Bike Insurance Policy Features and Key Points
Know Two wheeler Insurance features, Optimize your bike Insurance
Bike Insurance Policy Features: The segment of bike insurance policy has changed a lot after online companies have started two wheeler insurance. The online insurance companies like PhonePe, PayTm etc. are providing insurance in minutes that too without inspection of the bike. The big players have understood the competition created by these online companies. Considering this as a survival threat, the existing and major companies in two wheeler insurance are coming up with enhanced and new features of bike insurance policies.
Here in this article we will discuss such key features.
1. Comprehensive and Liability Only Coverage:
The major change in the policy terms is that now the rider has the option of choosing the comprehensive or liability-only policy. As per Indian motor act, the liability-only policy is mandatory for every bike owner. This bike insurance is to safeguard losses to owners as well as to third parties. But comprehensive two wheeler insurance is not a mandatory one. A comprehensive bike insurance cover protects against damages or losses to the insured vehicle. Also, it provides personal accident cover for the co-riders along with third party bike insurance cover.
Now the customer has the liberty and understanding of the difference between both. The bike insurance to save challans has become more affordable and people can easily buy this online.
2. Enhancement of Personal Accident Cover of Rs. 15 Lakh:
Insurance Regulatory and Development Authority (IRDA) has issued guidelines to enhance the compulsory personal accident cover from 1 Lakhs rupees to 15 lakh rupees. Every bike insurance policy has this inbuilt feature.
3. Optional Coverage:
This acts as a rider to the bike insurance and provides additional coverage which includes personal accident cover. The additional cover is given for pillion riders, enhanced cover for spare parts & accessories, zero depreciation cover etc. Although, the customer has to pay an additional amount to avail this feature, it is a beneficial feature which helps in claiming the bike insurance.
4. Transfer of No Claim Bonus (NCB) while renewal of bike insurance:
No claim bonus is given to the rider/driver/owner, if he has not filed any insurance claim in previous year while renewing the policy. This indicates the safe driving and compliance of traffic rules. Insurance companies give some discount in renewal premium as a reward to the customers.
5. Additional Discounts:
Bike insurance companies have come up with many discounts to their customers other than NCB. The discount is given on basic premium amount for availing membership of a recognized automotive association, discount for vehicles that have approved anti-theft devices, etc. The discounts are announced by the bike insurance companies to attract more customers and to cut the competition.
6. Online mode to purchase bike insurance policy:
To make the procedure easy and quick, the insurance companies have started to sell bike insurance through their websites and mobile apps. Some companies provide a direct purchase link to their customers to purchase or renew bike insurance. This has enabled the customer to compare and purchase the best suitable insurance. Also, this has made the insurer easy to follow-up with the existing customer for renewal of policy and preparing an online database of prospective customers.
Also read Bike Insurance: What is Covered and What is Not Covered Under Two wheeler Insurance Policy?
Bike insurance policy add on covers and their features
There are some features which a customer can buy additionally to enhance the coverage of compensation amount. Add ons is an additional coverage in existing insurance policy. However, the customer has to pay an additional amount to buy this feature. The Bike insurance policy features are more beneficial to the people who use their bikes very frequently like delivery purposes, long travelling, providing bikes on rent etc.
Here we have discussed some of the add-on covers which can be purchased with existing bike insurance policies.
List of add-ons
- Zero Depreciation Cover
- No Claim Bonus Protect
- Emergency Assistance Cover
- Daily Allowance Benefit
- Return to Invoice
- Helmet Cover
- EMI Protection
Let’s discuss each add-on in detail
Zero Depreciation Cover:
In case of mis-happening, when a customer claims for compensation amount, the insurer deducts the depreciation amount from the compensation amount. To stop this deduction and get the full amount for which the premium is paid, you can buy this add-on.
No Claim Bonus Protect
This add-on enables a feature in the existing bike insurance policy. The benefit is to get a discount of No claim bonus (NCB), even if you have filed a claim during the policy term. Generally, insurance companies do not provide any benefit of no claim bonus (NCB), if the customer has filed a claim during the policy tenure.
Emergency Assistance Cover
Often we have seen that bikes do not start at a lonely place or where there is no assistance available. To help in such scenarios, insurance companies offer this facility. This add-on can help you in various ways like tyre changes, minor repairs on-site, battery jump-start, towing charges, lost key assistance, replacement key and fuel arrangement amongst others.
Daily Allowance Benefit
If you have opted for this add-on and your bike is under repair, you will get a fixed amount daily till you get the bike ready. The benefit of daily allowance is given only when the claim is submitted through network garages.
Also read Online Bike Insurance Claim Process and Documents Required to Claim Two Wheeler Insurance?
Return to Invoice
The most exciting add-on is, Return to Invoice. This add-on provides the facility to get full original invoice value including registration and taxes, in case of total loss of vehicle. If you do not opt for this add-on, the insurer will compensate you with the “insured declared value (IDV)” of your bike, in case of total loss of vehicle. IDV is pre-decided and written on your policy document.
Helmet Cover
Nowadays, a good quality helmet is expensive. Buying a helmet again and again of the same quality may cost you more than the cost of this add on. If your helmet is damaged and you have purchased this add on, the company will get your helmet repaired or replaced. However, the replaced helmet will be the same model and type of helmet. The insurer will provide this compensation in case it was partially or totally damaged in an accident.
EMI Protection
Interestingly, by opting this add on, the insurer will pay the amount of instalment of your two-wheeler loan. This facility is activated if the bike is getting repaired at an approved garage following an accident.
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