National Insurance Two-Wheeler Policy
National Insurance Company Limited (NIC), India's largest and oldest general insurance company provides tailor-made and comprehensive two-wheeler insurance plans.Here we will discuss the National two-wheeler insurance plans in detail.
National Insurance Two-wheeler Policy – Key Features
Below are the key features of the National bike insurance policy-
|Two-wheeler Network Garages||900+|
|Incurred Claim Ratio (ICR)||90.68% (as per the IRDAI motor insurance annual report 2021-22)|
|Customer Assistance||24x7 available|
|Personal Accident (PA) Cover||Up to Rs. 15 Lakh|
Why Choose National Two-wheeler Insurance Policy?
National Insurance two-wheeler plans come with the following benefits-
- Online two-wheeler insurance purchase and renewal
- Provides two-wheeler insurance coverage along with personal accident cover for co-passenger for up to Rs. 1 lakh
- Affordable plans with tailor-made coverages
- Fast and hassle-free cashless claim service
- No Claim Bonus (NCB) is also available
- Swift and faster claim settlement process
- Tracking of claim status online
- Existing No Claim Bonus (NCB) can be transferred from any other insurer
National Two Wheeler Insurance Plans
National Insurance Two-wheeler Policy Coverage
There are two types of two-wheeler insurance policies offered by National Insurance Company Limited-
Liability Only Cover- This plan covers any legal and financial third-party liability after an accident. It covers the below-mentioned risks-
- Injury or Death of Third Party
- Property Damage ( Third Party Property Damage up to Rs. 7.5 lakhs)
Liability to Third Parties
- The coverage of third-party liability for bodily injury and/or death is also covered under this plan.
- Damage to property other than the property of the insured person or held in trust, custody, or control of the insured.
- The company will pay all the costs with written consent.
- In the event of the death of the third party, the company will indemnify the personal/legal representative.
- The company at its own discretion may arrange for representation at any inquest or fatal injury with respect to death under this plan. In addition, the company may undertake the defense of proceedings in any Court of Law.
Package Cover- Under this plan, it covers all the liabilities as per the Motor Vehicles Act, as well as the damages caused to the owner’s vehicle. It is a comprehensive motor insurance plan, which covers both third-party risks and loss/damages to the two-wheeler and the owner of the insured bike.
Inclusions under National Insurance Two-Wheeler Policy
The plan offers compensation to the insured vehicle in the following instances-
- Loss or damage due to burglary, housebreaking, or theft.
- Covers the accidental damages caused to the insured two-wheeler.
- Cover the expenses causing damage due to fire, explosion, self-ignition, or lighting.
- Any loss or damage due to malicious acts or terrorist activity.
- Any loss or damage caused to earthquake and fire.
- Loss or damage caused due to riots and strikes.
- Covers the damage or loss due to natural calamities like floods, typhoons, hurricanes, storms, cyclones, hailstorms, tempests, and inundation.
- Landslides or rockslides are covered under the package plan.
- Covers mandatory third-party liabilities.
Exclusions under National Insurance Two-wheeler Policy
The company will not be able to provide cover for any of the following events-
- Any loss or damage and liability caused to the vehicle due to willful negligence.
- Any loss or damage and liability caused to the vehicle outside the geographical boundary as laid down in the policy document.
- Any claim arising due to contractual liability.
- Damage/loss caused or liability incurredwhen the insured vehicle is driven or being used outside the boundary mentioned in the policy.
- Damage/loss caused or liability caused due to nuclear weapons material.
- Damage/loss caused or liability caused due to damage to property resulting from any consequential loss.
- Damage/loss caused or liability caused directly or indirectly from radioactive contamination or ionizing radiations from any nuclear power or nuclear waste or materials.
- Accidental loss/damage/ liability due to war or warlike activities, hostilities, invasion, civil war, military power, mutiny rebellion, acts of foreign enemies, and events arising out of the mentioned occurrences.
- Consequential loss, depreciation, wear and tear, mechanical or electrical breakdown.
Depreciation Rates on Different Parts of Two-wheeler
Below is a table showing the rate of depreciation as per the parts of two-wheeler-
- For all rubber/nylon/plastic parts, tires, tubes, batteries, and airbags- 50%
- For paint material- 50%
- For fiberglass components- 30%
- For all parts made of glass- Nil
- Rate of depreciation for all other parts which includes wooden parts as well as per the below-mentioned schedule-
|Age of Vehicle||% of Deprecation|
|Not exceeding 6 months||Nil|
|Exceeding 6 months but less than 1 year||5|
|Exceeding 1 year but less than 2 years||10|
|Exceeding 2 years but less than 3 years||15|
|Exceeding 3 years but less than 4 years||25|
|Exceeding 4 years but less than 5 years||35|
|Exceeding 5 years but less than 10 years||40|
|Above 10 years||50|
Disclaimer- This table is for informational purposes only. Kindly refer to the two-wheeler policy terms and conditions available on the official website of the insurer.
