Just like car insurance, getting a bike insurance is a mandate as per the Indian Motor Tariff if you want to ride your bike on Indian roads legally. Failing to insure your bike holds a fine of ₹2000 and/or imprisonment of up to three months. Part of purchasing a bike also requires you to get the insurance done at the time of purchase. Here is all that you need to know about bike insurance and how to get the best bike insurance plans in India.
Bike insurance falls under two-wheeler insurance policy coverage. It is a contract between an insurance company and the bike owner in which the insurer guarantees to pay for any financial obligations that might result from a collision involving the insured's two-wheeler. It includes all types of motorcycles, scooters, electric bikes, and moped bikes.
As per the guidelines of the government of India under the Motor Vehicle Act, 1961, every vehicle must have third-party liability insurance. Broadly, there are three different two-wheeler insurance plans:
To ride a bike in India, you must have a third-party bike insurance plan. Third-party can be a property or person. The third-party insurance covers you from any damages caused by accident to any other person or property. It also covers accidental liabilities and death.
Own-damage bike insurance policy gives protection for damages caused to your bike. It can be purchased only when you have the third-party liability cover. It covers any damages that the insured bike may have incurred because of an accident, theft, fire, natural disaster, or man-made calamity.
As the name suggests, comprehensive bike insurance offers complete protection by fulfilling any financial obligations you might have to a third party or own damage, compensating you for costs associated with your bike's damage. It protects your bike against accidents, fire, theft, man-made disasters, natural disasters, self-ignition, explosions, and other events.
When planning to purchase bike insurance online, don't forget to compare several rates and consider the benefits the policy offers. Any bike insurance comes under the two-wheeler insurance plans available in Indian companies as listed below.
While choosing the plan, you must first realise that you may not get all of your insurance needs with a single policy. Some can provide lesser premium rates, while others can provide garages with a larger network. Therefore, you must evaluate your needs before deciding. Here are some guidelines that could be useful:
It is crucial to examine your needs and financial situation before you look for insurance. Choose a coverage plan based on how your two-wheeler is used, your budget, and other obligations.
When picking insurance, be aware of your bike's cubic capacity because it plays a key role in determining the insurance rate. Your premium will be higher if your two-wheeler has a high cubic capacity.
The current market value of a vehicle is known as IDV. The maximum sum insured, or IDV, is the figure that will be paid in total when the two-wheeler is registered for a claim. It is determined at the time a policy is purchased. Depreciation rises with vehicle age, IDV falls, and as a result, the premium decreases year over year.
To expand your two-wheeler insurance policy's coverage, look for riders that you can include though you might have to pay extra. Common riders offered include:
The CSR is the proportion of claims that an insurance provider can resolve as opposed to the claims made within a policy year. Always look for a reputable insurance provider that has high settlement ratios. Selecting a reputable insurer guarantees quick and easy claim settlement.
The level of service also makes a huge distinction. Therefore, you should also evaluate how the business responds to your questions and helps you.
The cost of repairs can be covered with the aid of cashless network garages. The insurer and the garage settle the repairs without your intervention. You only end up paying very little from your share, making it simpler with little cash required.
You can increase your policy's coverage with add-ons. Before buying the policy, ensure the company you wish to invest in offers the necessary add-ons.
Today, in the modern era of digitalisation, you can easily review, compare, choose, and purchase bike insurance online. You can also get your bike insurance renewal done in just a few clicks. Before making a purchase, it’s important that you carefully review the policy documents, network garages, claim payment method, and after-sales support, among the many factors. For certain owners, a particular policy coverage may be helpful, but not for others. It’s imperative that you first evaluate your needs to choose a company that can meet your expectations.
While it is not mandatory to have insurance for a non-motorised vehicle, you can get your bicycle insured under a typical house insurance policy.
The kind of insurance you need would depend on the bike that you have and the usage. Therefore, there cannot be one best bike insurance plan. Chalk out your needs and then pick the one that best suits you.
You can easily complete your bike insurance renewal online in a few simple steps. Here’s how:
As of 2023, Bajaj Allianz Two-Wheeler insurance ranks as the best bike insurance company in India.
Here are 5 good bike insurance companies -
a. IFFCO Tokio General Insurance
b. Royal Sundaram General Insurance
c. The Oriental Insurance Company
d. HDFC ERGO General Insurance
e. Universal Sompo General Insurance
As per the Motor Vehicles Act, 1988, it is mandatory for all vehicles to have third-party insurance coverage.
No, third-party insurance is not enough for bikes in India. While it is mandatory to have third-party insurance as per the law, it only covers damages or injuries caused to third parties. To ensure coverage for damages to your own bike, it is recommended to have comprehensive insurance.