What are the Benefits of Buying Long-term Two-wheeler Insurance?

The purpose of two-wheeler insurance is to protect bike owners against unforeseen expenses due to accidental damage to the vehicle and due to natural or man-made disasters. It also covers theft. Long-term two-wheeler insurance policies provide coverage for two years, three years, or five years. Opting for a long-term insurance policy comes with several benefits, aiming to address the issue of non-renewal of two-wheeler insurance and encourage timely renewals. Here's all you need to know about long term two-wheeler insurance benefits and its features:

 

Benefits of Long-term Two-wheeler Insurance

Here are some advantages of long-term bike insurance.

A long-term two-wheeler insurance provides significant savings for policyholders. Ministry of Road Transport and Highways (MoRTH) regulates the base premium rates for motor third party insurance from time to time in accordance with section 147 of the Motor Vehicles (MV) Act, 1988.

Comparing various bike insurance policies and selecting coverage that meets your needs and requirements can be a time-consuming process. With the help of a long-term policy, you no longer need to go through the process of renewing your insurance every year. This convenience not only saves you time but also eliminates the risk of having an expired insurance policy.

Renewing a policy can be a time-consuming process and doing it annually can be exhausting. For instance, if an accident occurs after the policy's renewal date, the policyholder may not be able to file a claim. However, the long-term policy significantly reduces the chances of encountering such issues, ensuring a smooth renewal process.

The No Claims Bonus (NCB) provides a significant benefit of comprehensive bike insurance. It provides renewal savings for policyholders who do not file any claims throughout the policy duration. If you fail to renew your coverage immediately puts your NCB at risk. However, by purchasing a long-term policy, you can retain your NCB for a longer period. It helps you to ensure that you can enjoy the benefits of a reduced premium with a claim-free record.

1. Increased Savings
2. Convenience
3. Easy Renewal Process
4. No Claims Bonus (NCB) Retention

 

Factors Affecting Long-Term Bike Insurance Premium

Your insurance premium is calculated using a variety of factors including:

• The IDV (Insured Declared Value) which is the bike's current market value
• The vehicle's cubic capacity (CC)
• Registration region
• Type of model and age of the vehicle
• Type of Coverage
• No-claim bonus retention

 

Inclusions in a Long-Term Two-Wheeler Insurance

Long-term two-wheeler insurance covers a wide range of losses and risks, ensuring that you are protected against any unforeseen events. Here are some of the key aspects of the coverage provided in long-term two-wheeler insurance:

• Fire, Explosion and Lightning: This policy covers loss or damage to the insured vehicle caused by fire, explosion, self-ignition, or lightning.
• Theft: This policy will cover for the loss if your vehicle is stolen.
• Riot and Strike: Any loss or damage to the insured vehicle from riots and strikes is covered under the policy.
• Natural Calamities: This policy covers loss or damage caused by natural calamities which include earthquakes, floods, typhoons, hurricanes, storms, tempests, inundation, cyclones, hailstorms, and frost.
• Accidental Damage: If your vehicle sustains any damage due to accidental external means, the policy will cover the repair costs.
• Malicious Act and Terrorism: The policy provides coverage for loss or damage to the insured vehicle resulting from malicious acts and terrorist activities.
• Transit Coverage: While your vehicle is in transit by road, rail, inland waterway, lift, elevator, or air, the policy offers coverage for any loss or damage that may occur during transportation.

 

Exclusions in Long-Term Two-Wheeler Insurance

Here are some of the key aspects of the coverage that is not covered in long-term two-wheeler insurance:

• Accidental Loss, Damage, and Liability outside geographical area
• Claims arising from Contractual Liability:
• Loss, Damage, or Liability due to unauthorized use
• Loss, Damage, or Liability Resulting from Nuclear Risks
• Loss, Damage, or Liability Related to War

 

Things to Consider Before Purchasing Long-Term Two-Wheeler Insurance

When it comes to insuring your bike, the long-term two-wheeler insurance benefits are enormous. However, before making any decision, here are important factors to keep in mind:

It is important to understand the costs and benefits associated with different insurance plans. While basic third-party two-wheeler insurance benefits might seem like an affordable option, it provides minimal coverage. Having third-party insurance cover is mandatory. Additionally, you can always opt for Long Term comprehensive Two-Wheeler insurance as it provides various advantages.

Shriram General Insurance offers long-term two-wheeler coverage for two, three and five years. When you are choosing long-term two-wheeler insurance you can carefully analyze your needs and compare the costs. If you need additional insurance coverage for your Two-Wheeler, ensure it is available as an add-on.

Add-ons available with long-term policies; however, they increase the cost of two-wheeler insurance. You can select the add-ons cautiously that are relevant to your needs throughout the policy duration. This also ensures that you have appropriate coverage without any unnecessary expenses.

Understanding the coverage that is provided by your insurer is important. Before deciding, ensure that you are aware of the inclusions and exclusions mentioned in the policy documents. Doing this will help you ensure any limitations or circumstances where coverage may not apply. This will help you make informed decisions and avoid any surprises during a claim.

1. Understand the expenses and benefits
2. Analyze your needs and costs
3. Add-ons/Riders
4. Coverage and Exclusions

 

 

Final thoughts

Purchasing long-term two-wheeler insurance coverage provides comfortable protection for two, three, or five years, eliminating the need for yearly renewals and potential price increases. When you are choosing long-term bike insurance with Shriram General Insurance, ensure to consider your requirements, and compare the costs and benefits.

 

FAQs

1. When is the right time to renew the Two-Wheeler Insurance?

It is recommended to renew your policy before the expiration date of your existing policy. To avoid frequent renewal, opt for a long-term renewal process.

 

2. What happens when you renew an expired two-wheeler insurance policy?

If your two-wheeler insurance policy has expired, it is important to renew your coverage quickly to reinstate coverage.

 

3. What are the reasons for rejections of two-wheeler insurance claims?

Some common reasons for claim rejections include policy lapse, incomplete or false information, filing the claim after the deadline, driving without valid DL, false claims or driving in an intoxicated state.