Two-wheelers are a common means of transportation in India to avoid traffic. You must have an insurance policy to ride a motorcycle on the road. Because as per Motor Vehicles Act, 1988 having bike insurance is mandatory for all owners of motorcycles and scooters. So you should purchase a plan that provides adequate policy coverage at an affordable price.
And, in the process of searching for the best insurance policy, many times people fall into the trap of lucrative perks, special packages, and other incentives offered by some unauthorized firms. As appealing as they may sound, it is possible to be duped by anyone regarding two-wheeler insurance if not obtained through a proper channel. The following points should be kept in mind while buying two-wheeler insurance :
Choose the Policy You Want to Buy
You should be clear about the insurance you want to obtain before visiting an insurance salesperson. You can choose between third-party coverage and a comprehensive two-wheeler insurance policy.
The former is required, but the latter is optional. A third-party insurance plan covers your financial duties to a third party, whereas a comprehensive plan apart from offering protection against third-party liabilities also covers any damage or loss caused to your bike. As a result, to make an informed selection when acquiring bike insurance coverage, you should be familiar with the various types of plans.
Choosing or Purchasing Only Low-cost Insurance
One of the most prevalent errors is the intention to purchase only a low-cost insurance policy. Some insurers provide you with low-cost bike insurance and a slew of other advantages. If you can find the cheaper two-wheeler insurance coverage that does not jeopardize your financial benefit, you should go with it.
While a lower insurance premium may save you money, it is not always a prudent decision. Some low-cost two-wheeler insurance policies may not provide adequate coverage, and you may end up paying losses, mainly if your vehicle is entirely ruined due to an accident. So, make an informed decision.
Failure to Provide the Proper IDV (Insured Declared Value)
The Insured Declared Value (IDV) in bike insurance is the current market value - the invoice value minus the depreciation accumulated over time. When you get bike insurance, the IDV you select for your bike directly impacts the premium. Higher IDV equals higher insurance costs.
As a result, while determining the IDV, you may choose a smaller number to obtain a lower premium cost. However, this is not the correct technique because the IDV is the policy's sum assured. It is the amount you receive if your bike is irreparably destroyed or stolen.
If you choose a lesser IDV, the claim you receive will not be equivalent to the market worth of the bike, resulting in a loss in the long run. As a result, make sure to select the appropriate IDV. When finalizing the IDV for your insurance, you can go to any authorized dealership or vendor to get the current market worth of your bike.
Read and Understand the Policy Document
Each bike insurance policy provides features and benefits based on the policy document. As a result, you must read and comprehend the language and conditions contained within it.
Insurance salespeople frequently use complex terms in policy documentation to sell clients inappropriate and overpriced policies. You should double-check the policy papers to authenticate your agent's offer. You can request a policy document from him, or you can get it from your insurer's website. Go over it thoroughly and make an informed purchasing decision.
Investigate the Premium Payable
Rather than agreeing on the amount that the agent or insurer draughts to you, investigate how the premium is computed. Age of the bike, model and manufacture, city of residence, engine cubic capacity, insured declared value, and percentage of voluntary deductibles are all elements that influence the price.
There are numerous reliable third-party websites, as well as the insurer's website, where anyone can use the free online bike insurance premium calculator. In this manner, you may double-check the amount offered by the agent or insurer and make an informed selection. If there is a discrepancy between the two estimations, you can choose another medium for purchasing.
Not Using the No Claim Bonus (NCB)
If you do not file any claims throughout the insurance period, the insurer will reward you with the no-claim bonus (NCB). It takes the shape of a premium discount when you renew your coverage. You can transfer your accumulated NCBs at the time of purchasing a new policy from a new insurance company or renew an old one. So, by utilizing the NCB, you will undoubtedly profit from a discount.
Clarify the Claim Procedure
Every bike insurance provider ensures to provide its policyholders with the best bike insurance claim process. To speed up the sale of a two-wheeler insurance policy, some insurance agents claim to offer a quick and uncomplicated claim procedure that is just a click or phone away.
Accept their proposals only after clarifying the actual process. As a result, it is always recommended to inquire about the process to submit a claim with your bike insurance company when the agent or anyone else is unavailable. Learn about the paperwork that must be attached throughout the bike insurance claim settlement process.
Having two-wheeler insurance is essential to prevent a fine from the police and to safeguard your vehicle from many problems that might occur while driving. A two-wheeler insurance policy protects you against your damage, third-party liabilities, theft, burglary, robbery, accidents, personal injury, natural disasters such as floods, storms, landslides, lightning, and so on, as well as artificial disasters such as terrorist attacks, riots, protests, fire, and so on.
Because the benefits of purchasing two-wheeler insurance are numerous, it is always a good idea to conduct research online. Always buy insurance from a reliable source and gather sufficient information about the insurer before signing the dotted line so that you can avoid buying the wrong insurance policy.