Two-wheelers are considered more than just machines by those who own them and are generally a source of joy and freedom. With the launch of newer mopeds now and then, streets are crowded with bikes.
That is why bike insurance can be viewed as health insurance for two-wheelers! After all, who wouldn’t want the most reliable machine in their life to be protected!
A bike or motor insurance policy is a binding and legal contract between the insured and insurer, in which the insurer provides a financial guarantee for your vehicle against damage or loss (as per specifications in the policy).
What do you understand by bike insurance?
Bike insurance can cover you for any injuries that may have occurred in an accident while driving your two-wheeler on Indian roads. The best way to calculate the premium is to go online and simply use a bike insurance premium calculator to get an estimate.
What is third-party bike insurance?
According to the Indian Motor Vehicles Act 1988, third party bike insurance is mandatory and no vehicle can be driven in India without the same. There is no escaping this insurance if you want to stay on the right side of the law!
The owner of the bike is liable to pay a hefty fine in absence of third party insurance while driving in India.
A third party bike insurance is essential for when your vehicle is at fault and the damage is done to another vehicle. This insurance safeguards you against financial responsibility when a third party person, vehicle, or property claims due to an accident, where the insured bike is at fault.
What is comprehensive insurance?
Comprehensive insurance is an extensive option available for a wider spectrum of possibilities. This insurance is not a mandate however is the preferred choice.
While insuring two-wheelers is an age-old and wise strategy, the digitization of the same has made it much easier to select and buy the appropriate insurance policy. Comparisons and computations can easily be done online.
Apart from third party liabilities, comprehensive insurance protects the bike owner against any damage to his vehicle in case of an accident. It guards your bike against natural calamities, thefts, accidents, damage while transportation, man-made and related disasters.
The biggest boon of this type of insurance is that you are covered in case you sustain any injuries while riding your insured bike.
Advantages of buying bike insurance online
The first and unmistakably stark difference between the two is the legal requirement. Third party insurance is mandatory, whereas comprehensive insurance is often recommended to reduce the financial burden in cases of emergencies.
Buying as well as renewals can be done with the click of a button. Apart from quick claim settlements and round-the-clock online support, the elimination of extra charges to get your bike the protection it deserves are also added advantages of the online facility. Insured Declared Value or IDV in bike insurance can be determined for your bike with the help of an IDV calculator. IDV is the maximum limit of the insurance coverage based on the valuation of your bike.
Difference between Comprehensive bike Insurance and Third Party bike Insurance
Comprehensive insurance is a wide umbrella under which several clauses are covered. It includes coverage for the insured bike as well as you in case of a mishap. Third party insurance only covers vehicle, property, or personal damages to the other party involved in the accident.
It may also provide coverage for the rider of the insured bike depending on the policy bought. Comprehensive insurance covers man-made disasters and natural calamities as well. Third-party insurance will not be applied in case of war, riots, or other such occurrences.
Along with taking care of third party liabilities, comprehensive insurance also covers you for the loss or theft of your beloved machine. Third party insurance has no such provision. It can be said that third party insurance is a subset of comprehensive insurance. Comprehensive insurance might have a higher premium but is more beneficial in the long run.
You are now armed with the knowledge to make an informed choice for your cherished companion. Choose wisely!
