Nowadays, getting bike insurance online is easy and convenient. You can compare all options available to you and ensure you get the best coverage and lowest premium based on your needs. But sometimes, one could fall prey to fake insurers and fraudsters online. You may be cheated in terms of the insured amount, or an entirely fake bike insurance policy might be issued. The adverse effects may not be visible at that moment, but you might face challenges when raising the claim.
In the past few years, cases of fake bike insurance policies have increased, causing great hardship to the victims who bear substantial financial losses. Sometimes, people opt for insurance providers from unknown sources to save money on the insurance premium. To protect yourself from fraudsters, check if the bike insurance policy is genuine or not before investing in it. Here are some tips to help you differentiate between a fake and genuine bike insurance policy.
1. Purchase from a Well-known Insurer
It is always best to rely on reputed insurers to avoid getting duped. Invest in a bike insurance policy only if you are familiar with the insurance company. Connect with the insurance provider in case of any doubt about the genuineness of the policy. All well-known insurance companies have dedicated helpline desks which can be easily contacted through email, chat or call. You can also visit the nearest branch to ensure everything is correct.
You can verify the existence of an insurance provider through the website of IRDAI, the regulatory body of insurance in India. If it’s not included on the website, it is undoubtedly a fraud insurer.
2. Examine the Policy Documents
Be careful of misleading advertisements. You might be promised something in the advertisement and receive something entirely different once you purchase the bike insurance policy. For example, after buying the policy, you might know that the insured declared value (IDV) in bike insurance might be lesser than promised, or the free add-ons are not available in the policy documents. Therefore, once you buy a policy, read the documents carefully and contact the insurer immediately in case of any such discrepancies.
3. Verify through the QR Code
According to a mandate by the IRDAI, all insurance providers are required to imprint a QR code on every policy document. Your insurance can be verified with the help of a QR code. If the QR code is missing in the document, you have likely purchased a fake policy.
4. Make Use of the Verification Link
Look to buy bike insurance online directly from the bike insurance companies websites. You may come across multiple online platforms with different insurance policies offered by the insurers. If you purchase a policy from one such 3rd party portal, ensure that you verify it using the policy verification link available on the insurer's official website. This way, you can find out whether your policy is genuine or not.
5. Verify the Authenticity of the Chosen Insurance Agent
Few people feel it safe and reliable to purchase a bike insurance policy from an insurance agent. But before finalizing any deal with the agent, it is essential to check the authenticity of the chosen insurance agent. Cross-check all the information related to the agent, like their identity, license number, badge, etc., with the respective authorities.
6. Check the Premium Paid and Policy Tenure
A genuine policy document will accurately show the details of the premium paid and the policy tenure for the bike insurance policy. Instances of error in these areas are minimal when dealing with a reputed insurer. In contrast, there may be mistakes regarding these in a fake policy document. Therefore, contact your insurer immediately if you find any such errors in your policy document.
7. Obtain Receipts
To avoid any trouble later, it is always wise to ask for receipts for any financial transaction. Such receipts acknowledge the receipt of the premium amount. It should be made a habit to ask for a receipt while dealing with an agent, dealer, or intermediary.
8. Sign the Offer Document after Careful Examination
Ensure you read the benefits, features and conditions of the policy carefully before signing the policy document. The person buying the policy should be the one to sign proposal forms and any such document. Never allow anybody else to sign on your behalf.
9. Don’t Get Lured by Low Premiums
Low premiums offered by fake insurers instantly attract people. They fall into such traps and buy the policy. If you are offered such a meagre premium, confirm its genuineness by looking into the benefits and features. Try to verify the validity of the insurer through different means.
10. Choose to Pay Your Premium Online
Online payment is always a safe and secure payment option. Many reputed insurers accept online payment. Make any payment related to the bike insurance policy through the secure payment link redirected by the insurer’s website. In the case of bank transfers, credit the amount to the insurer’s account. If you issue a cheque, issue it in the insurer's name instead of any personal account. Avoid making cash payments.
The above information will help you select a genuine bike insurance policy. Use these tips and check all these factors before and after your policy purchase. Ensure it is not a fake one and that you receive all the services as agreed at the time of purchase.
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