Comprehensive bike insurance

Third party bike insurance policies are mandatory by law. They are insurance policies on your bike which cover you against financial liabilities if you harm any third party or damage a third party property. Moreover, comprehensive bike insurance plans also cover damages suffered by your bike.

Two-wheelers are very popular in India. People prefer a two-wheeler because of its convenience and economy. In fact, two-wheeler sale in the Indian market is booming. According to reports, the total two-wheeler sales in April – July 2017 increased by 9.23% against the sales in April-July 2016. During the same period, the scooter market posted a growth of 19.10%.

However, despite the popularity of two-wheelers, safety is ignored by many riders. According to reports published by National Crime Records Bureau, two-wheelers accounted for 29.3% accidental deaths in 2015.). Two-wheeler riders also forsake the compulsory bike insurance plans. In a data compiled by the Ministry of Road Transport and Highways, out of 19 crore vehicles registered in the country, only 8.26 crore vehicles are insured. Is it wise?

Two-wheeler insurance plans are compulsory by law. Yet, many individuals still ignore it as is evident from the figures. The main reason for this ignorance is a lack of knowledge. If you also don’t know about bike insurance plans, here is a detailed guide.

Types of bike insurance plans in India

In India, you get two different types of bike insurance plans. One is the mandatory third party liability policy while the other is a more inclusive comprehensive package policy. Let’s understand these two in brief –

  • Third party liability policy – A third party liability policy covers financial liabilities which you face if your two-wheeler causes injury, disability, or death of a third party or the owner. If you damage any property belonging to a third party, you would also get coverage for the financial compensation you are liable to pay up to Rs. 1 lakh.
  • Comprehensive package policy – As the name suggests, a comprehensive policy provides an all-round coverage for your bike. You get coverage for the mandatory third party liability cover. Moreover, if your bike suffers any damages you get coverage for those.

What does bike insurance cover?

A comprehensive bike insurance plan provides coverage also provided by a third party policy. So, here are the coverage features offered by a comprehensive plan –

  • Any financial liability which occurs when you accidentally injure any individual or an individual is killed/disabled in an accident involving your bike.
  • Financial liability which arises when you damage a property belonging to a third party.
  • Damages sustained by your bike due to natural causes like floods, earthquakes, hurricanes, etc.
  • Damages suffered by your bike due to man-made causes like fire, self-explosion, theft, malicious damages, etc.
  • Damages faced when the bike is being transported by rail, road, water or air.
  • Personal accident cover which is for the driver or owner of the bike in case of accidental injury, death, or disablement.

What all is not covered under comprehensive two-wheeler insurance?

The two-wheeler insurance does not follow certain expenses. The following are not covered-

  • Mechanical or electrical breakdown on an insured car.
  • Depreciation or wear and tear of the insured car.
  • Practices against the law like driving without a license.
  • Damage caused due to nuclear attacks or mutiny wars, events that are beyond compensation.

What All Is Not Covered Under Comprehensive Two-wheeler Insurance?

The two-wheeler insurance does not follow certain expenses. The following are not covered-

  • Mechanical or electrical breakdown on an insured car.
  • Depreciation or wear and tear of the insured car.
  • Practices against the law like driving without a license.
  • Damage caused due to nuclear attacks or mutiny wars, events that are beyond compensation.

Comprehensive Bike Insurance Vs Third Party Bike Insurance

Basis

Comprehensive Two-wheeler Insurance

Third Party Two-wheeler Insurance

Coverage

A comprehensive two-wheeler insurance covers own damage along with third-party liabilities like- bodily injuries/death and any property damage caused by the insured vehicle.

The third-party two-wheeler insurance covers only third-party liabilities, i.e., bodily injuries/death and property damage caused by the insured vehicle.

Add-Ons Availability

Add-ons like Zero Depreciation, Consumable Cover, etc can be included with a comprehensive insurance plan.

Add-on covers that are not available for this policy.

Nature of Requirement

It is an optional but more preferred insurance policy.

It is a mandatory policy that every car should have as per Indian Motor Tariff.

Cost

It is comparatively on the expensive side however the coverage is extensive too.

It is comparatively lower on cost but the coverage is much less as well.

Long-term two-wheeler insurance

IRDA has made recent changes in the context of bike insurance plans wherein the plans can be offered for longer tenures. In keeping with these changes, there are bike insurance plans which come with policy tenure of up to 3 years. You pay the premium once and you get coverage for 2 or 3 years as you choose. Both third party and comprehensive bike insurance plans are being offered as long-term plans. These long-term policies give you the benefit of lower premiums and cut down on the hassles of annual renewals.

