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Two Wheeler Insurance For 5 Years
- Author :
- TATA AIG Team
- Published on :
Two-wheelers are considered to be far more prone to traffic accidents than other automobiles. Therefore, it is critical to purchase comprehensive insurance for 2 wheeler coverage to assure continuing security of your bike/scooter from mishaps and other threats. As a result, every two-wheeler owner in India must purchase a bike insurance policy that insures him and his bike for his protection.
It also provides protection from a variety of environmental and man-made disasters. Aside from that, your bike is insured against damage caused by unanticipated events such as theft, personal injury, third-party responsibility, etc. This is why the government of India has come out with new bike insurance rules for the safety of riders.
As of late, the government has come out with the new two wheeler insurance for 5 years. This bike insurance for 5 years is now mandatory. Making 5-year insurance for bikes mandatory was done by the IRDAI or Insurance Regulatory and Development Authority of India, owing to the increasing number of bikes on the road.
The decision was also taken so people would be more careful while driving their bikes and reduce the incidence of accidents. But when it comes down to maintaining a bike insurance policy for 5 years, it becomes increasingly important to get the right insurance for a 2 wheeler for yourself and your bike.
5 Year Insurance Policy
A Supreme Court judgement in September 2018 caused IRDAI to amend its policy to require bike insurance for 5 years mandatorily. The new bike insurance rules’ goal is to ensure that as many two-wheelers as possible are insured and to limit the frequency of accidents caused by lapsed or expired insurance or uninsured vehicles. Let's take a closer look at how this works.
It's worth noting that only third-party insurance for two-wheeler plans is required to have 5-year two-wheeler insurance. So if you purchase a comprehensive two-wheeler insurance policy, your policy will last three years rather than five. The Motor Vehicles Act of 1988 already requires a minimum of third-party coverage. If you are seen driving on the road without a third party bike insurance policy, you could face heavy fines and lose your licence. This law has made bike insurance for 5 years mandatory.
The Two Types of Bike Insurance Policies Available
Third-Party Insurance: The most common two-wheeler insurance is third-party insurance, which does not cover the owner’s bike’s damages. Nevertheless, damage done to a third party when involved in an accident will be insured up to a certain sum.
Comprehensive Insurance: Comprehensive insurance protects the policyholder's two-wheeler from theft, damage, or loss, third-party responsibility, personal accident coverage, and own damage. Under personal accidental coverage, damages to the rider or the owner are covered up to a specific maximum. Although comprehensive insurance is not required by law, it is recommended that you get it because it covers all potential damages. In addition, if you want to include add-on covers, comprehensive insurance is the way to go.
Choosing the Right Two-Wheeler Insurance for Five Years
Choosing the appropriate insurance for a 2 wheeler plan for your needs is a significant decision since any misstep can lead to future issues. As a result, you must be cautious about what you purchase. Before making a decision, it's always a good idea to consider a few key factors. Use any reliable website to research and compare two-wheeler insurance options on the market, and pick the one that best fits your demands and budget.
If you choose a policy for 5 years, it becomes even more important to choose the right one. It is always recommended that you choose a comprehensive bike insurance policy rather than a third-party one. The 5-year insurance policy has been made so that you put more thought into the insurance you choose.
Tata AIG offers you both third-party and comprehensive bike insurance policies. Our policies don't only fulfil the new two wheeler insurance for 5 years criteria, but give you so much more. You get access to a network of cashless garages all over the country, an online application procedure and affordable rates, all with the trust that comes from the Tata name.
5 Year Bike Insurance Price
The 5-year bike insurance price depends on a variety of factors. These factors include the model of your bike, the price of your bike, your location, your income, etc. While there is no way of determining what you will pay for your two-wheeler insurance for five years, you can get an idea of the same by using Tata AIG’s bike insurance premium calculator. You just need to input the variables and get a quote in no time.
How Does a 5 Year Insurance for Bikes Help?
You may feel as though these new bike insurance rules come as a burden on you, but in reality, you benefit greatly from it. Here is how:
No insurance challans: Riding a motorcycle without insurance is illegal in India, and you will be fined. These are the receipts for any traffic violations you commit. You can drive the motorcycle with no insurance-related charges in your name if you have long-term coverage. Thus, the 5-year insurance policy is helpful.
No Claim Bonus: This is more important in the context of the Own Damage Policy. When you avoid filing claims on your OD policy, you can save a lot of money. For example, if you don't file a claim for five years in a row, you'll earn a 50% discount. Thus, you can now get a huge NCB if you have a 5-year two-wheeler insurance.
Low premium: A long-term coverage's annual cost is always lower than a short-term policy. Long-term policies are thus less expensive. In addition, you'll get ongoing Third-Party Liability coverage for five years and short-term OD coverage. Thus, the 5-year insurance policy is certainly great.
Insurance refund: If you want to cancel your policy before it expires, you will often receive a reimbursement for the outstanding policy term. Thus, 5-year insurance for bikes can be helpful.
Less stress: You won't have to think about updating your insurance every year or remembering when it expires. This relieves you of the bother and time spent renewing your insurance policy. Thus, you will have fewer things to worry about if you have a 5-year two-wheeler insurance.
Thus, it is important to remember that this two-wheeler insurance for five years has been made, keeping the interests of the general public in mind. You may find it too much to worry about or a financial burden, but at the end of it all, you will profit from it. Since you know that insurance is mandatory, ensure you get the best one possible for your bike. You can visit Tata AIG’s website, compare policies, and choose the one that fits.