Insured Declared Value (IDV)
IDV or the Insured Declared value is the Sum Insured (SI) of a vehicle. The IDV is the maximum payout amount decided by the insurer that plays a crucial role while purchasing a bike insurance policy. IDV of vehicles that are beyond 5 years of age and are treated as obsolete models, there the IDV is to be determined based on the consideration between the insurer and the insured.
However, the IDV for a bike without accessories can be calculated with the following formula-
IDV = MRP of the two-wheeler – Depreciation
In this case, the MRP refers to the listed ex-showroom price of the vehicle by the manufacturer.
Schedule of Depreciation for Fixing the IDV of the Vehicle
|Age of Vehicle||% of Deprecation|
|Not exceeding 6 months||5|
|Exceeding 6 months but less than 1 year||15|
|Exceeding 1 year but less than 2 years||20|
|Exceeding 2 years but less than 3 years||30|
|Exceeding 3 years but less than 4 years||40|
|Exceeding 4 years but less than 5 years||50|
Disclaimer- IDV of a vehicle beyond 5 years is treated as an obsolete model and decided by a mutual agreement between the insured and the insurer.
Personal Accident Cover for Owner
The company compensates the loss as per the below grid for bodily injury or death of the owner while driving caused by violent accidental external and visible means. The insurer offers personal accident cover up to Rs. 15 Lakh.
|Nature of Injury||Scale of Compensation|
|Loss of two limbs or two eyesight or one limb and one eyesight.||100%|
|Loss of one limb or one eyesight||50%|
|Permanent Total Disablement from injuries other than as mentioned above.||100%|
Things to Keep in Mind in PA Cover
The compensation will be payable under any one of the above as listed with respect to the owner of the insured vehicle arising out of any one occurrence. No compensation will be entertained due to intentional/self-injury/suicide or attempted suicide physical defect or infirmity and consumption of alcohol or drugs.
National Two-wheeler Insurance Renewal Process
Every two-wheeler insurance policy needs to be renewed before its due date. If the policy is not renewed on time, the policyholder will not be able to raise any claims and will lose policy benefits, such as the No Claim Bonus. The good part is that the national insurance bike renewal can be done online. Besides, the process is extremely easy and effortless. Take a look at the national insurance bike renewal process below-
- Go to the two-wheeler policy renewal section on the website
- Enter the previous policy number as well as details of the policyholder
- Review the two-wheeler insurance plan to be purchased
- Choose the add-on covers to be bought
- Make a payment towards National Insurance bike renewal online
- Once the payment is successful, the policyholder will be intimated about policy renewal.
Procedure to Claim National Two-wheeler Insurance Policy
The claim service of the company is highly efficient and easy. One can make raise 24x7 claims at their convenience. Give a call at the toll-free no. of the company and lodge the claim. However, you need to provide the following information to process your National bike insurance claims-
- Policy Number
- Date and time of the accident
- Estimated loss/ description
- Survey location where the vehicle can be surveyed by our loss assessor
- Name of the driver with contact no. and his/her driving license details
- Insured Contact Details
National Bike Insurance Claim Settlement Process
- The claim representative will contact the insured person for further process
- The claim representative will provide the claim reference number for future reference
- After the claim gets submitted and the same is approved, a text message will be sent intimating the surveyor's details
- A Surveyor is appointed to assess the loss of the insured vehicle and inspection of the same. Post which the approval is given and the insured is intimated about the claim status
- The Surveyor will contact for a suitable time for a survey and will conduct the survey
- After this, one can contact CHD/surveyor when the vehicle is ready for inspection
Documents Required to Raise Claims under National Two-wheeler Insurance Policy
The following is the list of mandatory documents required to raise claims under the National two-wheeler insurance policy-
- Duly Filled Claim Form
- Copy of Driving License
- Certificate of Registration
- Police FIR
- Motor Insurance Policy with schedule and endorsement/ clause
- Copy of the plan and receipt of payment of premium
National Two Wheeler Insurance Plans
New India Assurance Two Wheeler Insurance – FAQs
Ans: The National Insurance Company offers 2 modes of premium payment namely:
- Cash payment at the branch
- Online Payment
For the online payment mode, the policyholder can pay via-
- Credit Card
- Debit Card
- Net banking
Ans: To check the policy status, you can log into the portal with your valid credentials available on the official website of the insurer.
Ans: Registered policyholders can pay online in 3 easy steps-
Step1. Enter your Policy Number and Date of Birth to login into the e-portal on the official website of the insurer
Step2. Select the payment option- debit/credit card or net banking
Step3. Print/save the premium deposit receipt upon successful payment.
Ans: You need to fill out the claim form and attach it with relevant documents online. Do it with the help of an authorized agent. Upon satisfactory evaluation, the claim will be settled in full within a few days.
Ans: Walk into your nearest branch with your policy documents and a duly filled surrender form. Upon successful acceptance at the counter, your policy will be canceled and refunds directly credited to your bank account.
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