If you are a first-time bike insurance buyer, you must know two things. Firstly, two-wheeler insurance is a mandatory requirement for all bike owners under the Indian Motor Vehicles Act. Driving with a valid insurance coverage is a punishable offence. Secondly, you must spend a little time doing your research and understanding how bike insurance works. This will help you get the best scooty insurance online, in terms of budget and your specific requirement.
In this blog, we discuss a few valuable tips for buying bike insurance online.
Know the type of coverage you want
In India, the insurance companies offer two types of bike insurance policies – third-party insurance and comprehensive insurance.
The third-party bike insurance policy provides protection only against the damages you may cause to the third party’s assets or vehicles or physical injuries. This does not cover damages to your own bike.
As the name suggests, a comprehensive bike insurance policy provides protection against both third-party liabilities and own damages.
So, assess your needs and choose the right type of coverage you want. But, as experts suggest it is best to buy a comprehensive policy as you get wide coverage, and you can get significant savings when you file a claim during an accident.
Know the IDV
IDV or insurance declared value is the maximum amount you are eligible to get from your insurance company if your bike gets lost or gets damaged completely. So, when you buy scooty insurance online, you must know the IDV so that you can purchase the right coverage.
Some people tend to deliberately set a lower IDV to reduce the insurance premium. However, such a move can be counter intuitive as you won’t get the right compensation if your bike gets stolen or damaged beyond repairs.
Choose the right add-ons
Add-ons or riders are additional coverage options that you can voluntarily buy by paying additional premiums and extending the coverage scope of your bike insurance policy. As a first-time two-wheeler insurance buyer, you may go overboard and buy several add-ons, some of which you may not even require.
So, before you buy any add-ons, take your time to assess the needs and choose the right rider that will assist you in getting protection against specific risk that you may need. Some of the common riders that are useful to everyone include – roadside assistance cover, zero-depreciation cover, return to invoice cover, etc.
Don’t provide any false information
Whether you buy scooter insurance online, offline or through your insurance agent, ensure that you fill the application form correctly and never lie about anything. If you hide or withhold any information, it can prove to be a costly mistake later on while filing a claim, and the insurer may reject paying the compensation if they find that the information you have given in your application form is false.
Read the fine print carefully
Before you read the policy papers, make sure to read through the policy documents and understand the meaning of all terms and conditions. You must be aware of the policy’s inclusions, exclusions, coverage offered, charges involved, etc. This may be a time-consuming process, but it will hold you in good stead in the long run while filing a claim as you can be well-informed of the compensation you are eligible to get.
Consider the CSR of the insurer
CSR or claim settlement ratio is one of the most important aspects to consider while buying scooty insurance online. It is the ratio that denotes the number of claims the insurer has successfully settled within a specific period against the number of applications they have received.
Generally, the reputed insurance companies have high CSR. So, while buying a bike insurance policy, you must choose an insurer with a CSR of 90% or more. This will increase your chances of getting your claim approved faster and without any hassles.
It is not only important to buy bike insurance, but it is critical to get the right coverage and keep it active with timely renewals. Use the above tip and get the best policy to suit your needs.