Two-wheelers are the most popular and common mode of transportation in India. Not only is it comparatively more affordable than four-wheelers, but it can also maneuver its way through the narrow Indian lanes, saving riders from long traffic.
If these features make you want to buy a bike, you should also start looking for two-wheeler insurance, as the vehicle cannot be taken to roads without active insurance coverage. If you’re new to auto insurance, you can use our below-shared tips and tricks to pick the right bike insurance.
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List of tips to choose the right bike insurance policy:
- Choose the Insurance Type Depending on Your Needs
Third-party bike insurance and comprehensive bike insurance are the two common and popular bike insurance types you can come across in the market. Third-party bike insurance saves the owner against financial and legal obligations arising from a road accident towards a third party individual and property. It is the most basic insurance a two-wheeler owner can have. A major drawback of third-party bike insurance is its limited coverage. If you buy third-party insurance, you won’t be liable to claim your own damages arising out of road accidents.
If you value secured and complete coverage more than the insurance premium amount, you should select comprehensive two-wheeler insurance over third-party insurance. Under comprehensive insurance, the insurer will cover third-party and own damages in case of road accidents and other events mentioned in the insurance papers. Comprehensive insurance is expensive, but the enhanced coverage justifies the increased price.
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- Compare Insurance Plans from Different Insurers
Once you’ve finalized between comprehensive and third-party insurance, it’s time to look for ideal insurance plans under the selected insurance category. During your bike insurance research phase, compare similar plans offered by three or more insurance companies. It will be tedious, time-consuming, and challenging, but the effort will be worth the result.
You can also take the help of online insurance review websites that explain the ins and outs of particular insurance plans via descriptive blogs or video content. It will give you the much-required idea and direction to move forward. If you diligently perform this step, you’ll be much closer to choosing the best bike insurance for your needs.
- Know About the Available Add-Ons
Riders, also known as add-ons, are additional coverage clauses that can be added to two-wheeler insurance. Add-ons are usually taken to enhance the coverage for an additional cost. Before you purchase any add-on, always understand what purpose it will serve and is it really needed or not because, for every add-on, you’ll have to pay an additional amount. Most insurance providers offer the following add-ons:
- Return to Invoice
- Zero Depreciation
- Roadside Assistance
- Engine Protection
Depending on your bike’s condition and needs, you can choose one or more add-ons that best fulfill your needs. If you have an old bike, talk to the insurer about the available riders, as old bikers are not eligible for all riders.
- Find out the Claim Settlement Ratio of the Insurer
The main purpose of taking insurance is to get timely financial assistance from the insurer in case of financial losses arising from road mishaps. If you want to receive prompt claim reimbursement, always finalize the insurer after checking the claim settlement ratio of recent years. Else, you’ll end up with tedious paperwork, a slow claim application process, and slower reimbursement. A quick online search will give you the much-needed information on the claim settlement ratio of your shortlisted insurers.
- Understand the IDV
Insured Declared Value (IDV) is the current or ex-showroom market value of your vehicle. IDV is also known as the maximum value the insurer will be liable to pay if the vehicle gets damaged beyond repair or stolen. Your vehicle’s IDV is calculated after deducting the depreciation amount, and it can significantly impact your insurance premium. Higher IDV always comes with a higher insurance premium and vice-versa.
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- Evaluate the Premium You’ll be Paying
If the premium amount is going to be a crucial deciding factor in your purchase decision, you can get an idea of the premium you’ll be paying on your shortlisted insurance plans using an online bike insurance premium calculator . To get a near-accurate premium figure, enter the required details correctly. You can also add or remove riders to get a premium estimate for your personalized insurance plan.
- Take help of Online Communities/Forums/Insurance Review Blogs
When you find yourself surrounded with doubts and endless questions, always start your research with online forums or communities where members exchange knowledge or talk about insurance, in general. These communities can give you the much-needed direction by answering your basic questions in a simple way.
Once you’ve got some basic idea from these communities, head to insurance blogs that share exhaustive guides and resources on insurance products, industry, insurance companies, and all other important information related to insurance. This whole process will consume much of your time and energy, but by the end of the process, you’ll have enough knowledge to assess if the chosen insurance plans are correct for you or not.
Besides these points, you can also do some research to find out if the insurer you’ve shortlisted provides great customer support or not. If you consider all these points while making your bike insurance purchase decision, you’re certainly going to find the best plan ideal for your specific needs.