Bike insurance acts as a shield to keep you out of financial as well as legal trouble in the event of unfortunate events like injury, death, or damage caused to a vehicle as well as third person or property. This article consists of some crucial tips suggested by a few veteran bike owners on how to save a few bucks while purchasing or renewing a two-wheeler insurance policy or while paying its premium. Based on the responses here is the ultimate list of suggestions you can take to guarantee savings in your two-wheeler insurance policy.
How to Save on Insurance Premiums?
There are various factors that determine the cost calculation of your insurance premium. Let’s check how these factors impact your premium and how you can play around with them to reduce your outgo.
Driving History
Be sure to ride safely to prevent endangering your life and the lives of others. Avoid participating in any actions or tricks that could harm your bike. Not only would this lead to a claim, but you would also forfeit the no-claim bonus. By missing out on the NCB, you may not be able to receive the due benefit on your insurance premium.
Ensure Timely Renewal of the Insurance Policy
It is usually advised to renew your policy prior to the expiration date to assure ongoing coverage and to avoid additional fees that may be incurred when your vehicle is inspected after your policy has lapsed.
Compare the Insurance Policies
It will be easier for you to grasp the features and costs of the various plans if you compare the various bike insurance packages. To find the plan that delivers the best insurance coverage at the lowest insurance cost, you should request quotations from three or more insurance providers. Choose the best insurance option that covers the majority of the risk variables that are important to you.
Location
Based on the assumption that bikers in urban areas may have more claims than bikers in rural areas due to traffic, the premium for the riders residing in the former landscape is higher than that of those living in the latter.
Age of the Driver
If you're between the ages of 32 and 40, you'll receive a discount on the premium. People in this age bracket are viewed as responsible drivers by insurance companies, which offer discounts to them. If you are in this age bracket, you will automatically receive a lower premium. However, this may change from insurer to insurer.
Previous Insurance Policies
In case there have been records for non-payment of premium of the bike by you. Or if you have maximum claims on your name, your new insurer or policy will come to you at higher premiums.
Frequency of Use of the Vehicle
Higher annual mileage results in higher risk exposure. For example, if you own a bike and ride it on a daily basis, your coverage should be increased. If you occasionally drive your bike, you can opt for third-party liability insurance and save money on your premiums.
Give Small Claims a Miss
You may think that since you are paying the premium for the policy, you should initiate the claim to the bike insurance company to bear the costs of the damages, irrespective of its nature. If the cost of repair or replacement is not prohibitive, minor claims for things like a broken clutch lever or a small dent can be avoided. By doing this, you can save money thanks to the NCB (no-claim bonus) that the insurer may offer when a policy is renewed.
Hike Deductibles and Voluntary Excess
Deductibles are the costs associated with repairing or maintaining your bike. For instance, if you can afford the cost of repairing your bike, you should do so because larger deductibles result in cheaper premiums that must be paid. It's also crucial to be mindful of the fact that paying out of pocket defeats the entire point of having insurance if the price runs too high. So, adjust your deductibles as necessary.
If a claim situation arises, this represents your portion of the claim. At the time of the renewal or during the renewal, you agree to fix your portion of the claim. The advantage of doing this is that your premium will be significantly reduced. Contact the insurer as soon as the policy is about to expire to learn the details of the voluntary excess front and to discuss the possibility of a lower premium.
Ensure Maintenance of Your Bike at All Times
The insurance provider could lower your rates if you install a security system or anti-theft device in your bike to guard against theft, vandalism, or other types of harm. Making an extra effort to maintain your vehicle is always appreciated since it ultimately means that the likelihood of you filing a claim declines significantly, which causes the insurers to lower your premiums.
It is Better If You Have a Single Insurer for All Your Insurance Needs
You can save money on the premium if you acquire your bike insurance from the same insurance provider that you use for your motor insurance. You can get many perks and discounts from your insurers after being loyal to them.
Take Add-on Covers into Consideration
You can alter the insurance plan to suit your needs by choosing add-on. Some excellent add-ons you may purchase to increase the coverage provided by the bike insurance plan include daily cash allowance, roadside assistance coverage, personal injury coverage for pillion riders, and no-claim bonus retention.
If there are add-on covers active in the current policy, carefully review their benefits to determine whether you want to keep using them. If so, read the policy document again. All these options come with an additional fee that is applied to the base premium, so skipping the ones irrelevant to you can help you save money.
Opting for Long-term Policies
Usually long-term policies come with additional discounts that you can get in your policy premium. Many insurers ensure that you enjoy various perks after availing a motor policy for 2 to 3 years.
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