Bike insurance calculator 

A bike insurance calculator helps you in calculating the premium that you will pay monthly, quarterly, or annually depending on the city your bike is registered, the year of bike purchase, the policy you choose, and the add-on covers. Having a clear idea about the premium will help you in planning your budget accordingly and also choosing the right plan. Make sure you use the Turtlemint Bike Insurance Calculator before finalising the insurance company and plan.

What are the benefits of buying a comprehensive bike insurance plan?

Buying an all-encompassing, comprehensive bike insurance plan can keep your mind at peace. If you meet with an accident, the insurance will protect the bike, the rider’s safety, and any kind of third-party liabilities. Some of the benefits of buying a comprehensive bike insurance plan are-

  • Covers repair expenses
    A comprehensive plan covers the expense incurred by you while repairing the insured bike.
  • Natural Disasters
    The policy offers against loss or damage incurred during a natural calamity like tsunami, earthquake, etc.
  • Man-Made calamities
    The policy offers to cover for any damage or loss caused to the insured bike because of man-made activities like theft, burglary, riots, etc.
  • Riders
    The insurance offers coverage to the rider for any personal injury incurred due to an accident while riding the insured bike. The rider does not need to be the policyholder but if the rider has a valid driving license, the insurance provider would compensate for medical assistance.
  • Covers death and disability
    The policyholder not only receives compensation for the rider’s treatment but also receives financial assistance in case of partial disability or a death benefit in the event of the death of the rider.
  • Covers all legal liabilities
    Other than the above-mentioned benefits, the comprehensive policy also covers legal liabilities incurred towards third-party in the event of a mishap. The policy provides coverage for vehicle loss, death, property damage, or any physical injury to the third party caused by the insured vehicle.

Significance Of IDV while selecting the bike insurance policy

IDV represents Insured Declared Value. It is the maximum amount that you would receive from your insurance company in the event of total damage or theft of the vehicle. When choosing an insurance policy, the premium sum is an important factor, but you should also remember to check out the insured declared value of your bike. It is recommended to invest in a policy with higher IDV because, in the event of complete loss of your two-wheeler, a higher IDV value would mean a higher reimbursement amount.

Why is it important?

A comprehensive bike insurance policy is important because –

  • It provides an all-inclusive cover which is not found in third party liability only policies.
  • It provides financial aid even when your bike suffers damages.
  • There are comprehensive add-ons available with the plan which increase the level of coverage.

What Is NCB in comprehensive bike insurance?

The No Claim Bonus or NCB is a reward that is provided to the policyholder by the insurance companies for a claim-free year. NCB benefit is offered only under own-damage cover which is covered by the comprehensive bike insurance. Due to the wider coverage of the comprehensive policy, the premiums of the comprehensive insurance plans are higher than that of third-party bike insurance.

The NCB benefit is cumulative and it could go up to 50% with successful claim-free years. The chart given below explains the calculation of No Claim Bonus(NCB)-

Claim Year

Percentage of NCB

1st Year

20%

2nd Year

25%

3rd Year

35%

4th Year

45%

5th Year

50%

Add-ons available

As mentioned above, a comprehensive bike insurance policy provides attractive add-ons. Some popular ones are as follows –

  • Roadside assistance cover – this cover gives you 24*7 assistance from the insurance company in case your bike breaks down in the middle of the road and you cannot get assistance from any garage.
  • Zero depreciation cover – when you make a claim for your bike’s repair expenses, the company deducts depreciation of the parts from the value of claim due to which, the claim amount paid by the insurer goes down. With zero depreciation cover you can get the full claim settlement as the effect of depreciation is ignored by the company.
  • NCB protect – if you don’t make a claim in your bike insurance policy, you earn a no claim bonus discount. This discount reduces your renewal premiums and also increases every claim-free year. One instance of claim, however, wipes out the accumulated discount. Through this add-on cover, you can protect your NCB even when you make a claim.
  • Cover for consumables – consumables like oil, grease, nuts and bolts, etc. are used when repairing your bike and are excluded from claim settlement. With this add-on you can include the cost of consumables too.
  • Medical cover – this add-on covers the medical expenses you incur if you are involved in an accident and are taken to a hospital for treatments.

Add-ons increase the scope of coverage and provide you comprehensive benefits. Though they involve an additional premium, the premium outgo is very minimal compared to the benefits provided by the add-ons.

