Why It’s Important To Renew Your Two-Wheeler Insurance

By | April 27, 2018

Don’t commit the common mistake of forgetting to renew your lapsed Two-Wheeler Insurance policy. It’s important to do so and has benefits galore.

Why It’s Important To Renew Your Two-wheeler Insurance

Riding a motorcycle at top speed gives some people an adrenaline rush like no other. Then there is another bigger section of people for whom a two-wheeler is the primary way of commuting. If you own a bike, whether for the thrill or out of necessity, you need to take on a certain amount of responsibility. One is following road rules and the other is never riding without a Two-Wheeler Insurance policy.

People often tend to forget to renew their lapsed policies, which deprives them of a number of benefits. Not having insurance puts vehicle owners at great risk since they would not have any coverage against the damages or losses suffered should they come face-to-face with a variety of unfortunate events.

Renewing your bike insurance is not as complex as it used to be. Moreover, people no longer have to memorise the expiry date of their insurance policy as they can now opt for long-term policies that have a tenure of up to 3 years.

In this article, we’ll guide you through all you need to know about renewing your Two-Wheeler Insurance.

Additional Reading: Everything You Need To Know Before Buying Two-Wheeler Insurance Online

First, A Quick Look At The Rules

The Insurance Regulatory Authority of India (IRDA) has made it mandatory for motor owners to get their vehicles insured. However, the General Insurance Council (GIC) has informed that about 60% of the vehicles in India are not insured. This number is alarming as two-wheelers are more prone to road accidents and dangers than any other mode of transport.

The two types of Two-Wheeler Insurance policies that you should be aware of while renewing your insurance are mentioned below:

Additional Reading: Ride Free With An HDFC Two-Wheeler Loan

Comprehensive Insurance policy

A comprehensive Two-Wheeler Insurance policy covers a motorcycle or a scooter against any damage or loss that results from an accident, natural calamity, burglary, riot, and other such instances. A comprehensive Two-Wheeler Insurance also provides accident cover for the vehicle owner and offers protection against third-party liabilities.

Third-Party Insurance

A third-party insurance cover protects the insured against financial liabilities arising out of losses or damages caused to a third party or their properties.

A third-party policy is the minimum level of insurance mandatory in India. However, getting a comprehensive Two-Wheeler Insurance is beneficial in multiple ways as it offers a greater scope of protection compared to a third-party Two-Wheeler Insurance policy.

Additional Reading: Two-Wheeler Loan Interest Rates

Features & Benefits of Bike Insurance Renewal

Bike Insurance policy renewal offers a range of advantages. It not only ensures continued protection against unexpected events but also saves riders from unnecessary legal troubles that may arise in the absence of an active Two-Wheeler Insurance policy.

Here are some of the advantages of renewing your lapsed Two-Wheeler insurance policy on time.

Coverage Against Natural Calamities

Natural calamities such as earthquakes, cyclones, landslides, floods, fire, explosions, and other such events are beyond human control. Timely renewal of your Two-Wheeler Insurance policy will ensure that you don’t burn a hole in your pocket when paying for repairs in case of a mishap.

Coverage Against Man-Made Hazards

An active bike or scooter insurance can provide the insured the protection against man-made events such as strikes, thefts, burglary, and other malicious activities. The financial liabilities and losses are borne by the insurer in such incidents.

Protection From Third-Party Liabilities

A third-party insurance policy is mandatory in India. This means that a Two-Wheeler Insurance policy must cover the damages or losses caused to a third person or their properties. A lapsed policy will not hold the insurer liable to pay for such losses. A renewed Two-Wheeler Insurance policy can protect the insured against any such obligation.

Discounts & Bonuses

Timely renewal of your lapsed policy will ensure that you are eligible for various types of discounts and bonuses. If you haven’t filed any claims on your policy in the previous year, you may also avail a No Claim Bonus (NCB) which is an incentive for the rider for riding safely.

Enjoy A Sense of Security

Being insured gives you a sense of security and you can ride with confidence without worrying about traffic cops giving you a ticket. You can also be assured of the right coverage against any unfortunate event you may encounter.

Additional Reading: Tyred Of Walking? Here Are 10 Benefits A Two-Wheeler Loan Can Offer You

When To Renew Your Two-Wheeler Insurance Policy

A policyholder must renew his/her policy before the expiry date. It is pertinent to ensure that a vehicle is insured throughout its lifetime to enjoy continued protection. Policyholders can also retain the No Claim Bonus (NCB) and benefit from a reduced premium amount.

Before your policy expires, contact your insurance company and intimate them about the same. Also confirm with them if it is necessary to get the vehicle inspected, for which you will be required to schedule an appointment with a designated representative from the insurance company. The NCB can be transferred to the new policy if the renewal is done within a period of 90 days from the date of expiry.

How to Renew Your Lapsed Two-Wheeler Insurance Policy Online?

Getting your bike insured is not optional anymore. Besides being a legally enforced document, it should be a must-have instrument in your list of things. With digitalisation touching every aspect of life, the insurance industry too has made considerable progress in simplifying the purchase and renewal of insurance online.

If you are planning to renew your existing policy, there are several third-party web portals where you can compare different policies and choose the one that provides you the best coverage.

Points To Remember For Your Bike Insurance Policy Renewal

  • Renew well in advance and keep track of the expiry date of the policy to save additional costs that might be incurred otherwise.
  • Compare Two-Wheeler Insurance policies in India before applying. You might find a better policy that gives you more benefits at a cheaper price.
  • Don’t forget to avail No Claim Bonus (NCB) if you haven’t filed any claims on your policy in the previous year.

Documents Required For Two-Wheeler Insurance Policy Renewal

Unlike the traditional practice, policyholders need not run from counter to counter with dozens of forms and documents to get their insurance policy renewed. Insurance providers have now made the provisions easier for hassle-free policy renewal. Just visit the website of your insurance provider or a third-party online insurance portal and renew your lapsed insurance policy.

There is a statutory list of documents prescribed by the IRDA to renew a lapsed Two-Wheeler Insurance policy. Below is the list of all the necessary documents required to renew Two-Wheeler Insurance online:

  • Details of the policyholder such as name, date of birth, residential address, occupation, and gender.
  • Details of policyholder’s driving license.
  • Registration certificate (RC) and vehicle registration number.
  • Credit Card/Debit Card/internet banking details for online renewal of Two-Wheeler Insurance.
  • Policy number of the old/lapsed Two Wheeler Insurance policy.

The information mentioned above can also be found in your existing policy document.

Additional Reading: 10 Safe Riding Tips For Two-Wheelers In India

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Category: Insurance Two Wheeler Insurance

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