Why It Is Imperative to Buy Two Wheeler Insurance Policy?
Uncertainty in life may lead to huge financial losses if not properly planned. Vehicle insurance coverage is all-important for there is always a risk of accidents, thefts and calamities. Any two-wheeler rider in India is required by law to have insurance coverage of at least a policy covering third-party liability. You cannot afford to avoid it for it leads to severe penalties.
Listed under General Insurance, two-wheeler insurance coverage is for five years for new vehicles, while used vehicles are required to renew the policy every year. You can choose from any of the two types of two wheeler insurance:
- Third Party Liability Insurance Policy: Where the coverage does not offer any benefit to the vehicle owner, also known as an insured, but provides coverage against the legal liability, it is called third-party liability insurance.
- Comprehensive Insurance Policy: With this policy, you can have coverage not only for the third-party liability but also for the two-wheeler against any damage or theft and the insured. This two wheeler bike insurance also gives options for add-ons and optional coverage by paying extra premium.
Many Reasons to Buy Two Wheeler Bike Insurance
Whether it be any type of two wheelers, an insurance policy is a must to ride one in India. There are other reasons too and they are:
- Can Save You from Severe Penalty: As a responsible citizen, you are required to comply with the law laid in the Motor Vehicles Act, 1988 if you want to ride or drive a vehicle on Indian roads. With no bike insurance coverage, you will be fined or even imprisoned for riding a two-wheeler.
- Avoid being Considered a Break-in Policy: Your two-wheeler insurance needs to be renewed every month before the expiry date. Where you renew it after several days of expiration, the policy will be regarded a break-in policy. In such cases, you may have to take your two-wheeler for inspection and there are chances of paying higher premium after that.
- Can Avail No Claim Bonus: Insurance companies generally pay an incremental discount if a policy is renewed and there is no claim raised during the period of 5 years. It is called no claim bonus and it is paid after 5 years if you have not failed to renew insurance before 90 days from the time of its expiry.
There are still more reasons why you should go for the most suitable two wheeler insurance policy.
