Here is Why You NEED Two Wheeler Insurance!

For those who are not aware of the insurance laws – having a basic third-party two-wheeler insurance policy is mandatory for any rider before they can start riding their bike on Indian roads. This rule has been declared by the Motor Vehicles Act of 1988. Failing to adhere to this law would result in monetary fines and actual jail time. If you get into an accident without having insurance, you could face further legal complications. Let us understand why your bike insurance policy is so important:

Importance of a bike insurance policy

As we all are aware, accidents are unpredictable and can happen at any time and to anyone. This is why it is so important to be armed with a bike insurance policy to at least be financially covered in case of any injuries faced by you or the third party. Of course, your basic plan would only cover the third party. However, you can secure coverage for yourself with a comprehensive bike insurance plan. While only the former is mandatory, most policyholders have opted for the latter in order to get better coverage.

Protection from a bike insurance policy

Financial protection

Let us say your bike goes through damages that have been caused by a fire during a riot. This is where your comprehensive bike insurance policy comes in and covered you from the repair costs. Your insurer will take care of the expenses as per the terms of your two-wheeler plan.

Legal liabilities

Even the best of us makes mistakes. If you have lost control of your bike and have damaged someone’s property, you will be held responsible and would be legally liable to pay for the repairs. A third-party two-wheeler insurance policy will protect you against such liabilities and cover the expenses. Your insurer will take care of all the legal liabilities as per the terms of your policy.

Coverage of a bike insurance policy

Liability coverage

Whether you choose to go for a third-party bike insurance policy or a comprehensive bike insurance policy, you will get liability cover under both these policies. If you face any legal issues resulting from the injury or damage to a third-party individual or property, your 2-wheeler insurance will cover you. This policy will provide monetary compensation to the third party.

Comprehensive coverage

This is the coverage that most policyholders opt for. The reason they prefer comprehensive coverage is because this policy not only protects the third party, but also the policyholder. This policy would cover the policyholder from losses from natural calamities such as cyclones, flash floods, fires, and so on. The policy also covers man-made calamities such as riots and thefts. In case of such unfortunate incidents, the insurance company will compensate the policyholder after considering the bike’s Insured Declared Value.

Now that you have read this, we are sure you understand the importance of a bike insurance policy. As for which policy you should go for, look at what your requirements are and make a decision as to whether you prefer third-party insurance or comprehensive insurance.