Kotak Mahindra Zero Depreciation Bike Insurance

Depreciation means a decrease in the valuation of an object over a time period. A two-wheeler also undergoes such devaluation over a period of time. Hence, while settling a claim, the insurance company deduces some amount called depreciation value from the claim value. To avoid such deductions, one can purchase the Kotak Mahindra zero depreciation bike insurance. 

How does  Kotak Mahindra Two Wheeler Insurance Zero Depreciation Cover Work?

When one purchases the Kotak Mahindra zero depreciation two-wheeler insurance along with a standalone or a comprehensive policy, the depreciated value of the bike is not deducted while settling a claim. It comes as an add-on cover that gives extra benefits to the bike insurance policyholder as he can get the full claim amount without facing the reduction in depreciation. 

Benefits of Kotak Mahindra Two Wheeler Insurance Zero Depreciation Add-on Cover

The benefits of buying Kotak Mahindra zero depreciation two-wheeler insurance are as follows – 

1. Increase in claim amount – While settling a claim, any company deducts the depreciation amount of the asset under consideration from the claim amount. In such a case, the claim amount reduces. But if one has a zero depreciation add-on cover, then the depreciation amount is not reduced from the claim value, and hence the claim amount is higher.
2. Increased coverage – With zero depreciation cover, one can at least expect some amount of extra coverage for one's bike. This becomes extra special when one's two-wheeler is either new or very costly. 
3. Cost of repair without the depreciated value deduction – With the Kotak Mahindra zero depreciation bike insurance, the cost of repair of any of the insured bike parts is compensated without deducting the depreciation amount. 

Depreciation Rate Applicable on Bike With and Without Zero Depreciation Add-on

Below is a comparison table of the depreciation rate applicable on a bike with and without the Kotak Mahindra zero depreciation bike insurance –

What is Included Under Kotak Mahindra Two Wheeler Insurance Policy with Zero Depreciation Cover?

The things included under the zero depreciation of Kotak Mahindra bike insurance are as follows –

1. This insurance covers the depreciable parts of a two-wheeler, such as rubber, plastic, etc.
2. The number of claims on a bike which is insured under zero depreciation cover is more than under insurance without this add-on.
3. The loss incurred upon repair and replacement of any of the bike part is also covered by this add-on policy.
4. The cover is easily purchasable as well as renewable.

What is not Included Under the Kotak Mahindra Two Wheeler Insurance Policy with Zero Depreciation Cover?

The things that are not included under the Kotak Mahindra zero depreciation two-wheeler insurance are as follows –

1. The normal wear and tear of the bike are not covered under the zero depreciation add-on.
2. The bike parts that are not under the add-on cover are also not compensated for.
3. If the bike undergoes any damage due to rash driving, then it is also not covered under this add-on.
4. This add-on does not compensate for any damage to the insured bike in case of driving under the influence of a drug or without a valid licence.

Factors Affecting Kotak Mahindra Two Wheeler Insurance Zero Depreciation Cover

The following are the factors that influence Kotak Mahindra zero depreciation bike insurance –

1. Bikes which are more than 5 years old are not considered for zero depreciation cover.
2. The necessary deductibles are made during claim settlement despite the zero depreciation cover.

How to Buy Kotak Mahindra Two Wheeler Insurance Zero Depreciation Cover?

The Kotak Mahindra zero depreciation two-wheeler insurance can be bought online and offline.

Online Mode – To buy the Kotak Mahindra zero depreciation bike insurance online, one simply needs to visit the site of Kotak Mahindra and purchase the add-on cover and a general bike insurance policy. The premiums can be made online via any of the online payment modes.

Offline Mode – To buy this add-on cover policy offline, one either needs to visit the Kotak Mahindra office or a person who sells insurance on behalf of Kotak Mahindra. Upon learning about the premium, one can purchase the policy offline.

Kotak Mahindra Two Wheeler Insurance Zero Depreciation Cover Review

The Kotak Mahindra zero depreciation bike insurance is ideal for new drivers, owners of new bikes, riders who live in areas where accidents are quite frequent, and owners of expensive bikes. With the zero depreciation cover, one can be sure of better compensation amounts in case of mishaps.