Factors to consider when buying a comprehensive two-wheeler insurance policy

There are multiple comprehensive bike insurance plans available in the market. You should buy a plan only after comparing it with others. Here are the factors which you should consider before buying a comprehensive bike insurance policy –

  • Coverage features – though the coverage in all plans would include third party liabilities and own damage suffered, you can find various additional benefits inbuilt in the policy. So, look at the coverage features provided by the plan and understand them to know exactly for what you are covered.
  • Add-ons available – look at the add-ons which the policy provides and choose them based on your requirements.
  • NCB protect – if you don’t make a claim in your bike insurance policy, you earn a no claim bonus discount. This discount reduces your renewal premiums and also increases every claim-free year. One instance of claim, however, wipes out the accumulated discount. Through this add-on cover, you can protect your NCB even when you make a claim.
  • Insured’s Declared Value (IDV) – this represents the total effective coverage value and is calculated by deducting the age-based depreciation from the market price of the bike. You should choose a plan with the highest IDV to avail increased coverage levels.
  • Premium rate – the premium rate should be checked along with the coverage features. The best plan should provide comprehensive coverage at lowest premium rates.
  • Discounts – you should also check the available discounts which lower your premium outgo.

Reasons to buy a comprehensive bike insurance policy online?

Buying a third-party bike insurance policy is a must under the Motor Vehicle Act, 1988. When it comes to purchasing a policy you can either invest in a third-party policy which is a must and protects against any kind of third-party liabilities or you can purchase a comprehensive plan which covers third-party policy along with own damage and damage caused due to natural calamity or man-made events like burglary. You can purchase the policy either online or offline but buying a policy online is more beneficial these days due to which every company is shifting towards making the plans available online. Some of the benefits of purchasing two-wheeler insurance online are-

  • Quick Issuance of Policy
    The online purchase of a bike insurance policy makes you get all the policy documents delivered to your email address within a few seconds.
  • No Additional Charges
    While purchasing bike insurance online, there is no hidden cost any extra amount that you need to pay to any agent. This makes the process more economical.
  • Easy Purchase Process
    You will not require to provide the details of your previous bike insurance policy to your insurance company if the policy has expired over 90 days.
  • Easy Renewal Method
    You can easily renew your policy by making the payment online by visiting your insurance company’s website.
  • Paperless Procedures
    You can enjoy the benefits of your bike insurance policy without going through long paper works.
  • Claim Settlement Assistance
    Online purchasing helps you in getting assistance while filing a claim settlement for your bike or two-wheeler.
  • 24/7 Online Support
    Online support is always available on the insurance company’s website to help you with any query related to insurance via email, chatbox, etc.

How to buy a comprehensive bike insurance policy?

To buy bike insurance online from Turtlemint, please follow the steps given below:-

  • Step 1
    Visit the website of Turtlemint. Click on the “Bike” option from the menu. Enter your bike registration number or click on the “I do not have a registration number” and enter the registration location. Click on “Next”.
  • Step 2
    Then enter the bike model, year of purchase, fuel type the variant of the two-wheeler (i.e., scooter, bike, etc), and click “Next”. Choose the type of policy you want to buy and next, the expiry time, its type, and if you made any claims previously.
  • Step 3
    If yes, choose the Insurance company, else choose the NCB on the previous policy and the insurer. Next, choose if any of your previous policies were from Turtlemint. Lastly, add your details like Name, Mobile Number, and Email and save the quote.
  • Step 4
    A list of matching policies will appear on your screen. Choose the most suitable one for your needs. Pay the premium and get the insurance documents at your email address in some time.

Why choose Turtlemint for bike insurance?

Turtlemint is an online platform which lists various bike insurance policies under one roof. You can shop for bike insurance online through Turtlemint. Since we are partnered with various insurers you can find different plans on our website along with their bike insurance price list. You can compare these plans before you buy. This comparison would let you buy the best plan at the best premium rate. Furthermore, Turtlemint helps you with the buying process if you are confused. We provide you with personalized one-on-one services at the time you buy the plan and also at the time of claims and renewals.

Top Comprehensive Bike Insurance Companies 

Bike Insurance Company

Motor Incurred Claim Ratio (2020-21)

Network Garages

Royal Sundaram General Insurance

87.89%

3300+ network garages

Magma HDI Two-wheeler Insurance Package Policy

78.91%

3300+ network garages

Tata AIG General Insurance 

75.41%

7500+ network garages

Go Digit Two Wheeler Insurance

74.91%

2900+ network garages

IFFCO Tokio General Insurance

84.04%

4300+ network garages

Reliance General Insurance

76.89%

6200+ network garages

New India Two Wheeler Insurance

78.20%

216 network garages

ICICI Lombard Two-wheeler Insurance Policy

65.77%

4800+ network garages

HDFC ERGO General Insurance Company Limited

70.02%

7600+ network garages

Cholamandalam MS General Insurance Company

74.30%

6912+ network garages

Universal Sompo General Insurance Company Limited

87.96%

3500+ network garage


FAQ’s

No, add-ons are available only with comprehensive bike insurance plans.


Yes, comprehensive bike insurance plans cover damages faced due to lightning.


Yes, each add-on requires you to pay an additional premium.


You can buy add-ons either when buying a new policy or at the time of renewals.


Yes, the rate of premium depends on the IDV. Higher the IDV higher would be the premium and vice versa