< Back

Motor

big-banner-v2-090822

According IRDA (Insurance Regulatory and Development Authority) reports, about 70% of the two-wheelers plying on Indian roads are uninsured or their policy has lapsed. This is mainly because many two-wheeler owners in the country have little or no awareness about the importance and benefits of bike insurance.

While some people genuinely forget to renew their bike insurance policy, others intentionally avoid renewing or buying an insurance cover because they think it is an unnecessary expense. However, the truth is, apart from being a legal requirement, bike insurance is a necessity for all bike owners. It helps you get financial protection against the damages or losses you may suffer due to your involvement in an accident.

If you don’t have bike insurance, it is advisable that you purchase one immediately or you must be ready to face the following consequences:

Hefty fine

According to the Motor Vehicles Act, 1988, driving without a valid two-wheeler insurance is illegal in India and is a punishable offence. If you are caught driving without an insurance cover by the traffic police, you would be liable to pay a fine or even face imprisonment up to three months or both.

No NCB discount

If you forget to renew your bike insurance policy for over three months since its due date, there is a high risk of losing all the accrued NCB (no claim bonus) benefits. Also, you would lose the opportunity to transfer the NCB benefits to the new vehicle if you were to buy one.

Losing the NCB benefits could be a significant loss. You would lose the chance to increase the sum assured of the policy or get a discount on the premium.

Have to bear the loss

A comprehensive two-wheeler insurance policy assures complete financial protection against unfortunate accidents, and man-made and natural calamities. Without an insurance cover, you must bear the cost of repairs from your pocket. Also, if you damage the third-party’s vehicle, you must pay for it as well. In case of loss or theft of your bike, you would get zero compensation. This can wreak havoc on your finances; you may lose all or a significant amount of savings.

Cumbersome process

Lastly, if you wish to reinstate your lapsed bike insurance policy, it can be a time-consuming process. The insurer may ask you to submit a fresh application form and inspect your vehicle again to decide the premium and the IDV. Also, owing to your past records for failing to renew the policy, the company may charge a higher premium.

So, it is obvious that you face the risk of heavy losses and paying penalties, if you don’t buy or renew your bike insurance policy.

If you are looking for the best bike insurance plan, you can consider buying the Kotak Long Term Two-Wheeler Secure from our Two wheeler insurance page. You can choose a policy tenure of 1,2 or 3 year based on your requirement. Also, you get a wide range of benefits along with an affordable premium. Visit our two-wheeler insurance page to know more about the policy.

Disclaimer: The content provided is for education and informational purpose only, none of the information contained in our blog amounts to any form of opinion or advice. Please go through policy related documents carefully or consult an expert before making any insurance-related decisions.

RELATED ARTICLES

Car Insurance Benefits

Motor

Benefits of car insurance

A car insurance can help you offset substantial financial loss that you may incur because of damage caused to your car

Add-on covers for Car Insurance

Motor

Must have Add On Covers for Car Insurance

A basic comprehensive car insurance covers damage to car, 3rd party liability and theft & loss of vehicle.

Car insurance

Motor

Right time to buy vehicle insurance

Buying a vehicle insurance is an important decision and you need to ensure that you make a timely purchase of vehicle insurance

know-how-car-insurance-premium-is-calculatedcde

Motor

Know How Car Insurance Premium Is Calculated

Car insurance premium calculation is based on various important factors. Learn about these factors.

rules-to-follow-for-safe-driving-th

Motor

Rules to follow for safe driving

Know About The Important Road Safety Rules To Follow

 

 

significance-of-a-motor-vehicle-insurance-policy

Motor

Significance of a motor vehicle insurance policy

Apart from financial security, know in what all ways a motor insurance policy is significant.

maintenance-tips-for-car-engine

Motor

Maintenance tips for car engine

Follow these maintenance tips and buy a car insurance with engine protection cover to keep engine secure.

Monsoon Tips Car

Motor

Monsoon Tips for Car

Simple tips to help you stay safe and keep your car moving ahead during monsoon.

What is Zero Depreciation Cover

Motor

What is Zero Depreciation Cover

Read on to understand what is zero depreciation car insurance cover and how it works.

Questions Regarding Motor Insurance Policies

Motor

Questions Regarding Motor Insurance Policies

Essential questions answered about motor insurance policies in India.