Several two wheelers on the Indian roads are not insured. Due to lack of a valid bike insurance policy, the vehicle owner will have to bear all the medical costs or bike repairs on their own, which can be very expensive.
The two wheeler insurance covers you against damages that your bike or scooter may incur due to any unforeseen events. A two wheeler insurance policy helps in reducing the burden of exceptionally high costs that may arise due to damages caused to your bike by the occurrence of an accident, natural disaster and so on.
Under the Motor Vehicles Act of 1988, all vehicle owners must have at least a third party insurance cover.
It is preferred to buy a long term two wheeler insurance as you can overlook the hassle of going through the renewal process time and time again for 2 to 3 years.
If the long term two wheeler insurance policy coverage isn’t enough for you then you can extend its coverage by opting to add riders in it. Riders are add-ons that can be added to bike insurance policies by paying an extra premium. Common riders include roadside assistance, personal accident cover, etc.
Benefits of the two wheeler insurance policy
As with any insurance policy, this comes with its set of advantages. In fact, there is nothing but positives here.
The biggest benefit of long term two wheeler insurance is that one need not renew the policy year on year. It is valid for up to the number of years chosen, be it 2 or 3 years as of now.
It has been noted that for many policyholders it is quite cumbersome to keep track of their two wheeler insurance renewal date, especially if they have more than one policy. And even if they do remember the renewal date, there might be times when they might forget to make the payment.
The premium rates for third-party insurance are rising every year. The Insurance Regulatory and Development Authority (IRDA) increase’s the premium for third party covers every year. However, if you have opted for a long-term insurance policy, you can avoid these yearly hikes and stay with a stable premium rate for three years.
The insured is protected against hike and premium increase towards two wheeler insurance third party premium and other charges.
No claim bonus
No Claim Bonus [NCB] is a reward for not filing an insurance claim in the previous year. The NCB can be accumulated over a period of insurance. The NCB will not become nil in case of one insurance claim during the currency of the policy. The insurers mostly offer a higher NCB after the completion of a three-year policy as against the cumulative NCB which has been accumulated in the short-term policies.
The benefits speak for themselves and so it is highly recommended the bike riders go in for a multi-year/ long term two wheeler insurance policy to safeguard themselves. This works well for those who typically hold on to a bike for 3 years or more.