Bikes are a convenient mode of transport when it comes to tackling traffic in India. They also take up very less parking space and are great for commuting to work or most nearby places. Most people who own bikes or want to have one should know that having bike insurance in India is not only a legal mandate but also saves a lot of unnecessary expense.

 If you are a first-time motorbike owner, then you can follow this step-by-step guide to buy two-wheeler insurance. There are several motor insurance companies that have a variety of convenient plans suited for your needs and budget. You can also compare quotes from different companies online using an online premium calculator

The guide to buying 2-wheeler insurance:

1. Find a good insurer

The insurer is the motor insurance company from where you get your policy. Bear in mind that research plays a very important role here. While there are many reputed companies offering a good bike insurance policy online, there are also those who will try to pass on cheaper ones. To identify a good insurer, always visit their website to see what their offerings are. It would also be wise to check whether they have a high claim settlement ratio.

The claim settlement ratio is a crucial marker in the insurance industry. Often, when you need to cover for your motorcycle’s damage, you file a claim with the insurer. If the insurance company does not have a decent claim settlement ratio, then you’ll end up with a half-settled, delayed or an altogether rejected claim.

2. The type of coverage

There are a few different types of coverage available with bike insurance in India. 

Third-party liability: The third-party insurance is compulsory for all bike owners in India. As the name suggests, it only covers damages to the third-party vehicle. Therefore, the damage to your own vehicle will not be compensated by this type of insurance cover.

Own Damage (OD) cover: Under this insurance policy, the damage to your own vehicle will be taken care of. Since the third-party insurance will not be applicable to the financial liabilities arising from damage to your bike, it is necessary to have an Own Damage cover (OD).

Comprehensive cover: A comprehensive bike insurance is the ideal combination of third-party liability and own damage cover. A comprehensive policy will offer coverage against damages to the bike, the loss or theft of the bike, damages caused by certain natural and man-made calamities, along with a third-party liability benefit. You can further improve the coverage with a host of add-on features available.

Therefore, having a comprehensive insurance cover becomes essential. A comprehensive bike insurance plan covers liability insurance as well as own damage.

3. Choose the add-ons

A comprehensive two-wheeler insurance covers own damage (OD) as well as damage and loss of your vehicle. However, it may not offer coverage for certain components of the car or cover certain circumstances. That is why insurers offer certain additional coverages in the form of add-ons. It is easy to choose them, especially when you are buying two-wheeler insurance online. These include but are not always limited to, engine protection, roadside assistance, zero depreciation cover, pillion rider cover, etc.

Of course, each of these add-ons come at an extra cost but if you choose just what you need, they can be quite economical. Suppose, your two-wheeler and you are stranded somewhere, roadside assistance will help you both get to safety. In an alternate scenario, you would have had to call professional services which would have been an expensive and possibly time-consuming deal.

4. Read all terms & conditions

While choosing an insurance policy, always visit the insurance provider’s website to check their policy documents. You can download these and read them carefully. They have detailed points on what kind of damages the policy covers. These are known as inclusions, based on which you can decide if you should buy the insurance cover.

However, there will also be exclusions or terms under which you cannot file a claim for the damage of your bike. One of the common exclusions is when you ride under the influence of drugs or alcohol. Most insurers do not provide cover for damage caused by such situations.

In other cases, considering the exclusions can also help you decide whether you want this plan. For example, some car insurance policies may not cover damages to your motorbike caused by floods. And suppose, you stay in an area where the monsoon is severe, this type of policy cover is meaningless for you.

Going through the policy documents before signing them is essential because when the need to file a claim arises, you should know if the coverage will help. 

5. The purchase of your bike insurance

Nearly all good insurance companies now encourage customers to buy bike insurance online. Right from the research you need to the payment, everything is there on the company’s website. You can also use a two-wheeler insurance premium calculator to check and compare the premiums. While the information gathering is a little tedious, the process of buying the insurance is quick and easy.

• The first step involves filling in your details. This will include your full name as per an official document, the proof of residence and the bike registration number.
• Next, choose the type of insurance cover you want to buy.
• Set the Insured Declared Value (IDV) of your motorbike. It is the total value of your vehicle and its calculation is the cost of your vehicle minus the depreciation of the parts.
• Cross-check all the details you have entered and then proceed to the checkout.
• When you’re making the payment, note that the site is secure and you are notified of the deduction. Security is not an issue when it comes to reputed insurance companies.
• The purchase of your bike insurance is complete once you have made the payment online. Always save a copy of the policy and the billing. You can also get them printed and keep a hard copy as well.

6. The No Claim Bonus (NCB)

While filing a claim for your motorcycle could be necessary in any situation, it is always wise to keep the vehicle in its best condition. Riding safely, following traffic rules and having the bike serviced from time to time will ensure that you do not have to file a claim for any damage or accidents. This will help you earn a No Claim Bonus.

This benefit is a financial discount that the insured can earn if he does not file any claims during the insurance period. It is calculated by the year and so if you earn a discount, you get a discount on your premium when you renew your two-wheeler insurance.

Conclusion

As you can see, even as a first-time buyer, you should understand your own requirements before buying your two-wheeler insurance. And buying it online is always a cost-effective option as there are no agents or paperwork involved here. This not only eliminates the overhead costs but also makes the process quite convenient as well as environment-friendly. 

Buying two-wheeler insurance is a fairly easy process that you can do online and does not take up much time if all details are provided correctly. Not having a two-wheeler insurance is not only illegal but also quite unsafe. If your insurance is nearing its expiry, it is recommended that you renew it or get a new bike insurance soon.