Everything You Want To Know

Two wheeler insurance/Bike Insurance is a policy purchased to protect your motorbike or scooter from damage caused by an accident, theft, or natural catastrophe. Two-wheeler insurance protects you against third-party liability resulting from injury to one or more people. Bike insurance is an excellent way to cover the financial costs and losses that may come as a result of motorbike damage. The bike insurance policy protects all forms of two-wheelers, including motorcycles, mopeds, scootys, and scooters.

Different Types of Two Wheeler Insurance Policy in India
Comprehensive Bike Insurance
Third-Party Liability-Only Bike Insurance
Standalone Own Damage (OD) Bike Insurance

Types Of Two Wheeler Insurance Policies in India

When you ride a bike on a public road, you essentially put other people and yourself at risk for mishaps, collisions, etc. These occurrences could be the result of carelessness or lack of experience. In either scenario, the bike may sustain full or partial damage, while the other drivers may sustain injuries or even pass away. Bike insurance is a need in order to protect against such tragic occurrences.

What are the types of two-wheeler insurance in India?

There are three primary types of bike insurance plans in India:

Comprehensive Two-wheeler Insurance: As the name implies, this policy provides comprehensive 360-degree protection for both you and your bike against any third-party liability. A comprehensive bike insurance is a sort of two-wheeler insurance that provides the owner-driver with personal accident coverage as well as coverage for any legal and financial third-party obligations as well as own-damage coverage for the covered bike. Additionally, by supplying a list of special add-ons with your policy, you can acquire customised coverage against particular situations. Zero Depreciation Cover, Roadside Assistance Cover, and other add-ons are popular choices.
Third Party Bike Insurance: According to India's Motor Vehicles Act, a bike must be insured to cover any liabilities that may result from losses or damages incurred by third parties as a result of collisions caused by the insured bike. Third-party bike insurance is the common name for this type of insurance plan for bicycles. If the insured bike causes an accident within the terms of this policy, any injuries to or fatalities of third parties, as well as damage to their vehicles, will be covered.
Standalone Own Damage Cover: The damages brought on to the insured two-wheeler are covered by a stand-alone own damage two-wheeler insurance policy, a form of bike insurance policy. It covers losses brought on by both natural and man-made disasters, bike theft, and complete bike destruction (damaged beyond any repairs). However, the liability of third parties is not covered by this policy. This policy is therefore only available when purchased with the legally required third-party liability coverage.
To accommodate their customers' various needs, insurance companies in India today provide a variety of insurance policies. If you want to purchase insurance for your two-wheeled vehicle, you should evaluate the inclusions and limitations of the policies offered by various insurance providers.

5 Advantages of Two Wheeler Insurance

Buying motor insurance is imperative for financial protection and security during crises caused by accidents. If you can claim compensation for damages, recovering from unexpected occurrences becomes a lot easier.

Third-party liability coverage: Purchasing two-wheeler insurance is required by The Motor Vehicles Act of 1988 because it guards you against third-party liability resulting from personal injury or property damage you may cause while operating your insured motorcycle. With insurance coverage, the insurer will compensate the third party and take care of any potential legal liabilities that may result from such situations.

Comprehensive protection: You can opt to purchase a third-party liability policy, which exclusively compensates for third-party damages and resolves any related legal matters. However, you must choose a Comprehensive Two-Wheeler Insurance Policy if you want the insurance coverage to pay for damages to both you and the third party. Its coverage of both natural and man-made disasters is quite thorough. By paying a little higher premium, you can choose add-ons in addition to the basic coverage. These include, to name just a few, NCB Protect, Pillion Rider, Two-Wheeler Insurance Personal Accident Cover, and Zero Depreciation.

No Claim Bonus/Discount: If you haven't filed a claim in any policy year, you'll get a sizable discount on the premium due when your policy is renewed. This is the premium being reduced by the No Claim Bonus. The reductions keep getting better with each claim-free renewal that goes by.

Zero penalties: Third-party liability insurance is required by law. If you are stopped with your two-wheeler, the traffic police or any other official authorities may want to see a physical copy of your driver's license and insurance documents. Anyone caught riding a bike without insurance papers faces a fine of up to £1,000 or a three-month jail sentence. Avoid fines by keeping your insurance documentation on hand for verification at all times.

Stress free, life saver: Insurance offers two advantages. a release from tension and potential risk. If you get insurance, you can be certain of having financial security and mental tranquilly because you are acting responsibly and morally. When you purchase insurance and renew it on time, you protect both yourself and your two-wheeler from unanticipated occurrences.

Two-wheeler insurance shouldn't be something you think about or choose to get. Consider it an investment in your safety.

What are the factors affecting car insurance premium?

