Bike Insurance – Frequently Asked Questions

What Should I Look for in Bike Insurance?

When buying a two wheeler insurance policy, you should look at some of the important aspects of the coverage. These aspects include the following:

  • The Type of Policy that You Buy:

Two wheeler insurance plans can be third party plans or comprehensive plans. third party plans offer only the basic legal coverage while comprehensive plans allow a wider scope of coverage and cover the damages that your bike might suffer. So, a comprehensive policy is a better choice.

  • The IDV:

The IDV is the sum insured of the policy. It determines the maximum claim that you can receive in a theft or total loss of the bike. Opt for an IDV that is commensurate with the market value of the bike and its age. The higher the IDV the better would be the claim pay-out.

  • The Add-On Covers:

Add-on covers enhance the scope of coverage of a comprehensive policy. There are different add-ons available and you should choose suitable add-ons for the policy. For instance, a zero depreciation add-on is a must for bikes aged below 5 years. Similarly, an NCB protect add-on can help you protect your accumulated no claim bonus even after claims.

  • The Premium:

The premium is an important factor that you should consider. The premium should be commensurate with the coverage offered by the bike insurance policy. Opt for plans that have a high IDV at a lower rate of premium to save on the bike insurance costs.

  • The Claim Settlement Ratio of the Insurer:

The insurer’s claim settlement ratio is an important parameter that helps you check whether the insurer settles its claims or not. A higher ratio is recommended for better claim experience.

  • The Claim Process:

While the two wheeler insurance claim process is similar across policies, many insurers have eased the process by offering mobile app-based claim intimation and settlement. Moreover, many insurers offer doorstep pick and drop facility, overnight repairs, shorter claim TAT, etc. Look for these aspects and opt for a plan with a simplified claim process.

It is always recommended to compare the available two wheeler insurance plans and then choose a policy which fulfils all the aforementioned parameters. To compare the best bike insurance plans or for expert guidance, you can visit www.paybima.com and check out the policies available for your bike.

 

How Long is Bike Insurance Valid For?

A two wheeler insurance policy is, usually, valid for one year. However, there are the following exceptions.

  • For old bikes, you can buy a 1 year policy or a long-term policy with coverage duration of 2 or 3 years.
  • In the case of a comprehensive bike insurance plan, the own damage coverage for the bike might be allowed for 1 year only.
  • If you buy a new bike, a third party policy for 5 years is compulsory. The policy would, thus, be valid for a continuous period of 5 years.
  • You can also buy a bundled policy for your new bike. In such a policy, the third party coverage would be allowed for 5 years but the own damage coverage would be valid for 1 year only.
  • There are long-term two wheeler insurance plans as well which offer a comprehensive scope of coverage for 2 or 3 years. This policy would, thus, be valid for 2 or 3 years after which you would have to renew it.

So, depending on the type of policy that you buy, the coverage tenure would be determined and the validity would be available up to the specified tenure. For expert guidance on understanding the validity of your two wheeler insurance policy, you can visit www.paybima.com and speak to our insurance experts.

 

Is It Safe to Take Bike Insurance Online?

Yes, buying an online two wheeler insurance policy is completely safe. In fact, most bike insurance policies are now available online wherein you can buy the coverage within a few minutes by specifying the details of your bike. To ensure that you buy a bike insurance online without the risk of cybercrimes, choose a reputed and secured portal like Paybima. Secured portals offer the best security systems for a safe transaction.

 

What is the Process of Bike Insurance Claim?

The process of two wheeler insurance claim depends on the type of claim that you suffer. Have a look –

  • Third Party Claims:

In the case of third party claims, inform the insurance company of the claim. File a police FIR and the claim would be taken to the motor accidents claim tribunal. The tribunal would judge the claim and decide the settlement amount. Inform the insurer of the amount. The insurer would pay the settlement directly to the third party and the claim would be settled.

  • Own Damage Claims:

In the case of damages suffered by your bike, inform the insurer. If you want a cashless settlement, take your vehicle to a networked garage. The garage’s information would be given by the insurance company when you register the claim. Alternatively, you can also find the location in your area on the insurer’s website. Once the bike is at the garage, the insurer’s surveyor would visit the garage and assess the damages. Based on his assessment, a claim report would be prepared. The insurer would approve the claim based on the report. The garage would, then, start the repairs and the insurer would pay the bills that are incurred. Once your bike is repaired, fulfil the documentation and pay for any uncovered expenses. Thereafter you can take the delivery of your bike.

If you, however, get your bike repaired at a non-networked garage, you would have to pay the bike’s repair bills. Thereafter, fill and submit a claim with the insurance company and the company would reimburse the costs incurred.

  • In the Case of Theft:

If your bike is stolen or lost, inform the police and file an FIR. Also inform the insurer and register your claim. The police would, then, try and find the bike. If they are unable to do so, they would issue a non-traceable certificate. You should submit this certificate with other claim documents and the insurer would settle the claim.

