Bike Insurance Premium Calculator

Comparing bike insurance policies becomes easier with an online premium calculator. To calculate your premium, you must first understand what constitutes your premium.

What Are The Components Of A Bike Insurance Premium?

Your bike insurance premium is made up of 6 components:

  1. Third-party cover

  2. Own-damage cover

  3. Personal Accident cover for owner-driver

  4. Discounts

  5. No claim bonus

  6. Service tax

Out of these, your premium primarily comprises of the first two.

Third-Party CoverOwn-Damage Cover
- This covers you for any loss or damage caused to another person, vehicle or property by your bike during an accident.

- It is mandatory for every bike rider to have such a cover in India.

- The third-party premium rates depend on the engine capacity of your bike.


- These rates are fixed and revised periodically by the IRDAI.
- This covers you for any kind of loss or damage to your bike due to accidents, fire, theft, natural calamities, etc. It also includes bodily injuries.

- Although such a cover is beneficial, it is not mandatory in India.


- The premium rate of the own-damage cover is calculated as a percentage of the Insured Declared Value (IDV) of your bike. This is the market value of your bike, and the sum assured by the insurer.

- These rates are calculated by your insurance company.

What Determines The Two-Wheeler Insurance Premium?

The cost of the bike insurance is never fixed. It depends on factors the following factors:

Insured Declared Value

  • The higher the Insured Declared Value, the higher the premium of your bike insurance.

Type of coverage

  • The wider the coverage, the higher would be the premium.
  • Opting for only a third-party bike insurance costs you less.
  • Buying a third-party policy may be cheaper than purchasing a comprehensive bike insurance, but it doesn’t cover your own bike’s damages.

Add-on covers

  • For extra add-on covers, you have pay more on premium.
  • Zero-depreciation is a common add-on.
  • Other add-ons include return to invoice, consumable expenses cover etc.

Deductibles

  • Committing to pay voluntary deductibles reduces your premium.
  • This is the portion of the bill you pay from your own pocket at the time of making claims. A certain amount is also charged as compulsory deductible at the of claims.

Security features

  • Having features like anti-theft devices installed can get you premium discounts of up to 2.5 percent. This possibility depends from one insurer to another.

No claim bonus (NCB)

  • Your claim history also affects your premium amount.
  • If you do not make any claims in a year, you get a discount on the own-damage premium, at the time of renewal. This discount is known as a no claim bonus. On renewal, it can get you a discount up to 50% of the premium amount. However, if you make even a single claim in one policy period, your accumulated NCB comes down to zero.

You can use an online insurance calculator to ascertain the premium amount.

Bike Insurance Premium Calculator

What is it?Why should you use it?
- A bike insurance calculator is an online tool that helps you calculate your premium.
- With this dynamic tool, you can compare the quotes of different insurance companies.
- This groundwork accelerates the buying process.
- You don’t settle for anything unprofitable since you compare deals.
- You get an idea about the factors that affect your premium. You can, thus, try to reduce it.
- You are not influenced by any agents. You make an informed decision.

How To Use A Bike Insurance Calculator?

  • Most of the insurance companies have an insurance calculator on their website.
  • You can go to any of these websites and click on their insurance premium calculator button.
  • It then asks you for your personal, vehicle, policy and contact details such as:
    • The date of registration of your vehicle
    • The city of registration
    • The name of your bike manufacturer
    • The model name
    • The type and the period of your policy
    • Details about the extra coverage that you need
    • Your name, mobile number, and email id.
  • Fill in these details correctly, agree to their terms, and then click on the ‘Calculate’ button.
%d bloggers like this: