According to data from the Ministry of Home Affairs published in 2009, two-wheelers are either the source of or involved in over 21% of accident fatalities in India. (Source: NDTV India). In addition to being more prone to accidents, two-wheeler drivers are much more likely to come from lower- or middle-class backgrounds. This implies that they cannot afford to have a collision.
Living pay-check to pay-check, as the majority of Indians, do, and then getting into an accident that requires bed rest or requires you to pay out of pocket for repairs can have a significant adverse influence on your future. Due to these reasons, having an insurance policy for the bike is a necessity nowadays.
There are two categories of two-wheeler insurance. The first provides comprehensive insurance for two-wheelers, and the second one provides coverage for third-party liabilities.
Comprehensive insurance for two-wheeler provides coverage for any damages to your vehicle and injuries you might sustain while also extending this advantage to the third party. Whereas third-party insurance cover only includes coverage for third-party liabilities. Now, let’s look at the key reasons why you should be purchasing a comprehensive insurance policy for your bike.
What is Comprehensive Two-Wheeler Insurance?
If you’re on the hunt for an insurance policy for a bike and are now wondering what comprehensive insurance for a two-wheeler is, it’s a policy that provides your two-wheeler with a 360°coverage, including protection against third-party liabilities and standalone damages.
Therefore, in case of an accident, a policyholder can file a claim under comprehensive policies for both third-party and vehicle-related losses or damages.
Since these policies cover both third-party and bike owner’s vehicle liability, comprehensive insurance for two-wheeler is ideal for bike owners.
Key Reasons to Get Comprehensive Two-Wheeler Insurance for Your Bike
As discussed above, a comprehensive insurance policy for bikes offers diverse benefits to both the owner and the third party. The top five reasons to purchase comprehensive insurance coverage for your two-wheeler are as follows:
- Broad coverage: Compared to third-party insurance, which provides only minimal coverage, comprehensive insurance for two wheeler offers a much more thorough and all-inclusive level of protection. Comprehensive bike insurance protects against theft, loss, and damage caused by accidents, fires, terrorist attacks, and other calamities.
- Financial protection against accidental damage & injury: Accidents primarily drive the need for bike insurance. They are widespread; hence, you must get protection against such unforeseen situations. The best way to protect yourself against these regrettable dangers is with a comprehensive insurance policy for bikes. The expense of the injury and damages brought on by accident is backed and covered by the insurance company.
- Guards against weather-related calamities: One drawback of third-party insurance is that it only pays for the losses incurred by any other parties engaged in collisions or accidents involving you. It wouldn’t protect you in circumstances where a third party isn’t present, like a weather catastrophe or a natural disaster. This could be a natural disaster like a flood, an earthquake, or anything else. Hence, if you have comprehensive insurance, you are protected from any damages caused by a natural disaster.
- Protection against man-made acts: Additionally, you get coverage against human-caused crimes like theft or burglary that could harm your vehicle. Third-party insurance would not protect you in such circumstances; hence comprehensive insurance is strongly recommended. In case of the total damage of the bike or theft, it would assist you in recovering a substantial proportion of the financial losses.
- Protection against third-party liabilities: Comprehensive bike insurance combines third-party and own damage coverage; therefore, it offers all the advantages of third-party insurance. It will cover all the costs you incur if you cause an accident involving a third party, such as injury claims or medical expenses for the third party. Therefore, there is no excuse not to purchase comprehensive bike insurance since it will protect you in all situations where third-party insurance would not.
- Protection against rider’s death or disability: This is an advantage of a thorough two-wheeler policy—its broad inclusiveness. It not only covers medical expenditures in the event of a bike accident but also offers financial protection if the rider becomes physically disabled entirely or partially, as well as death benefits if the rider dies.
- Add-on protection: The comprehensive policy allows you to add various add-ons to your insurance coverage. On the contrary, a third-party policy lacks this benefit. Beneficial add-ons such as roadside assistance, zero depreciation, engine protection, etc., are only available with comprehensive bike insurance.
Factors to Consider When Buying Bike Insurance
It’s important to keep several important factors in mind while buying an insurance policy for a bike. Some of them are –
1.Type of Insurance: There are three types of bike insurance policies:
- Comprehensive Insurance
- Standalone Own Damage Insurance
- Third-party Insurance
When it comes to third-party insurance, the insurer only provides assistance for damages done to a third party or their vehicle. In contrast, a standalone own-damage policy merely covers you and your vehicle and does not cover third-party claims. Nevertheless, comprehensive insurance protects the policyholder and compensates for third-party losses. Therefore, experts strongly recommend getting comprehensive insurance.
- Coverage: Accidents, fires, natural disasters, theft, and other risks are covered by comprehensive bike insurance. If the comprehensive damage coverage option is available under your bike insurance policy, you ought to have it.
- Credibility of the insurance provider: Credibility should be your top priority when choosing a bike insurance provider. Verify the company’s credibility by reading customer reviews and its social media accounts.
- Insurance renewal: Both purchasing and renewing bike insurance are crucial. As it is not a one-time process, the insurance should be renewed before the expiration date. Keep in mind that renewal of your bike insurance is necessary to maintain your coverage.
Keeping the increasing number of accidents and other factors in mind, a comprehensive insurance policy for bikes seems like a much better option. So, ride wisely and insure your car with a comprehensive insurance plan right away!
Disclaimer: The above information is for illustrative purposes only. For more details, please refer to policy wordings and prospectus before concluding the sales.