The Motor Vehicles Act of 1988 is the law that makes it mandatory to buy a vehicle insurance policy in India. For that, the Insurance Regulatory and Development Authority of India (IRDAI) is a regulatory body that oversees its implementation and governs rules regarding the same. While it is not so difficult to finance the purchase of your bike, it sure is difficult to decide which one to buy. Similar is the case for bike insurance covers. You can visit the official website of IRDAI for further details.
There is a myriad of options for two-wheeler insurance plans to choose from. It, often, can confuse you about the right choice. However, that doesn’t mean you simply purchase a policy that is offered first or the cheapest of the lot. As a prudent buyer, you must understand what is covered and what your requirements are. Only then, you end up with a policy that checks all the right boxes for you. This article mentions the different events that are insurable under your bike insurance plan. But before that, you need to know the types of bike insurance plans that can be bought.
- Third-party bike insurance cover
A third party bike insurance is a policy that covers third-party legal liabilities arising from the policyholder. These liabilities may arise due to an accident or collision resulting in bodily injury to a person or damage to their property. In both situations, the policyholder becomes liable, and that’s where third-party coverage comes to the rescue. Hence, this policy is also known as a liability-only policy and is the minimum prescribed insurance cover. *
- Comprehensive insurance cover
In contrast to liability-only policies, a comprehensive policy covers the damage to your bike in addition to third-party liabilities. The comprehensive policy’s insurance cover comprises of three parts—a third-party cover, an own-damage cover, and a personal accident cover. With all-around protection, it can be useful to avoid steep repair costs for the damage to your bike. *
* Standard T&C Apply
Scenarios covered in a two-wheeler insurance policy
Here are some of the different events that bike insurance policies offer protection for:
- Natural calamities
The own-damage cover of a comprehensive bike insurance policy helps protect your vehicle against different kinds of natural disasters. Earthquakes, typhoons, floods, hurricanes, are some situations where, apart from human life, heavy property damage is seen and includes damage to vehicles. In these situations, a comprehensive two-wheeler policy helps avoid a financial loss for the expensive repairs to your bike. *
- Man-made perils
Other than natural calamities, a comprehensive insurance plan covers man-made events too. These include perils like riots, vandalism, and even theft. In the event of theft, the insurance company compensates by paying the IDV of your policy. *
- Personal accident cover
Other than protection for your vehicle, comprehensive plans also provide personal accident insurance cover. Here, injuries to you, the policyholder, are covered by the policy. This includes any temporary or permanent disabilities and even an unfortunate situation like death. *
- Providing legal coverage for third-party liabilities
Be it a third-party plan or comprehensive insurance cover, both of these plans cover the liabilities that become payable to a third person. With third-party coverage, your legal interests can be safeguarded. *
* Standard T&C Apply
With these events covered by the two types of insurance plans, you can achieve well-rounded protection based on your needs. When buying a plan, remember that the coverage you opt for has a direct impact on the bike insurance price of your policy. Insurance is the subject matter of solicitation. For more details on benefits, exclusions, limitations, terms and conditions, please read sales brochure/policy wording carefully before concluding a sale.
