Is it Necessary to buy Two-wheeler Insurance?
It is a legal requirement for every bike owner to purchase two-wheeler insurance. Riding without one is illegal and a punishable offence. However, bike insurance is more than a legal obligation; it is a necessity. Read this article to understand the importance of two-wheeler insurance.
Bike insurance reduces the financial stress that might occur due to an unfortunate event. It protects a policyholder’s vehicle from physical damages caused due to natural and human-made calamities. It also provides coverage against theft and accident. Without an insurance plan, a bike owner will have to pay for the repair costs from his/her pocket. Thus, to ensure financial safety, every bike owner needs to purchase two-wheeler insurance.
The Importance of Two-wheeler Insurance
Bikes are more susceptible to road accidents as compared to any other type of vehicle. Therefore, insurance of two-wheeler is a necessity. With a two-wheeler insurance policy, bike drivers meet the legal requirement as well as protect themselves from a variety of dangers.
Here are some of the benefits of purchasing two-wheeler insurance–
- If a policyholder’s vehicle gets damaged in an accident, then the insurer provides financial assistance to repair his/her bike.
- Another essential benefit is that bike insurance protects against damages to the third-party vehicle or personal assets.
- Two-wheeler insurance protects policyholders from natural disasters like storm, flood, cyclone, earthquake, hurricane, hailstorm, etc.
- Human-made calamities such as burglary, riot, terrorist activity, strike, etc. are also covered in the policy.
- If the insured person’s bike gets stolen, then the insurance company covers the total loss of the vehicle.
- Policyholders can avail cashless claim settlement. However, this facility is only available at network garages.
Things to Consider Before Buying Two-wheeler Insurance
If you are planning to purchase a bike insurance policy, then keep these points in mind before selecting one-
Look Beyond the Premium Rate of a Policy
Buy a policy for its benefits and not its price. Often bike drivers purchase cheap insurance plans to save money. However, these policies might not provide adequate financial support. Such a mistake can prove costly in the long-run
Read more: Keeping Your Drivers & Fleet Safe
Most bike owners purchase third party insurance because it’s inexpensive. However, this policy doesn’t cover the insured person’s bike. This may result in out of pocket expenses in case of an accident.
Choose a Type of Policy Based on Your Needs
In India, most insurance companies offer two types of two-wheeler insurance – Third-Party Insurance and Comprehensive Insurance.
Read more: Are You a Responsible Family Member?
Third-party policies are cheaper, but comprehensive plans provide more extensive protection. Hence, you need to take a call based on your requirements.
Don’t buy a policy without research. By comparing multiple plans online, you can easily find the most affordable one.
Check the Insurance Company’s Performance
Select an insurance provider that has a high claim settlement ratio. Consult with your friends who own a bike insurance policy. Also, look for the customer reviews available online.
Read the Exclusions
Most policy buyers focus their attention on benefits and ignore the exemptions. Don’t make that mistake. Read all the exemptions before purchasing a policy.