What Does Your Bike Insurance Cover?

Types of Bike Insurance Coverage

Before you dive into what a bike insurance covers, you must have the correct knowledge about the types of bike insurance policies in India. Usually, there are two types of two wheeler insurance policies offered by motor insurance companies:

1. Third-Party Cover

   This policy is also known as a liability-only policy and offers the minimum mandatory coverage. As a two-wheeler owner, you must have at least this third-party bike insurance cover. This policy provides coverage against all types of third-party liabilities. Suppose your insured bike causes an accident that results in the injury/death of a third party or damages to a 3rd party property. In that case, this policy provides financial and legal coverage for it.

2. Comprehensive Cover

   This bike insurance covers damages caused to your own vehicle and third-party liabilities both. It financially assists the insured bike for any cost incurred for repairing or replacing the damaged bike due to accidents or other insured perils. Moreover, with a comprehensive bike insurance policy, you can purchase various add-ons to enhance the coverage.

What Does Your Bike Insurance Cover?

A third-party bike insurance only provides coverage for third-party liabilities. However, if you want to increase the financial coverage, you must opt for a comprehensive bike policy. With comprehensive bike insurance, you will have additional coverage for natural calamities, personal accidents, etc. You can see the details below.

1. Natural Calamities Coverage

   A comprehensive bike insurance policy covers the damages/losses incurred due to natural disasters such as floods, earthquakes, fire & lightning, storms, cyclones, typhoons, landslides, explosions & self-ignition, etc. However, you must check the list of inclusions in your policy under this category.

2. Man-made Disasters Coverage

   Man-made disasters include the losses/damages caused to your insured bike due to human activities. These damages could be due to an accident or even malicious activities like thefts, vandalism, strikes, riots, etc. The policy also covers the transit damage when your two-wheeler is transferred via road, rail, water, or airways.

3. Third-party Liabilities Coverage

   As third-party liability is a mandatory cover in India, a comprehensive bike insurance policy offers coverage for it.

4. Personal Accident Coverage

   During a road accident, some chances might cause temporary or permanent disabilities to the bike owners. Hence, Personal Accident coverage provides compensation for such injuries/deaths of the insured if they are riding the bike.

What is Not Covered in Bike Insurance Policy?

Knowing what is excluded under your bike insurance policy is also important as this will help you to be financially prepared when you make a claim settlement. You can check the exclusions below.

• Loss of accessories
• Any legal liability on the part of a paid driver
• Personal accident coverage for the pillion riders
• Any damages, theft, etc, caused due to the negligence of the driver
• Normal wear & tear of the automobile
• Driving under the influence of intoxicants such as alcohol, sedatives or drugs.
• Damages or accidents happening due to racing, rallies, or any unlawful activities
• Accidents occurring outside the approved geographical area of the policy

10 Tips to Reduce Bike Insurance Premium

You should try to get all the necessary add-ons that you need in a bike insurance plan, even if it comes with an additional premium. However, if the premium is your top concern find some tips to reduce bike insurance premiums:

• Select a base model to get an insurance plan that falls within your budget. Moreover, the spare parts replacement cost and bike repair cost will be reasonable.
• Avoid opting for modified or high end bikes, as their spare parts replacement or repairing cost is quite expensive.
• The less you ride your two-wheeler, the less it is exposed to risk. Your insurance provider considers this factor and offers you a cheaper insurance premium.
• Choose to pay in full as premiums paid in installments are costlier.
• If you've not filed any claims for a specific time period, you must claim the NCB benefits during policy renewal.
• You can also compare and change your insurers and choose the providers willing to offer you better benefits for a competitive premium. You can visit Policybazaar.com that will help you compare different two-wheeler insurance plans and find one within your budget.
• Always keep your two-wheeler safe and secure. It is best to park it at an authorized parking zone instead of leaving it unattended on the streets.
• The more riding experience you have, the less risky you appear in front of your insurance provider. It means that you will have to pay the minimum premium if the insurer checks your driving record.
• Try to buy your home, car, health, etc., insurance from a single general insurance company so that there is a scope for a discount.