Bike Insurance

Key Features of Bike Insurance Policy

The table below highlights the key features:

Types of Bike Insurance Policies in India

Broadly, general insurance companies in India offer three types of two-wheeler insurance policies. See below for more information:

1. Third-Party Bike Insurance

   Third-party bike insurance covers the policyholder against legal obligations that may arise from causing damage to a third party in a road accident, whether a person or their property. The Indian Motor Vehicle Act 1988 mandates that all two-wheeler owners have valid third-party insurance while riding on public roads.

2. Own-Damage Bike Insurance

   Own-damage bike insurance is a standalone own-damage (OD) cover that provides financial coverage for the damages caused to your bike due to theft, accidents, fire, etc.
   For extensive protection, it is advisable to have this policy in addition to mandatory third-party insurance. Moreover, riders can enhance an own-damage two-wheeler insurance policy to get additional coverage.

3. Comprehensive Bike Insurance

   A comprehensive bike insurance policy protects your bike against own damages in addition to third-party liabilities. It shields your bike from fire, natural calamities, theft, accidents, man-made disasters and related adversities.
   Additionally, it allows you to pay an extra premium to buy riders or add-ons to enhance the policy coverage.

Best Bike Insurance Companies in India 2024

The table below lists the 17+ best bike insurance companies for 2024, along with their cashless garages and claim settlement ratios. You can compare bike insurance quotes from these insurers on Policybazaar.com and choose the one that suits your budget in just 60 seconds.

*Disclaimer: The Claim Settlement Ratio (CSR*) ratio mentioned above is as per the figures mentioned in the IRDA motor insurance annual report 2021-22. Policybazaar.com does not endorse, rate, or recommend any particular insurer or insurance product offered by an insurer.

Why Should You Buy Bike Insurance?

The need of a two-wheeler insurance policy is enumerated below:

• Financial Cover: In case of an accident, theft, or third-party liability the insurer pays the repair amount to the policyholder, thus saving a few thousand rupees.
• Coverage to all Bike Types: All types of 2-wheelers can be covered against accidental damages including scooters, motorcycles, e-bikes, or mopeds.
• Roadside Assistance: At the time of policy purchase, you can opt for a roadside assistance add-on that will help you if your bike is stranded on the road. Services such as towing, minor repairs, flat tyres, etc. are offered.
• Compulsory Personal Accident Cover: Bike owners can also avail of personal accident cover of ₹ 15 lakh under their two-wheeler insurance policy. This mandatory add-on cover is available with both third-party and comprehensive bike insurance policies.
• Add-on Covers: A bike insurance policy coverage can also be enhanced by purchasing additional covers at a nominal premium. Some useful bike insurance add-ons include zero depreciation cover, NCB protection cover, engine protection cover, etc.

Comparison of Two-Wheeler Insurance Policies

The following table shows the difference between third-party (TP), comprehensive, and standalone own-damage (OD) two-wheeler insurance policies:

Bike Insurance Premium in India

The following table explains the 1-year insurance price and 5-year third party insurance price based on the Cubic Capacity (CC) of your bike's engine and the KiloWatt capacity of your electric two-wheeler's battery:

For Two-Wheelers

For E-Bikes

*Disclaimer: The annual and long-term third-party insurance price mentioned above is as per the IRDAI.

Note: In India, the premium of a comprehensive bike policy depends upon several factors, such as engine capacity, bike age, location, etc. On the other hand, the third-party insurance price is determined by IRDAI (Insurance Regulatory and Development Authority of India).

Add-ons Under Bike Insurance Policy

Add-ons or riders are optional covers that can be purchased with a comprehensive or standalone own-damage policy by paying an extra premium. The most popular bike insurance add-on covers are listed below:

1. Zero Depreciation Cover

   An insurer pays the claim amount after deducting the depreciation value of your bike. Zero dep cover eliminates any deduction for depreciation at the time of claim settlement, and the full amount will be paid to you.

2. NCB Protection Cover

   For every claim-free year, the policyholder can avail of a discount on the premium while renewing own damage coverage, commonly known as the No Claim Bonus (NCB). This NCB ranges from 10% to 50% and becomes zero as soon as a claim is raised during a policy period.

   With the help of NCB protection cover in bike insurance, a policyholder can retain the NCB and get a discount during renewals, even if they raise any claim during their policy tenure.

3. 24x7-Roadside Assistance Cover

   This cover enables the policyholder to avail emergency roadside assistance for the bike from the insurer if the bike is stranded within a specified distance mentioned in the policy documents.

   The roadside assistance cover protects you in case of breakdown assistance, emergency fuel assistance, flat tyre assistance, lost key assistance, minor repairs, etc. Furthermore, any service taken under this cover is not counted as a claim; hence, the NCB discount remains the same.

