Importance Of Two Wheeler Insurance
The things that we value most often need protection. Just why there are various types of insurances – Life Insurance to protect loved ones, Health Insurance to protect savings, Travel Insurance to protect memories and Vehicle Insurance to protect vehicles.
Why do You Need to Insure Your Two-wheeler?
With each one of us wanting to save on time and resources, a two-wheeler is now considered the most convenient mode of transport. But while using a two-wheeler comes with its benefits, it also brings along its share of risks. To start with, there is always the risk of the rider or the pillion meeting with an accident, which may leave them with injuries and the vehicle with damages.
A two wheeler insurance policy can help alleviate these risks. Tata AIG offers a comprehensive bike insurance policy.
What is a comprehensive bike insurance policy?
A third-party bike insurance policy pays only for damages caused to a third party. Alternatively, a comprehensive protection policy covers the bike, you (the owner-driver) and the third party. This policy also covers both natural and man-made calamities. Plus, by adding a small additional fee, you can include multiple add-ons.
Here’s a detailed explanation of why bike insurance is important
Mandated by the law – The Motor Vehicles Act of 1988 made third-party bike insurance mandatory by law in India. Any two-wheeler – old or new, must have valid insurance (at least third-party) to ply on the Indian roads.
Avoid Penalties – Considering vehicle insurance has been mandated by the law under the Motor Vehicles Act, not having one can attract a penalty or fine of ₹2000 or imprisonment up to 3 months. The second offence can attract a fine of up to ₹4000 or imprisonment up to 3 months.
Financial Protection – Vehicle Insurance for your two-wheeler can shield you from the financial damage arising from an accident, theft, or third-party liabilities.
Accidental Injuries – Vehicle insurance does not just cover damages sustained by your vehicle. The Personal Accident Cover, which is now a compulsory part of comprehensive bike insurance, also covers injuries that you may have suffered due to an accident.
No Claim Bonus – If you don’t raise a claim within the first year of your two-wheeler insurance policy, insurance companies let you avail of a No Claim Bonus. This NCB is a discount of sorts for riding safe and not registering any claim. The NCB in bike insurance is adjusted against the premium and can go up to 50% when you don’t make a claim for 5 consecutive years.
Cost of spare parts – With the rising cost of vehicles, spare parts have become very expensive. A comprehensive bike insurance policy covers the cost of replacement for these parts.
Roadside Assistance – A two-wheeler insurance policy can also help you get roadside assistance like towing, minor repairs, fuel emergency, or flat tyres. Tata AIG offers a comprehensive roadside assistance add-on at a nominal premium to take care of your needs in case of a roadside emergency.
Peace of Mind – An overarching benefit of buying a two-wheeler insurance policy from Tata AIG is the peace of mind it brings with it. Tata AIG’s two-wheeler insurance policy also covers your vehicle from the following:
- Natural Calamities like hurricanes, thunderstorms, explosions, earthquakes, landslides, floods, fire, cyclones etc
- Man-made disasters involving robbery, thefts, malicious acts, collision strikes, accidents, injuries etc.
Further add-ons to your insurance policy can benefit you in the following ways –
Depreciation Allowance: Under this add-on, Tata AIG pays the policyholder the depreciation amount, which would be deducted on the value of the spare parts replaced under the damage claim.
Return to Invoice: If an accident leaves you with a bike that is a total loss or in case of a theft, this add-on allows Tata AIG to pay the policyholder the difference between the amount he may receive and the invoice value of the two-wheeler.
Consumable Expenses: With this add-on, Tata AIG covers the cost of consumables that need to be replaced in your two-wheeler due to damages arising from an accident. These consumables include nuts & bolts, screws, radiator coolant, washers, grease, lubricants, gas of the air conditioner, bearings, distilled water, brake oil, engine oil, fuel filter etc.
Emergency Medical Expenses: In the event of an accident, Tata AIG will reimburse any medical emergency expenses during the treatment of injuries sustained by the policyholder in a medical institution. It shall also cover any ambulance charges incurred from shifting the injured from the site of the accident to the hospital, along with the cost of supporting items, if any.
Additional Personal Accident Cover to Owner Driver: If opted for, this add-on provides additional personal accident cover for the registered owner of the vehicle.
Additional Third-Party Property Damage Cover: This add-on provides additional cover against third-party property damage over and above what is mentioned in the policy.
Additional Personal Accident Cover to Unnamed Persons: This add-on provides protection or extra cover for an unknown, unnamed pillion in direct association with the two-wheeler. If an accident results in the death or injury of an occupant of the two-wheeler, the same shall be covered under this add-on.
But make sure you buy your two-wheeler insurance policy only after you analyse all the benefits and features that come with it. Do the right thing, the responsible thing. Don’t undermine the importance of two-wheeler insurance. Look at Tata AIG’s two-wheeler insurance as an investment in security than a mere accessory for your vehicle.