Explore The Benefits Of Two Wheeler Insurance

Jayden Runolfsson | March 6, 2023 | 0 | Finance

A long-term bike insurance policy enables you to avoid the inconvenience of repeatedly going through the renewal process. A long-term policy offers protection against damages to your two-wheeler brought on by any unforeseen circumstances. It is common knowledge that two-wheelers are more susceptible to accidents on the road than other types of vehicles. Purchasing a thorough two-wheeler insurance policy is essential to ensure protection against accidents.

Two-wheeler insurance that offers security against a variety of natural and man-made disasters and safeguards a person and their vehicle. In addition to this, the car is covered from harm caused by unforeseeable events like theft, personal injury, third-party responsibility, and many more.

Advantages of long-term bike insurance

  • No requirement to renew policies annually – A two- or three-year insurance policy does not require you to keep track of the policy’s expiration date and renew it annually. It is practical since you can drive your car for three years without worrying.
  • Reduced insurance rate – The annual insurance premium for a long-term insurance policy is less than that of an annual insurance policy. The cost of premiums typically increases yearly due to inflation. By acquiring a long-term bike insurance coverage, you can protect yourself from the impacts of inflation because you pay the premiums three years in advance. By choosing a multi-year insurance coverage, you can also receive a number of perks. *
  • Lower risk of policy breach – Renewals of policies through offline means can occasionally become challenging. After having the car examined, the policyholder must declare a new IDV (Insured Declared Value). With a multiyear policy, you can be insured for a longer time at a reduced cost and avoid having to renew your two-wheeler insurance for another 2-3 years. *
  • Receive a no claim bonus – If you haven’t filed any claim bike insurance in the previous year, don’t forget to take advantage of the No Claim Bonus [NCB] while renewing your policy, whether online or offline. It is a perk you receive from the insurance in exchange for adopting safe riding habits. In the event that you purchase a multi-year insurance policy, it will be effective for the following years. *
  • Avoid fines and penalties – Riding a two-wheeler without a current insurance policy is a crime in India. In addition to the legal ramifications of a bike insurance policy, an insurance plan can be of considerable assistance during unforeseeable circumstances. You won’t be able to submit the claims listed on your insurance policy if the coverage is not active. A long-term two-wheeler insurance policy eliminates the possibility of lapse for an extended period of time. Additionally, it will save you from incurring pointless fines and penalties. *
  • An easy way to cancel a policy – A policyholder is not required to have the same auto insurance until the term of the policy expires by virtue of a long-term policy. They have the option to exit from the same policy whenever they want, and they will be reimbursed for any unused money. Before cancelling your current insurance policy, you should, however, purchase a new one. Ensure that you can keep your NCB even if you purchase a new insurance policy. *

Cons of a Long-Term Insurance Policy

Having long-term bike insurance can protect you from inflation-related premium rate increases. You won’t be able to benefit from a deflation in premium rates, though, so don’t count on it. If you sell your two-wheeler while the policy is still in effect, you can suffer some financial loss.

These benefits apply only as long as your bike insurance is still in force. It is crucial that you make a timely bike insurance renewal. Additionally, this will guarantee that you keep receiving the No Claim Bonus. *

* Standard T&C Apply

** Currently, there are 2 tax regimes in India – new and old. To get the tax benefit you desire, choose the correct one after consulting an expert. You can opt for a regime change during the next financial year.

# Visit the official website of IRDAI for further details.

## All savings are provided by the insurer as per the IRDAI-approved insurance plan. Standard T&C apply

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Insurance is the subject matter of solicitation. For more details on benefits, exclusions, limitations, terms, and conditions, please read the sales brochure/policy wording carefully before concluding a sale.

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