Two Wheeler Insurance

1
Two Wheeler Insurance Points to Remember
2
Types of Policies

• Liability only policy
• Third-party mandatory policy.
• Covers physical injury or damage to property or
  death of third-party.
• Accident cover is also included if the owner is
  driving.
• Package policy/Comprehensive plan
• All of the above is covered(mentioned in
  liability only policy).
• Includes damage to your two-wheeler caused by
  self.

3
Features of Bike AffectingPremium

• Cubic capacity of your bike Indian Motor Tariff
  has categorized two-wheelers- 0-150CC, 150-350CC,
  350CC and above.
• With cubic capacity, premium increases.
• City of purchase/zone Zone A- Ahmedabad, Delhi,
  Chennai, Hyderabad and Kolkata Zone B- rest.
• Higher premiums are levied on Zone A than Zone B.

4
Coverage as per requirement

• Variety of 2 wheeler insurance cover to choose
  from based on requirement.
• Example Pillion insurance, Vandalism cover,
  Collision coverage.
• Advantage of getting an uninsured motorist cover
• Accident involving an uninsured rider, you end up
  bearing all the loss and no claim.
• Uninsured motorist cover helps you claim in such
  cases.

5
No Claim Bonus

• NCB is the discount you can avail for every
  claim-free year of your insurance term.
• 20 for the first year without claim, increases
  to 25, 35, 45 till 50 for the following years
  that see no claim.
• Third-party claim limit
• Rs.1,00,000 Insurers limit to third-party
  damage claim
• Motor Vehicles Act allows you to limit the
  third-party insurance cover to Rs.6000 only.

6

• Insured Declared Value(ISD)
• Value for which the two-wheeler is insured is
  ISD. Fixed during the term of the policy.
• Based on vehicles age, manufacturers selling
  price and depreciation.
• Ownership change
• Your bike insurance can also be transferred when
  you sell your bike.
• You must keep the insurance company informed
  within 14 days and provide all details of the
  motor.

7

• Vehicle Change
• Your two-wheeler insurance can be continued to
  the next bike you buy, provided the premium is
  prorated and the selling price of the new motor
  is as same as the old one.
• Processing Claims
• Inform the insurer in case of a damage to your
  two-wheeler.
• Insurer will settle claim.
• In case of CTL, that is when damage to your
  two-wheeler exceeds 75 over and above the IDV,
  the insurer grants you the IDV.
• The IDV granted is reduced in value after
  deduction of depreciation on motor parts.

8

• Two Wheeler Insurance is a necessary
  pre-requisite before you invest in a bike. By
  deciding to opt for an insurance policy for your
  motor, you can ensure protection of your bike as
  well as earn some peace of mind.