We often tend to believe that an affordable product would mean that we somehow need to compromise on the features. However, this does not hold in buying a bike insurance policy. Just by using the following simple tips, you can buy an insurance policy that will be both affordable and rich in features.
two-wheeler insurance policy’s cost, hence the need to select the correct IDV…
#3 Choose Add-ons Wisely
Each Add-on provides extra coverage. However, buying more than necessary will shoot the rate of your two-wheeler insurance policy. Thus, buy only those covers which you require.
#4 Install Anti-theft Devices
Buying insurance implies that your insurer will cover you against monetary losses. Your insurer will appreciate the fact that you have made efforts to protect your bike against theft. This could lower your premium amount.
#5 Get a Membership in AAI
Becoming a member of the Automobile Association of India provides certain privileges. One of these is a discount on bike insurance premiums.
Third-party bike insurance policy is mandatory under The Motor Vehicles Act, 1988.
There are two types of bike insurance policies – A third-party Liability policy and a Comprehensive policy. A comprehensive approach offers more coverage as compared to the former type. Thus, 3rd party bike insurance is less expensive than a complete approach. Also, it is advised to buy a complete bike insurance policy as it covers the insured bike.
Which Factors Affect Bike Insurance Premium?
Various factors can affect the premium amount of your bike insurance. Some of these indirectly depend on your driving habits. Here are some key factors which affect bike insurance premiums:
- Make and Model of the Bike: Your bike insurance policy will be priced depending on the bike you want to insure. Here, the price of the bike matters. An insurance policy for a Ducati will be more expensive compared to the one for Honda Activa.
- The manufacturing date of the bike: The manufacturing date plays an important role while calculating the premium amount. This holds because depreciation of the cycle is also taken into consideration while determining bike insurance.
- Insured Declared Value (IDV): IDV is an amount approximately equal to the bike’s current market value. IDV makes the basis of the calculation for deducing the premium amount.
- No Claim Bonus (NCB): As a reward for not raising any claims against your bike insurance policy, you will be given a discount each time you renew the policy. NCB comes into effect from the first renewal of a bike insurance policy.
Simple yet smart moves while buying or renewing your bike insurance policy will lead to a good discount. To sum it up – choose adequate coverage and pay an affordable amount for bike insurance.