Learn about the perfect bike insurance tips in India.
Two-wheelers are the most popular mode of transport in India. It is affordable and convenient to ride a bike through heavy traffic on Indian roads. However, the risk of accidents or any mishappening can cost you heavily. Bike insurance safeguards the owner from financial loss due to an accident, theft or any other type of damage. Hence, choosing motorcycle coverage carefully is of utmost importance to avoid any financial or legal consequences and this can be taken from Kotak General Insurance.
Read on to learn the bike insurance tips for making an informed decision.
Here are some tips for selecting a policy in India with the right bike insurance coverage for your bike.
Indian bike insurance has been classified into two types:
Third-party insurance - Third-party insurance protects against third-party liability or any damage caused to a third party. It is legally mandatory to have third-party bike insurance to ride a two-wheeler on the road in India.
Comprehensive bike insurance - This type of insurance covers both third-party liability and own damage expenses. It allows you to enhance your coverage by using add-on covers as per your requirements.
IDV is the current market value of your bike and it depends on your bike’s age and model. It is your bike’s depreciated market value and it is the maximum amount you will get from your insurer in case of any damage.
The cost of the policy is determined by the type of policy you choose, IDV and the deductibles opted by you. A comprehensive bike insurance policy is expensive compared to third-party bike insurance. Similarly, a high IDV also increases your insurance premium. On the other hand, a deductible is the amount you pay from your pocket in case a claim arises. So, a higher deductible means a lower premium and a lower deductible means a higher premium. Note that your geographical location, driving style and past claim history also affect the cost of the policy.
While choosing motorcycle coverage include add-on covers to increase your coverage, at a very nominal cost. Some popular add-on covers are depreciation cover, return to invoice cover, roadside assistance, etc. Always choose an add-on cover as per your needs and based on cost vs benefit evaluation.
Following the above bike insurance tips will help every bike owner find suitable coverage matching his needs. It not only gives peace of mind but also encourages safe driving habits. Always renew your bike insurance on time for continuous coverage.