Here’s How Much Your Two-Wheeler Insurance Costs

Your two-wheeler insurance policy plays a vital role in protecting you financially by covering the cost of repair or replacement of your bike in case of an accident, theft, fire and natural disasters. It can also provide medical coverage in case you or your pillion is injured in an accident. Apart from providing financial protection, it also ensures that you follow the laws of third party vehicle insurance as under Motor Vehicles Act, 1988.

Determining the cost of your two wheeler:

When it comes to the cost of a two-wheeler insurance, it usually depends on a number of factors, such as the type and value of your two-wheeler, the area where you live, your age and the claims history of the vehicle. Generally, bike insurance companies use these factors to arrive at an estimated cost for the two-wheeler bike insurance premium, taking into account the risks associated with it.

Let’s discuss the various factors affecting your two wheeler insurance in detail:

Type of Bike:

Premiums for your two wheeler insurance policy depends upon the value of asset you are insuring for. Hence, if you own a higher-end two-wheeler such as a sports bike, you will likely pay a higher premium compared to someone who owns a low-end bike.

Area You Live In:

Premiums depend on your area you live in. Hence, in an area where the crime rate is higher, the two-wheeler insurance premium will also be higher due to the greater risk associated with it.

Coverage:

Premiums are dependent on the insurance coverage (IDV) opted by you. Higher the coverage for your bike, higher the premiums and vice versa.

Deductibles:

Deductibles are a portion of total claim that the policyholder may choose to pay it themselves. Most policy buyers opt for deductible as 0, in this case, the bike insurance company would pay 100% of the claim amount, however, keeping the deductible as 0 increases the cost of your premiums.

Age of the bike owner:

Insurance companies view young drivers as high risk customers and therefore charge a higher premium to them as compared to matured customers.

Condition of the bike:

The premium of your bike is also dependent on the age and condition of your bike. Hence, insurance companies charge a comparatively lower premium for new, good-condition bikes as compared to old and low condition ones.

NCB Benefits:

If you make bike insurance renewals on time, the premiums are discounted by the bike insurance companies as per the No-claim bonus. An expired policy will not continue to receive the NCB benefits and you will have to pay higher premiums on your policy renewals.

Claim History:

Additionally, if you already have a claim history of many small amounts in the past, the premium insurance company will charge you will also be high.

Tips to Reduce the premium of your two-wheeler:

Listed below are few tips to reduce your bike insurance premiums:

Compare Two-wheeler Insurance online:

By comparing different bike insurance policies online, you should be able to evaluate best and cheapest bike insurance which would match your insurance needs.

Avoid Unnecessary Add-Ons:

Insurance companies offer several additional riders such as Engine protection, Zero depreciation, Roadside assistance, etc. along with the main policy. These additional riders increase the scope of your insurance coverage but also increases the premiums of your bike insurance.

Hence, you should select these add-ons wisely and avoid purchasing unnecessary add-ons which would help in reducing the cost of premiums.

Increase Deductibles:

You can increase the deductibles to reduce the cost of premiums. However, do not increase deductibles randomly, make sure to check that increasing deductibles does not put you in liquidity crises and you are comfortable paying the said portion of the total claim when an accident happens.

Bear expenses on small damages by yourself:

Bike insurance companies provide discounts on premiums in the form of No Claim Bonus (NCB) for every policy year you do not make a claim, this helps in reducing the premiums of your bike insurance policies greatly.

By taking claims for small damages, these NCB benefits are lost. Hence, to keep your two wheeler insurance premiums low it is recommended to pay for small damages on your own.

Transfer of NCB certificate from old bike to a new bike:

Two wheeler insurance companies in India allow policyholders to transfer their existing bike insurance policy from old bike to a new bike along with accrued NCB benefits.

Hence, if you are planning to sell your old bike, make sure to get the no-claim certificate from the insurance company first. You can keep the no claim certificate stored safely in case you do not wish to buy a new bike immediately. Whenever a new bike is purchased, you can request the insurance company to transfer the existing bike insurance and NCB benefits accrued over the years to your new bike’s insurance policy. Thus, helping you in reducing the premiums of new bike insurance.

Benefits of installing anti-theft devices on your bike:

An anti-theft device installed on your bike reduces the risk of your car getting stolen, this helps in reducing the premiums of your two wheeler insurance policy.

Reducing the IDV on your bike:

Adding new parts such as alloy wheelers, spoilers, etc to upgrade your bike performance or looks would increase the IDV of your bike and thus increase the premiums as well. You may avoid adding additional parts to reduce the IDV and premiums.

Make sure to inform the insurer of any modification done to the bike that increases the IDV as your insurance policy may get invalidated in case the IDV is increased without proper intimation to the Insurer.

Reduce Insurance coverage on old vehicles:

You can opt to have only the Third-party insurance or a comprehensive insurance with very low IDV for your old bikes to reduce the premiums.

Avoid bike insurance policy from getting lapsed:

A lapsed bike insurance policy does not get the NCB benefits. Hence, make sure to renew the insurance policy on time to continue getting the NCB benefits on your premiums.

Bike Insurance quotes of popular bike models:

Below is the list of quotes for some of the most popular bike models in India:

Bike Insurance Quotes:
Bike Model	Premiums Starting From*
Suzuki Access 125	₹ 1,100*
TVS Jupiter	₹ 1,076*
Honda Dio	₹ 1,045*
TVS NTORQ 125	₹ 1,075*
TVS Apache RTR 160	₹ 1,716*
Bajaj Pulsar NS200	₹ 2,070*
Royal Enfield Classic 350	₹ 1,813*
Royal Enfield Bullet 350	₹ 1,883*
Hero Splendor Plus	₹ 1,039*
Bajaj Pulsar 150	₹ 1,102*

*The above-mentioned premiums are suggestive and may change basis terms & conditions

Conclusion:

With competition increasing in the two-wheeler insurance space, it is now easier than ever to get a good coverage at great rates. By purchasing the best two-wheeler insurance policy, you can be sure to not only protect yourself financially but also drive with peace of mind.