In the Indian transport segment, two-wheelers occupy the biggest share compared to other vehicles. Bikes or scooters are a convenient way to move around congested and narrow roads. It is also important to insure the two-wheeler in case of any unfortunate damage or loss. It is mandatory to insure your bike with a third party insurance cover. To protect your bike you need to buy a comprehensive two-wheeler insurance policy. While purchasing insurance coverage for your bike, it is important that you get maximum coverage at a lower premium. Here are some simple tips to reduce your two-wheeler insurance premium.
- How to Save on Your Two-Wheeler Insurance Premium?
- Tips to Reduce Your Two-Wheeler Insurance Premium:
- 1. Compare Insurance Policies
- 2. Avoid Raising Small Claims
- 3. Choose Suitable Add-on Covers
- 4. Renew Your Insurance Policy on Time
- 5. Install Anti-Theft Devices
- 6. Buy From the Same Insurance Company
- 7. No Claim Bonus (NCB)
- 8. Ask for Discounts
- 9. Driving Records
- 10. Higher Deductible
- 11. Become a Member of Recognized Motor Riding Organization or Automobile Association
- Is it Mandatory to Buy a Two-Wheeler Insurance Policy?
- Frequently Asked Questions:
How to Save on Your Two-Wheeler Insurance Premium?
It is natural to get the best at a lower cost when you are researching the best bike insurance policy in the market for your bike. This can be achieved if you are paying a lower two-wheeler insurance premium and receiving maximum coverage. Bike insurance premium includes several elements which affect the amount you pay to the insurance company. It is essential that you understand the components of the insurance premium so that you can make an informed decision before you buy or renew two-wheeler insurance.
Tips to Reduce Your Two-Wheeler Insurance Premium:
To get the best out of the insurance policy, you need to be aware of factors which influence the insurance rate. This will help you to get the lowest bike insurance price.
Below are a few of the important tips to reduce your bike insurance premium:
1. Compare Insurance Policies
Begin with comparing insurance policies available for your two-wheeler in the market. The best method to do that is to compare bike insurance online. The internet helps you connect with insurance companies who help you with two-wheeler insurance quotes. Check the coverage, additional benefits offered by insurers and ensure you find the most suitable bike insurance. Also, comparing insurance will reveal the policy, which offers higher coverage at a lower insurance premium.
2. Avoid Raising Small Claims
While renewing a bike insurance policy, the insurer will offer No Claim Bonus (NCB) if you have not raised any claim during the policy period. This can go up to 50%. Raising small or insignificant claims will avoid the discount in the form of NCB while renewing the policy. Hence, you will be paying a higher premium compared to a situation when you take advantage of the NCB as a discount.
3. Choose Suitable Add-on Covers
Add-on covers provide additional coverage to the standard comprehensive insurance policy. However, you need to pay an additional premium. By choosing unwanted or redundant add-ons you will only increase the bike insurance rate and not reduce the bike insurance premium.
4. Renew Your Insurance Policy on Time
Ensure you renew the bike insurance within the stipulated due date and do not let it lapse. When the motor insurance lapses, the NCB benefit is valid only for a period of 90 days from the due date and lapses later on. It is imperative that your bike insurance renewal is done before the due date to avoid a higher premium.
5. Install Anti-Theft Devices
Insurance companies offer lower bike insurance premiums if you secure your two-wheeler with security devices such as anti-theft alarms. It reflects your intent to secure your vehicle and avoid any unwanted damages or loss. Ensure the security devices are approved by the Automotive Research Association of India (ARAI) to avail the discount on the two-wheeler insurance premium.
6. Buy From the Same Insurance Company
If you have bought other types of insurance such as health, travel, etc. from a particular insurance company, buy the bike insurance policy from the same insurer. The insurance company may offer loyalty points which may be used as a discount on the bike insurance premium.
7. No Claim Bonus (NCB)
Whether you are renewing the insurance with the same insurer or with a new insurance company, ensure you make use of the NCB to discount the premium. If you are renewing with the same insurer, ensure you do not raise small claims so that you do not lose out on the NCB. Also, if you want to transfer the insurance, then get the NCB certificate from your current insurer to avail the NCB with the new insurer.
8. Ask for Discounts
There is no harm in asking for a discount while renewing or buying new insurance for your two-wheeler. To promote their insurance policies, insurers may offer discounts. Get discounts to reduce the bike insurance premium.
9. Driving Records
While you are awarded the NCB for driving safely and not raising any claims during the policy period, new-age digital insurance companies may review your driving habits to determine the premium. Ensure you maintain a good track record when it comes to your driving habits.
10. Higher Deductible
While settling the claim, the insurance company will not bear the entire cost of repair. You will have to pay a certain percentage which is known as a deductible. By opting to pay a higher deductible, the two-wheeler insurance premium reduces.
11. Become a Member of Recognized Motor Riding Organization or Automobile Association
Some motorcycle organizations or clubs offer discounts to their members towards insurance of their vehicle. If you are part of these organizations such as a touring club or an automobile association, avail the discount to reduce the bike insurance premium.
Is it Mandatory to Buy a Two-Wheeler Insurance Policy?
It is mandatory as per the Motor Vehicles Act to insure your bike at least with Third-party insurance. It is considered a traffic violation to ride a two-wheeler on Indian roads without valid insurance. However, it is not mandatory to insure the bike with comprehensive insurance, but it financially protects you in case of damage or loss to your two-wheeler. To reduce any financial implications due to damages or losses to your vehicle, insuring your vehicle with comprehensive coverage will avoid unnecessary expenses.
Frequently Asked Questions:
Below are some of the common queries about two-wheeler insurance and its premium:
You can consider cheaper bike insurance if the two-wheeler insurance premium is low and the coverage is high. This combination helps you get the best coverage for your vehicle.
New-age digital insurance companies such as Acko provide insurance directly to the customer without middlemen or agents. Online insurance is an effective method to determine, compare and buy an insurance policy for your two-wheeler.
The NCB can be claimed while renewing the policy. It acts as a discount for not raising any claim during the policy period. This can also be transferred to a new insurance company during the process of renewal.
Compare different types of insurance quotes provided by various insurance companies. Ensure you buy the insurance plan which meets your requirement and offers the highest coverage at the lowest bike insurance premium.
Online bike insurance is valid. In fact, it is the most effective and hassle-free experience in purchasing a bike insurance policy. You can buy/renew/raise claims online making it a lot easier to transact compared to the conventional or traditional insurance process.
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