4. Return to Invoice Cover

   At the time of total loss or theft of the insured bike, your insurance company will pay your 'Insured Declared Value (IDV)'. However, having the Return to Invoice cover will bridge the gap between the IDV and your vehicle's invoice/on-road price, including registration and taxes, allowing you to get the purchase value as the claim amount.

5. Engine Protection Cover

   Engine protection coverage for bikes is an add-on benefit under the comprehensive bike insurance policy. This cover offers compensation if the insured two-wheeler engine is partially or totally damaged due to lubricant oil leakage, water ingression, damage due to hydrostatic lock, etc.

   The engine protection cover protects against damages to the bike’s engine parts, including cylinders, pistons, connecting rods, crankshafts, etc. This add-on is a must-buy if you live in a flood-prone area or where water logging is a significant issue.

6. Consumables Cover

   Consumables refer to those essential parts of the bike needed to run it smoothly. The engine oil, brake fluids, chain lubricants, coolant, nuts & bolts, etc., are some popular consumables required to run the bike. With the help of consumables covers for bikes, the insurer reimburses the cost of consumables up to a specific limit.

7. Passenger Cover

   A Passenger Cover offers additional financial coverage to the co-passenger or rider in case they meet with a road accident. This add-on cover protects the pillion rider in case of bodily injuries or death due to accidents or insured perils mentioned in the policy documents.

What Can Be Insured Under Bike Insurance Policy?

Usually, four types of two-wheelers can be insured under a two-wheeler insurance policy. Find them below in detail:

1. Motorbikes: In India, motorbikes are one of the common types of two-wheelers equipped with an engine capacity of 100-1000 CC designed for daily commuting and recreational riding.
2. Scooters: Scooters, commonly referred to as scooty in major regions of India, are easy to use and fuel efficient. They are smaller, lighter, and have an automatic transmission, which is why they are becoming popular for urban commuting.
3. Electric Two-wheelers: As the name suggests, electric motorcycles/scooters powered by batteries are becoming more popular due to the environmental benefits associated with lower operating costs.
4. Mopeds: Mopeds are extremely lightweight motorised bicycles with an engine capacity of 50-100 CC. They are economical in pricing and are used for short- distance commutes, especially in rural India.

Factors Deciding the Bike Insurance Premium

There are various determining factors for bike insurance premium, explained below:

• Model of the Bike: The primary factors deciding the premium are the make, mode, engine capacity, and year of registration. High-end motorbikes, especially sports bikes, attract higher bike insurance premiums due to their high theft risk compared to daily commuter bikes. 
• Location: The region, particularly the area where the bike will be operated on a daily basis, decides on the premium. As said, urban areas with high traffic intensity and crime rates tend to have higher premiums than rural regions.
• Claim History: The premium is determined by the number of claims the policyholder raises in a policy term. The policyholder with the maximum number of claims pays higher premiums because they are higher-risk policyholders for the insurance company. 
• Bike Usage: The premium price depends on how the bike is used (personal or commercial). Commercial bikes have higher insurance costs than personal bikes. 
• Installed Anti-theft Devices: Installing anti-theft devices approved by ARAI in your vehicle reduces the chances of theft and significantly lowers the premium amount.
• Voluntary Deductibles: In the insurance industry, deductibles refer to an amount the policyholder agrees to pay from their own pocket to the insurance company at claim settlement. Hence, opting for a higher voluntary deductible lowers the final premium amount as it reduces or lessens the insurer’s liability. 
• Add-on Covers: Add-ons or riders refer to optional coverage that enhances the policy coverage by charging an extra premium over the base price. Any type of add-on cover will increase the bike insurance premium.

How to Buy Bike Insurance Online?

Buying two-wheeler insurance online from Policybazaar.com is convenient & easy. Follow the below steps to get your 2-wheeler insurance policy in your registered email ID:

• Step 1: Visit the official website of Policybazaar Insurance Brokers Private Limited.
• Step 2: Go to the 'Bike Insurance' tab from the 'Insurance Products' drop-down menu.
• Step 3: If it's a new bike, click on the ‘Bought a New Bike’ option.
• Step 4: Select your bike’s RTO, make, model, variant, and registration year from the list.
• Step 5: Compare & choose plans offered by top bike insurance companies in India.
• Step 6: Select the required add-on covers. You can also update IDV as per your requirement. Ensure your IDV is 10% less than the Previous Year Policy (PYP).
• Step 7: After completing the process, pay the premium by choosing any online payment mode (debit/credit card, UPI, Internet Banking).
• Step 8: Once the payment is made, the policy will be available at your registered email ID within 60 seconds.

How to Calculate Bike Insurance Premium?

