Old Bike Insurance: A Guide to Insure Your Motorcycle with a Right Policy

What is Old Bike Insurance?

Old bike insurance provides coverage for older bikes. Such insurance policies are important as your bike's market value keeps on decreasing with age whereas the risk of mechanical failures or accidents may increase over time. To avoid such a situation, it is ideal for you to purchase a two wheeler insurance policy.

A bike insurance for the older models will not only offer financial protection, but also offers a peace of mind. It offers comprehensive coverage and safeguards you and your bike against unexpected expenses that may arise.

Why Should You Insure an Old Bike?

Getting a bike insurance policy is one of the most important tasks not only for a new bike, but also an older model. Here are some of the top reasons for buying an old bike insurance:

• Better Coverage: An old bike insurance policy provides coverage against any natural or man-made disasters including fire and any other related event beyond your control.
• Law Mandate: Getting third-party bike insurance (TP) for your old bike is a legal requirement. A TP bike insurance will only cover damages caused to third party and third party property.
• Comprehensive Coverage: If you buy comprehensive bike insurance you can also get enhanced protection. A comprehensive old bike insurance will get you covered for both third party liability and even own damages. Damages caused to your own bike due to several unforeseen risks, such as accidents, natural calamities, man-made hazards, etc will also be covered under a comprehensive policy. It also reduces your expenses.

What to Keep in Mind While Buying Old Bike Insurance?

You must take note of the following things while buying an old bike insurance.

1. Indicating the Right IDV

   IDV (Insured declared Value) is the maximum amount your insurer will pay you in case your 2 wheeler is stolen or damaged beyond repairs (damaged beyond 75% of its value). The IDV of your bike is inversely proportional to the age of your bike. As your bike grows old, its IDV decreases. Declaring the right IDV is very crucial as it directly affects your premium. IDV is calculated by subtracting the depreciation value from the selling price of the bike maker. Suppose you have fitted something in your bike that was not provided by its manufacturer. In that case, its depreciation and cost are calculated and then added to the IDV of your bike separately.

   Note: After five years, the IDV of the vehicle is calculated as per the mutual agreement between the bike owner, that is, you and the insurer, and is not as per the depreciation value. In such a case, the insurer appoints a surveyor to evaluate your bike's condition and determine its cost.

2. Comparatively Low Premiums

   As the IDV of your bike decreases, the premium for your old bike insurance will also reduce. Keeping this in mind, it is recommended to wisely choose your IDV. Once you correctly indicate the IDV, your premium will be comparatively lower than that of a newer model.

3. Choose the Correct Add-Ons

   As the age of your bike increases, it is advisable to not just settle for a basic coverage. By paying a slightly higher premium, you can include some add-ons and rider benefits to your old bike insurance policy for maximum coverage. Add-ons such as return to invoice cover, roadside assistance, engine protection, etc, can be included in your basic comprehensive bike insurance plan. You can check with your insurance provider for different add-ons available for your old bike.

What are the Factors Affecting the Premium of Your Old Bike Insurance?

Apart from the IDV, there are several reasons that affect the premium of your old bike insurance. The accessories fitted on it, past claim experience, accumulated NCB, etc are some of the top reasons that play a role in deciding your premium. However, for an old two-wheeler, the insurance premium is based on the following factors:

• Engine Capacity: The engine capacity of the bike (CC) directly affects your bike insurance premium. Higher end bike models/heavy engines attract a higher premium.
• Make and Model: Your bike's make, model, age, and variant also impacts the premium.
• IDV: The IDV directly impacts your bike insurance premium. As the IDV decreases over age, your premium will also reduce.
• NCB: Insurers usually offer you a discount on the premium if you do not make a claim in a policy tenure known as the No Claim Bonus (NCB). You can get a maximum of up to 50% discount if you have made 0 claims in 5 years.

Why Choose Policybazaar.com For Your Old Bike Insurance?

Some of the top reasons for renewing or buying old bike insurance online from Policybazaar Insurance Brokers Private Limited are mentioned below:

• Compare & choose old bike insurance plans from different insurers
• Affordable old bike insurance plans
• Smooth and fast claim settlement process
• 24x7 customer assistance
• Zero paperwork
• Add-ons and customizations available
• Policy renewal reminders

How to Buy/Renew Old Bike Insurance Online?

You can easily buy or renew an old bike insurance online from aggregator websites. The following points highlight the simple steps to buy/renew old bike insurance from Policybazaar using simple steps.

Step 1: Visit the official website of Policybazaar Insurance Brokers Private Limited at policybazaar.com and click on 'Bike Insurance' 'tab from the 'Insurance Products' menu.

Step 2: Enter all the required details such as vehicle number and click on submit.

Step 3: Compare & choose old bike insurance plans offered by bike insurance companies. Select the IDV and add any customizations as per your requirement.

Step 4: Once submitted, you will get the premium amount. Pay the amount using online payment methods (debit/credit card, UPI, Net Banking). Your policy will be issued and sent at your registered email ID within 60 seconds

Note that IDV is usually 10% less than the Previous Year's Policy