your respective insurance company.

You can follow the below mentioned steps to renew your expired bike insurance plan online:

• Visit the InsuranceDekho website and give the registration number of your bike. Thereafter, select ‘Get Your Quotes Option’.
• Enter your bike’s information like your bike’s model, brand, etc. Then, enter your personal information to get the insurance quotes.
• Do the plan comparison and choose the best plan based on factors such as coverage, premium, etc.
• Make the payment and your insurance plan would get renewed instantly.

Yes, it is completely safe to get your bike insurance plan renewed online. Moreover, online plan renewal is both hassle-free and saves time.

The cost of renewing a bike insurance plan varies from insurance company to insurance company.

No, a comprehensive bike insurance plan does not offer protection to the passenger. However, in order to offer medical coverage to the passenger you can include passenger add-on cover along with your bike insurance plan.

To cover damages or losses to your bike’s tyre, you can purchase tyre protection add-on cover under your bike insurance policy that provides coverage for repair or replacement cost of your two-wheeler’s tyre.

Once you filed an FIR, contact the helpline number of your respective insurance company and follow the instructions mentioned to register the claim mentioned against the theft of your two-wheeler. Next, duly fill in your claim form and give all the required information like your registration number, policy details, etc. Then , you need to also inform the RTO about the theft and complete all the necessary formalities.

To cancel your claim, you need to simply talk to your respective insurance company’s customer care representative and request them to cancel your claim.

In case, the bike insurance plan is allowed to lapse for more than 90 days, then the accumulated No Claim Bonus would be lost.

The penalty to ride your bike without a valid bike insurance plan is Rs. 2000 and/or jail for up to maximum 3 months.

It is advisable to raise a claim only in the event of huge damage or loss to your bike. This is because small damage can result in loss of accumulated NCB discount.

The bike insurance premium payable towards your bike insurance plan might change when you move your residence to a new city. In some cities, a higher amount of premium is charged as compared to others.

In case there is any change in the personal information of the insured individual or change in the terms of the bike insurance plan. Then, there is a need for the policyholder to give written evidence for the same and such piece of evidence is referred to as endorsements.

A cashless claim in bike insurance is a service specifically designed to get the bike of the policyholder repaired without making them pay for the repair bill from their own pocket. On the other hand under a reimbursement claim, a policyholder is required to bear the expenses of repair from their own pocket which they can get reimbursed later from the insurance company after producing the repair bill and claim form.

A voluntary deductible is a specific part of the claim that an insured individual agrees to pay voluntarily due to the occurrence of a mishap or accident. This amount can be decided by the insured depending upon their risk-taking ability and affordability as mentioned in the policy document.

A policyholder is allowed to cancel their insurance plan during the free look period and get back their refund after some deductions. This period is generally for 14 days but may vary from insurance provider to insurance provider.

Yes, you can select a garage of your preference. Your insurance provider may suggest a repair shop, yet you are not obligated to take your bike there. You are allowed to take your bike for the purpose of repair to your own preferred workshop, and your insurance company is still obliged to pay for the repairs.

Yes, you can transfer your NCB to a new bike but for this you are required to produce proof of the amount of NCB you have accumulated. You need to first confirm from your new insurance company what kind of proof they require and generally, this evidence is provided by your existing insurance company.

No, as of now there is no provision for paying the premiums for commercial vehicles in installments. The individual purchasing an insurance plan for their commercial vehicle needs to pay the complete premium in advance.

Yes, the make and model of bike are considered to be important factors while determining the cost of bike insurance.

Loading is the additional amount of premium, which is paid during the renewal of the bike insurance plan, in case the experience with claim during the plan duration has been adverse.

For a two-wheeler, a constructive total loss means that the loss or damage done to the bike is so much that the cost of repair would exceed or be equal to the vehicle cost, or the coverage limit of the insurance.

Generally, the motor insurance companies have a deadline within which a policyholder is required to file for the claim. However, the deadline set may differ from one insurance company to another.