Using a Bike insurance premium calculator, policyholders can calculate bike insurance premium online for any bike model and get an estimate of the policy premium. The process is highlighted below:

• Step 1: Visit the 'Bike Insurance Premium Calculator' webpage provided by Policybazaar Insurance Brokers Private Limited.
• Step 2: Select the essential details about your two-wheeler, such as make, model, variant, ex-showroom price, city of registration, year of purchase, and any claims raised in the past.
• Step 3: Click the 'Calculate' button to get the estimated premium for the selected two-wheeler model.

This calculator tool gets the 'best two-wheeler insurance plans'. After that, you can compare plans and instantly pay via UPI, debit/credit card, or Internet banking for the plan that suits your interests and fulfils your needs. Whether you want motorcycle, scooter or e-bike insurance, you can check out the two-wheeler insurance policies offered by various insurers in India.

How to Renew Bike Insurance Online?

Bike insurance renewal is a simple process that can be done online. Here is how to renew two-wheeler insurance from Policybazaar.com:

• Step 1: From the homepage, navigate to the ‘Bike Insurance’ tab.
• Step 2: Enter your bike registration number & other relevant information.
• Step 3: The details of your bike will be auto-fetched.
• Step 4: Choose your desired two-wheeler insurance plan.
• Step 5: Select add-ons you want to include to your bike insurance renewal plan.
• Step 6: Make the final premium payment as per desired payment mode. Once the payment is made, your two-wheeler insurance renewal document will be sent to your mail address.

KYC Documents Required for Buying/Renewing Bike Insurance Online

As per the recent guidelines, all two-wheeler insurance companies must complete the customers' KYC to sell their policies. Here is a list of mandatory documents that you need to submit to buy or renew your 2-wheeler insurance policy:

Documents Required for Proof of Identity/Address

1. Aadhar Card
2. Passport
3. Driving License (DL)
4. PAN
5. Voter ID Card issued by the Election Commission of India
6. Ration Card with the photo of the applicant

Check other documents required in this: KYC document required for buying/renewing a bike insurance policy.

How to Download your Bike Insurance Policy Copy Online?

Soon after you purchase a bike insurance policy online, your insurer sends a hard copy of your policy to your email address. Also, a soft copy is mailed to you instantly. However, in case you lose your policy documents, you can download a copy from Policybazaar.com if you have purchased one from us. Here is how:

• Visit the official website of Policybazaar Insurance Brokers Private Limited
• Select the 'Sign-in' tab
• Sign in via the OTP and password
• From your account dashboard, navigate to the 'Policies' section
• Download a copy of your bike insurance policy online.

Alternatively, you can also download the bike policy online from the insurer's official website.

How to Raise Bike Insurance Cashless Claim Online?

A cashless bike insurance claim will be directly settled with the network garage where the repairs are carried out. The steps to file a cashless 2-wheeler claim online are given below

• Step 1: Report the Incident: Inform your insurer about the accident or mishap.
• Step 2: Damage Assessment: A surveyor will conduct an assessment to estimate the damage.
• Step 3: Claim Form Submission: Fill in the claim form and submit it with the necessary documents.
• Step 4: Repair Approval: The insurer approves the repair request.
• Step 5: Garage Repairs: Send your damaged two-wheeler to the network garage for repairs.
• Step 6: Direct Payment: After repairs, the insurer pays the repair charges directly to the garage.
• Step 7: Deductibles Payment: You may be required to pay deductibles or non-covered expenses.

How to Raise Bike Insurance Reimbursement Claim Online?

Opting for a reimbursement claim means that you choose to get repairs done at a non-network garage and pay the bills on your own. Later, the insurance company will reimburse the bill amount. Here is the step-by-step process to raise reimbursement claims:

• Step 1: Claim Registration: Register the claim with your insurer.
• Step 2: Documentation: Fill out the claim form and submit it with the required documents.
• Step 3: Cost Estimate: A surveyor estimates the repair cost and informs you about the assessment.
• Step 4: Non-Authorised Garage Repairs: Get your two-wheeler repaired at a non-authorised or non-cashless garage (any nearby garage in your locality).
• Step 5: Post-Repair Inspection: The insurer conducts another inspection after repairs.
• Step 6: Bill Settlement: Pay all charges and clear the bill at the garage.
• Step 7: Document Submission: Submit all bill payment receipts and 'proof of release'' to the insurer.
• Step 8: Claim Approval: The insurer will reimburse the bill amount to your registered bank account once the claim is approved.

Documents Required for Filing a Two-Wheeler Insurance Claim

Ensure you have the following documents when filing a 2-wheeler insurance claims:

• Duly signed claim form
• A valid copy of your bike's Registration Certificate (RC)
• A valid copy of your Driving License (DL)
• Active bike insurance policy
• Police FIR (for accidents, theft, and third-party liabilities)
• Original repair bill and payment receipt
• Proof of release

For filing two-wheeler insurance claims hassle-free, follow these guidelines and keep all the necessary documents handy.