National Zero Depreciation Bike Insurance

Understanding Zero Depreciation Bike Insurance Add-on Cover

Zero depreciation bike insurance policy covers the insured bike against third-party liabilities and own damages without considering depreciation. The enhanced coverage doesn't require the insurer to charge the depreciation amount from the policyholder as it provides coverage for repairing and replacing the insured bike and its parts.

Hence, it allows the policyholders to claim maximum claim benefits with no deductions. However, the zero depreciation cover must be purchased under the two-wheeler insurance upon payment of an additional premium amount.

People who especially hold high-end two-wheelers with expensive spare parts and live in accident-prone areas should go for the zero dep add-on cover along with their comprehensive bike insurance policy or own-damage bike insurance policy. Moreover, bike owners with new bikes should also opt for this add-on cover.

Benefits of National Zero Depreciation Add-on Cover

The benefits of getting two-wheelers insured under the National Zero Depreciation Bike Insurance policy are:

• Higher Claim Value: In the case of a standard National bike insurance policy, the claim value depends on various factors like the depreciation value of the bike parts. Under this, the policyholder only needs to pay some extra premium to enjoy the maximum claim value of the bike insurance policy. There are no deductions due to the depreciation on the two-wheeler's value with this cover.
• Lowers Out-of-Pocket Expenses: In a standard two-wheeler insurance policy, the policyholder has to pay more for the repair of the bike or its parts as not the claim amount reduces due to depreciation. However, with this add-on cover, the National Insurance Company pays for repairing and replacing the bike's damaged parts, thereby decreasing the policyholder's out-of-pocket expenses.
• Monetary Benefits: The policyholder saves money on the repair costs of the insured two-wheeler, as the maximum claim amount is higher in the case of a zero depreciation bike insurance policy.

Depreciation Rates Applicable on Bikes With and Without Zero Depreciation Add-on Cover

Depreciation Rates Applicable on Bike Parts With and Without Zero Depreciation Add-on Cover

Factors Affecting the Zero Depreciation Cover of National Bike Insurance

Factors that affect the zero depreciation bike insurance policy by the National Insurance Company are:

1. The policyholder can claim zero depreciation only twice during a policy year.
2. The maximum age of the bike to avail of the zero depreciation policy is 2 years.
3. The bike's normal wear and tear does not come under the scope of zero depreciation cover.
4. The zero depreciation add-on cover of the National Insurance Company does not cover the total loss situation.