How to Buy Two-Wheeler Insurance for Second-Hand Bike

  • Author :
  • TATA AIG Team
  • Published on :
  • 05/05/2021

Owning a bike or two-wheeler is exciting but opting for the right one is probably one of the hardest decisions. If you have a low budget, a used bike has the edge over a new vehicle, as the second-hand bike’s price is considerably lower. Moreover, since buying an insurance policy for a bike is mandatory in India, the premium cost adds to the monthly expenses. Thus, it is recommended to buy a second-hand bike that is within your budget. Ensure that you go through tips on how to buy a second-hand bike before you proceed with the purchase.

Second-hand bike insurance

Nevertheless, even if you decide to go for a used vehicle, it is absolutely essential to get it insured.

Here are the answers to why and how to buy a second-hand bike insurance plan for your preloved two-wheeler.

Similar to regular motor insurance, second-hand two-wheeler insurance protects you from damage and losses caused to a third party or yourself while riding your pre-owned bike. Also, you cannot be sure of the wear and tear the vehicle has suffered in the hands of the previous owner. The following pertinent reasons make insurance cover for your used bike a necessity:

Vehicle damage: The insurance plan covers the repair costs for any damage to your bike.

Third-party liability: If you hit someone by mistake, you are liable to compensate for their losses and bear the treatment costs for bodily injuries they sustained, if any. The insurance cover helps you pay for such expenses.

Personal accident cover: If you get hurt while driving your insured bike, your two-wheeler insurance plan provides a payout to care for the medical expenses. Additionally, your beneficiaries receive a lump sum payout in case of your unfortunate demise due to an accident involving your vehicle.

Comprehensive insurance policy for the bike: A comprehensive plan combines all the features and covers mentioned above to offer you all-round coverage. Before buying insurance, you should look into the policy features and benefits. But you also need to consider factors such as the insurance company’s claim settlement ratio, paying capability, and customer service history.

Factors that motor insurance companies consider before offering insurance for second-hand bikes:

Driving license: You cannot avail of second-hand bike insurance unless you possess a valid driving license.

Vehicle’s history: Before offering a cover, insurance companies examine if the used two-wheeler went under any modification or repair after a major accident. A history of repairs can lead to a higher premium.

● **Availability of spare parts: **If your vehicle’s spare parts are available easily, then you can get insurance at a low premium.

● **Probability of theft: **It is easier for burglars to disassemble the parts of an older bike. Therefore, they are more likely to be stolen than new ones.
● **Vehicle’s safety score & other risk factors: **Purchasing a standard bike with a high safety score can get you insurance for the bike at lower premiums.

Tata AIG Motor Insurance for Used Bikes

Tata AIG, a leading two-wheeler insurance provider in India, offers a comprehensive policy that meets all your concerns. The insurance plan covers the following benefits to keep your finances safe against unforeseen events relating to your cherished two-wheeler:

● Damages to your preloved bike due to accidents, fire, explosions, terrorist activity or malicious acts, natural disasters like cyclones, earthquakes, and more.

● Reimbursement for any damage done to the third party or their property due to an accident caused by your insured two-wheeler.

● Personal accident cover for the owner-driver providing financial protection in the unfortunate event of death, permanent disability, or loss of limbs or eyesight. Tips to purchase an insurance policy for a used bike

Select the right insurance type: If the second-hand bike you have purchased is quite old, not requiring high expenditure on repairs, it might be enough to buy just a third-party liability cover. But for a relatively new second-hand superbike, it is advisable to buy a comprehensive insurance plan including agency repairs.

Buy bike insurance online: It saves your time and also lets you compare various bike insurance policy benefits, premium cost, and other factors to help you select the right plan. Tata AIG makes buying Comprehensive, Third Party, and Own Damage online insurance of a two-wheeler even more hassle-free. You just have to enter your Bike Registration Number, and you are good to go.

Steps for purchase or renewal of two-wheeler insurance for a used bike with TATA AIG

● Visit the website ● Enter your Bike Registration Number to get the premium quote. ● Pick the coverage you prefer. ● Input all the necessary information. ● Select from add-ons such as Depreciation Allowance, Consumable Expenses, Additional Personal Accident Cover for owner-driver, and more. ● Pay the premium.

You will receive the renewed insurance copy at your mail address soon.

Before you zero down on an insurance plan, you can use the Tata AIG Bike Insurance calculator to check the premium rates and understand the extent of coverage. With its transparent and comprehensive two-wheeler insurance plan online, Tata AIG is here to help you navigate through your bike insurance needs effortlessly!

A quick guide to used bike purchase and insurance with some FAQs

What is the procedure for buying a second-hand bike?

● Collect the vehicle’s original invoice ● Get the Registration Card (RC) transferred to your name ● Collect NOC from the bike loan provider stating loan clearance ● Obtain the purchase agreement ● Collect the RTO road tax receipt copies from the vehicle’s owner ● Transfer the insurance plan for the bike in your name ● Take out the pollution certificate ● Get the payment documents and receipt signed by the seller

Can I insure a second-hand bike?

Yes, you can insure your used bike. Remember to compare the policy features, additional benefits, and the insurance provider’s claim settlement ratio before buying.

What are the things to check before buying a used bike?

● Physically inspect the bike to find out if it has any scratches or signs of accidents ● Start the bike, and check if its indicator, lights, and horn are working properly ● Check the VIN, Chassis number and engine number of the bike ● Check all the documents carefully ● Ask the owner about the frequency of the bike servicing ● Take a test ride on a bumpy road to evaluate its performance Should I buy a second-hand bike? Purchasing a two-wheeler that has been used just for a few months can be economical. Moreover, the vehicle’s age reduces the premium cost and helps you save more money.

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Disclaimer / TnC

Your policy is subjected to terms and conditions & inclusions and exclusions mentioned in your policy wording. Please go through the documents carefully.

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