Read about What are own-damage and third-party bike insurances?. For more information, check out the bike insurance policy from Kotak General Insurance.
For bike owners, choosing the appropriate insurance plan that meets all of their requirements while staying within their budget is an important choice. Therefore, you need to be cautious about the coverage in your bike insurance policy. To help you understand and make an informed choice, we will now clarify the distinction between third-party and own-damage bike insurance.
Own-damage bike insurance guards the vehicle against damage or loss brought on by accident. The Insurance Regulatory and Development Authority of India (IRDAI) gave all bike owners the option of purchasing standalone damage coverage from several insurers. Bike owners have the option to purchase their own-damage bike insurance for a period of one year and then renew it as needed.
Benefits of own-damage coverage
• Coverage for vehicle damage resulting from accidents.
• Wider coverage
• Insurance against theft and natural or man-made calamities
• The decision to add additional coverage to the insurance
In accordance with the Motor Vehicles Act of 1988, bike owners are required to have third-party bike insurance on their vehicles. This kind of bike insurance protects the owner from legal liability and gives protection against harm, death, or injury caused to third parties or their property. Because your vehicle is the one that causes damage to other people's vehicles, third-party insurance does not cover loss or damage to it. Moreover, it also doesn't handle claims for damaged or stolen vehicles.
Benefits of third-party coverage
• Effortless documentation
• Compensation for fatalities
• Legal protection
• Coverage for your financial responsibilities in the event that you accidentally cause someone harm or damage to their property.
Check out the details below for additional information about own-damage bike insurance vs. third-party bike insurance.
• Own-damage coverage is optional, depending on the needs of the vehicle owner. The Motor Vehicles Act of 1988 mandates the purchase of third-party insurance.
• Own-damage offers coverage against harm done to your own bike. Third-party offers protection against harm to third-party individuals or property.
• The insurance provider determines the own-damage insurance premium, which is based on the brand and model of the bike, the insured stated worth, the engine size, etc. The IRDAI determines the third-party premium, which is less expensive than own-damage insurance.
• You can enhance coverage for own-damage bike insurance by choosing add-ons like roadside assistance, return to invoice cover, zero depreciation, engine protection, and more. It is not possible to purchase add-ons with third-party insurance.
• There is a 1-3 year range for own-damage bike insurance. Most consumers instead choose to buy a short-term plan since long-term insurance can be expensive. You might select yearly insurance for third-party.
Considering the above comparison, decide between third-party bike insurance and your own-damage coverage for your bike. You should get both third-party liability insurance and your own-damage insurance with comprehensive or extensive coverage.
Visit Kotak General Insurance for More Information.