Auto insurance is required. This does not imply that each time you insure your car, you must spend a fortune! Right, a penny earned is a penny saved? If you are aware of the variables influencing auto insurance, you may be able to make things work in your favor.

When you decide to purchase or renew auto insurance, the insurance premium is a crucial consideration. Unquestionably, it's crucial to purchase a cheap coverage, but it shouldn't leave you underinsured. When an unpleasant incident involving the insured car occurs, you could find yourself in the midst of a financial crisis if you have inadequate insurance.

  • Make, Model, and Variant: An expensive sedan will have a higher insurance cost than a hatchback. This is due to the vehicle's fundamental design. Because of this, the manufacturer, model, engine size, etc. of your car will all directly affect the cost of your auto insurance.
  • Age: The age of the vehicle considers Insured Declared Value and Depreciation, two crucial auto insurance concepts (IDV). These two ideas are related to one another. Depreciation is the decrease in asset value brought on by normal wear and tear over time.
  • Location: Car insurance in a metro area will be more expensive than in a tier 3 city. This is due to the perception that the car is vulnerable to harm in an urban environment. For instance, in a city like Mumbai, accidents commonly occur due to factors like rising traffic, congested roadways, etc.
  • Cover: basic Third-party policy is mandatory in India. It offers cover against third-party liabilities. On the other hand, a comprehensive car insurance policy covers Own Damage along with third-party liabilities. Plus, you can enhance the coverage with the help of Add-ons.
  • Add-ons: Add-ons offer extra security. And extra things usually come at a price. This applies to insurance as well. Including Add-ons such as Zero Depreciation, Passenger Cover, etc.
  • No Claim Bonus (NCB): Insurance companies offer a discount on the premium (on car insurance renewal) if you haven’t raised a claim during the previous policy period. Do not be in a rush to raise a claim.
  • Anti-theft Device: You may be able to lower your auto insurance premiums by securing your vehicle with an anti-theft device that has been approved by the Automotive Research Association of India (ARAI).
  • Deductibles: If you want to lower the cost of your insurance, you can choose a voluntary deductible. In essence, this means that you will make a fixed contribution to the claim amount. As a result, the insurance provider can lower rates by having to spend less to resolve claims.
  • Seller: Think and analyses before you buy the car insurance. If you buy car insurance via a broker, the broker is required to make a commission for their services. It's possible that if you buy it from a car dealer, the dealer may give you a fixed insurance with coverage you might not desire.
  • Digital Insurance: Digital-first insurers provide affordable Comprehensive car insurance coverage with enticing features. They can sell policies at a lower price than the market because they incur fewer operational costs. Before buying a policy or while renewing your auto insurance, be sure to compare rates on the websites of online insurers.

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SIB Two Wheeler FAQs

In other words, the comprehensive policy covers both third-party responsibility and your injuries, as well as vehicle damage or theft. Some insurance firms additionally provide many different add-ons and extra covers, such as zero depreciation coverages, which cover even the cost of consumables.
Because of its coverage, a comprehensive policy is regarded as the best two-wheeler insurance policy. It includes Third-Party Liability Insurance as well as Own Damage. You may also add relevant Add-ons to your insurance to reinforce it.
It seems prudent to protect yourself against any financial liabilities that may occur as a result of an unexpected accident. In Comprehensive Two-Wheeler Insurance Policies, Personal Accident (PA) coverage provides compensation in the event of death or permanent complete disability. You can also choose to cover the pillion passenger.
Driving without valid insurance (at least third-party insurance) is prohibited and can result in a fine of up to Rs. 2000 or potentially 3 months in jail, or both.

The following are the exclusions from the two-wheeler insurance policy:

  • Normal deterioration
  • Any accidents or damages to third parties caused by the driver's carelessness
  • Mechanical or electrical failure
  • Accidents or damages occur when the owner/driver of the two-wheeler is under the influence of alcohol/liquor/drugs.
  • Depreciation in the insured vehicle's value
  • Losses or losses resulting from war or nuclear dangers.

To claim Bike Insurance, the following documents are required:

  • Form for insurance claims.
  • The bike in RC form.
  • Copy of the bike's tax payment receipt
  • Driver's licence
  • Documents pertaining to insurance policies.
  • Copy of the FIR in the case of third-party bike damage, injury, or death.
  • Repair invoices and receipts
Yes, it is required by the Motor Vehicle Act 1988 to have at least a valid third-party insurance coverage when riding a two-wheeler on Indian highways.

A third-party insurance policy will cover:

  • Legal responsibility resulting from an accident involving your covered vehicle that causes permanent harm and/or death to a third party.
  • Legal liability stemming from an accident involving your covered vehicle that causes property damage to a third party.