Motorcycle insurance is mandatory as per the law and you should choose the right kind of policy to cover various kinds of risk factors. You should be aware of the various discounts offered by insurance companies. The information shared by experts will helpyou settle for the best bike insurance policy.
Tips To Choose A Cost-Effective Insurance Policy
- Choose The Right Bike – You are advised to choose the right bike to fulfill your long-term maintenance needs. The premium for an expensive bike is higher than the premium payable for small bikes. Hence, you should choose a bike which can fulfill your needs. The bike insurance premium is also based on the cubic capacity of the vehicle. As the cubic capacity (CC) increases, the insurance premium will also increase.
- Insuring A Lapsed Policy– If you insure a lapsed policy, the premium will be high. Hence, you are advised to renew the policy before or on the deadline. By renewing the policy before the expiry date, you will get various kinds of discounts on the insurance premium.
- No-Claim Bonus– No-claim bonus (NCB) is applicable while renewing an insurance plan. If you had not claimed the policy in the previous policy year, you are eligible for a no-claim bonus. The NCB varies from 20% to 50%.
- Compare Insurance Plans– You are advised to compare insurance policies offered by various insurance companies. The bike insurance calculatoris available on the website of the insurance company so that various kinds of calculations can be done very easily.
- Choose The Right Feature– While buying an insurance policy, you should choose features that are relevant to your bike, place of living and other parameters. The risk factors that are irrelevant to your needs can be omitted.
- Avoid Small Claims– The small claims should be avoided. If you claim the policy for small amounts, the premium will increase. Hence, the claim should be made judiciously.
- Enhancement Of Security Features– By enhancing the security features of your bike, you will have better control over the vehicle. The vehicle theft can be prevented. Hence, you should go for safety accessories which are approved by the Automotive Research Association of India (ARAI) so that the insurance premium will decrease and there will be absolute peace of mind also.
- Inclusion Of Add-Ons– Various kinds of add-ons will cover risks prominently. However, you should choose add-ons judiciously. Some of the popular add-ons are roadside assistance, NCB cover, zero depreciation cover, personal accident cover and hospitalization cover, etc. should be opted as per your needs.
- Multi-Year Vehicle Insurance Policy– You are advised to choose a multi-year vehicle insurance policy. When you go for a multi-year vehicle insurance policy, the premium will be the same for all the years. You will get protection from the hike in premium as well.
- No Claim Bonus Protector– You are advised to choose a no-claim bonus protector so that you can make the most of your investment. When you are involved in an accident after accumulating a large percentage (30% or more) you should take steps to protect the no-claim bonus. If the bonus is not protected, it will become zero and you should pay higher insurance premium.
- Clean Riding Record– Your riding record will have an impact on the insurance premium. If you maintain a clean record, the insurance premium will be low. If you are involved in serious traffic violations and get tickets, you will want to pay a higher premium. The insurance company will assess the risk and will increase the premium for the coverage of various risk factors.
- Transfer Of Policy– when you buy a second two-wheeler, you should not forget to transfer the insurance policy. If you buy an old bike, the insurance policy should be transferred from the old bike owner to the new bike owner. The insurance company will give you a certain time period to transfer the policy and it should be before the deadline.
How to buy the right bike insurance policy?
To buy the right insurance policy, you should perform the following steps:
- Online research– To buy the best bike insurance policy, you are advised to do the research about various kinds of insurance products. The policies offered across insurance companies should be compared so that you will settle for the best product. You can make an informed decision when you buy the policy after online research.
- Figure out your needs– You should figure out your insurance needs and a matching policy should be bought as per your convenience. If you buy a third-party policy, the insurance premium will be low. However, the own damage will not be covered. Hence, you should buy an insurance policy that covers own damage as well as third-party cover.
- Long-term policy– Insurance companies are offering long-term policies to fulfill the needs of various kinds of customers. If you buy a long-term policy, there will be coverage of the vehicle for 3 or 5 years. For new vehicles, a long-term policy is ideal. The premium will be fixed for all the years. Even though the insurance regulator (IRDAI) increases the premium, there will not be any impact on your policy.
- Insurance aggregator– If you avail the services of insurance aggregator, it is possible to buy an insurance policy at the best price. The insurance quote will be generated quickly online. You will come to know the options available from multiple sources. The option that best fulfills your needs can be exercised. You will not want to fill multiple forms when you use the services of insurance aggregator’s website.
- Driving course– By undergoing the special driving lessons recognized by insurance companies, you can get a discount on the insurance premium. There will be an improvement in your driving skills and it will help you drive safely.
- Deductible adjustment– You can make an adjustment to your deductible so that the insurance premium will decrease. If you opt for a higher deductible, you will pay higher out of pocket expenses while claiming the policy. The insurance company will pay the rest of the amount after deducting the deductible amount.
- Annual mileage– The annual mileage will have an impact on the insurance cover. If you can reduce the mileage per year, the risk on the road will decrease. Hence, the insurance company will collect a lower premium to cover your vehicle.
- Roadside assistance– It is a special rider which can be added to get assistance on the road. The insurance company may provide fuel and alternate vehicle as per the conditions of the insurance policy.
- Switch to a different insurer– In some cases, you will want to switch to a different insurance company. If you are not satisfied with the service offered by the current insurance company, you can switch over to another insurance company. In fact, it is possible to cancel the existing policy as well. The insurance company is bound to return the unused premium.
- Intimation to the insurance company– If there are any changes to the bike or insured person, the information should be shared with the insurance company. By sharing the information quickly, you will not get a rejection of claims or a delay in processing your claim. As a matter of fact, the changes made to the engine and other important aspects should be shared with the insurance company.
- Cashless garage service– While selecting an insurance policy, you should choose the company which offers cashless garage service. The insurance company should have access to a network of garages in your area so that you can make the most of your investment.
- Exclusions of the policy– The insurance company will mention various exclusions in the insurance policy. You should be aware of those exclusions. There will not be an unpleasant surprise when you are aware of these exclusions.
- Intimation of claim– The intimation of claim should be made as per the terms and conditions of the insurance company. Some insurance companies will settle small claims instantly. Hence, you should be aware of the claims process.
- Nominee information– The nominee information should be mentioned in the insurance policy correctly. If you fail to mention the nominee information in the insurance policy, the beneficiary will not get the amount. The nominee details can be updated later and it can be done any number of times as per the need.
- Buy online– If you buy an insurance policy online, you can eliminate the brokers and mediators. The insurance company will reduce the administrative expenses and it will be able to offer the insurance policy at the best price.
You should choose a bike insurance policy to protect your interests on a long-term basis. The bike insurance policy is mandatory in India and you should possess at least a third-party bike insurance plan. If you are aware of the various kinds of discounts, you can buy the right policy to fulfill your needs! It is very much important to assess your insurance needs on an annual basis or as per the changes made to the vehicle or location. A comprehensive policy will cover most of the risk factors and delivers optimum protection!