The documents needed to make a claim on your two wheeler insurance policy are as follows:

  • Claim form
  • Policy bond
  • KYC documents of the policyholder
  • Driving license
  • PUC Certificate
  • Police FIR for theft and third party claims
  • Bank account details for reimbursement claims
  • Any other documents needed by the insurer

For any type of expert assistance for your two wheeler insurance claims, you can contact PayBima. Visit www.paybima.com and speak to our claim experts for easy settlement of your two wheeler insurance claims.

 

Is Higher IDV Better?

The IDV means the Insured Declared Value of a comprehensive two wheeler insurance policy. It is calculated after subtracting the age-based depreciation from the market value of the bike. Every year, as the bike ages, the IDV reduces. The depreciation rates are as follows:

Age of the Bike Rate of Depreciation
Less than 6 months                                  5%
More than 6 months but less than 1 year                                 15%
More than 1 year but less than 2 years                                 20%
More than 2 years but less than 3 years                                 30%
More than 3 years but less than 4 years                                 40%
More than 4 years but less than 5 years                                 50%
More than 5 years Mutually decided between the insurer and you

The IDV is paid if your bike is stolen or if it is damaged beyond repairs. As such, it is advisable to opt for a higher IDV so that the claim in the case of theft or total loss is high. So, calculate the IDV by deducting these depreciation rates from your bike’s market value and then choose a policy that offers an IDV close to the calculated value.

For getting expert help in IDV calculation and to find out the suitable IDV for your two wheeler insurance online, you can visit www.paybima.com and take the help of our specialists.

 

What is 3rd Party Insurance for Bike?

A third party two wheeler insurance policy is one that covers third party legal liabilities, i.e. liabilities suffered if –

  • An individual dies in an accident involving your bike
  • An individual suffers physical injuries due to your bike
  • Your bike causes damage to third party property

A third party cover is mandatory for the bike as per the provisions of the Motor Vehicles Act, 1988. So, it is a mandatory cover for your bike which you can buy either as a standalone cover or as a part of a comprehensive two wheeler insurance policy.

The premium for a third party policy is determined by the IRDA and it is uniform across all insurance companies. The premium depends on the engine capacity of the bike, the higher the capacity the higher the premium and vice-versa. To check out the available third party insurance plans and to opt for a comprehensive cover, you can visit www.paybima.com and personalised assistance from our specialists.

 

Can I Increase IDV of My Bike?

Most insurance companies allow you to opt for a higher IDV than they are offering, up to specified limits. So, depending on the age of your bike and its market value, calculate the IDV. Then, you can choose to increase the IDV offered by the insurer up to the specified value. Also, it is important to know things before buying bike insurance online.
To find the best IDVs for your two wheeler insurance policy and to choose a suitable plan, visit www.paybima.com and talk to our specialists. They would guide you on selecting the best IDV for your bike insurance policy.

 

Can We Claim Insurance for Lost Bike?

If your bike is stolen, you can make a claim for theft. In such cases, inform the insurer immediately of the loss of the bike. This would get your claim registered with the insurer. Also, file a police FIR of the loss. The police would try and recover your lost bike. However, if they fail to do so, they would issue a non-traceable certificate which would be needed for claim. File a claim with your insurance company by filling up the claim form. Also understand the benefits of comparing bike insurance. Attach a copy of the police FIR and non-traceable report along with the policy document, your KYC documents, and your driving license. The insurer would, then, pay the IDV of the bike insurance policy as claim. To get expert help with your two wheeler insurance claim process, visit www.paybima.com and talk to our claim experts.

 

How Many Types of Insurance are There for Bike?

There are different types of insurance policies that you can avail for your bike. These are as follows –

  • 1-Year Third Party Liability Policy:

This policy covers only third party liabilities for a period of 1 year.

  • 5-Year Third Party Liability Policy:

This policy covers only third party legal liabilities for a continuous period of 5 years. The policy is available only for new bikes.

  • Bundled Policy:

A bundled policy is one wherein the third party liability cover is allowed for 5 years while the own damage cover is allowed for 1 year. The policy is available for new bikes only.

  • Standalone Own Damage Cover:

This policy covers only the damages suffered by the bike for a period of 1 year. A standalone own damage policy can be bought only if you have existing third party liability coverage on the bike.

  • Comprehensive Two Wheeler Insurance Plan:

Also called a package policy, this policy covers both third party legal liabilities and the damages suffered by your bike. The policy is available for a period of 1 year.

  • Long-Term Two Wheeler Insurance Plans:

Long-term bike insurance policy are those that offer comprehensive coverage for a continuous period of 2 or 3 years. These plans cover both third party legal liabilities as well as the damages suffered by your bike itself.

You can, thus, choose from these two wheeler insurance policies and secure your bike. To find the most suitable policy for your bike you can visit www.paybima.com and get personalised guidance in the plan selection.

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