Bike Theft Claim Settlement Process

Walking by a showroom, your sight is caught by a stunning and dazzling bike that is put on the show. You say to yourself - What a bike! I have to have it! You can't get enough of the motorbike. You think about it and plan to get it home.

This is not it, the elation you bring that bike home making an unforgettable memory...something that you'll never forget.

Well, you're happy that your dream bike is parked in your garage. You just can’t wait to take the wheels out on a spin.

One fine day, you take your prized possession out as always. When you return back to the parking spot, you don’t see your bike there. The horror and terror to that moment are just incomparable.

While this is just an imaginary situation, your prized possession loss or bike theft is real and can affect anybody. So, how would you safeguard your bike? How do you prevent the theft of a bike from burning a hole in your pocket in case your bike is stolen?

Well, here’s where theft cover in two wheeler bike insurance comes in.

Before we begin with theft cover, let’s peek into some facts to get a clearer idea of bike theft in India:

One of the leading English dailies reports, an agonizing picture is painted for bike owners in India. As per this report, every 15 minutes a bike is stolen in the National Capital Region including Delhi. Around 3240 vehicles were stolen only in Gurugram : out of this 2,850 were scooters and bikes.

Looking at this alarming data, it becomes necessary that you know about theft cover in detail.

You may like to Read: How to File Third Party Bike Insurance Claim

What's Theft Cover in Two Wheeler Insurance?

As you can make out from its name, theft cover is a kind of insurance that protects your bike in events of burglary or theft. In such situations, your insurance provider would offer cover against the cost of replacement in the event of theft or the cost of burglary.

What more does it offer?

Well, that is not it, in case the loan on the bike is still to be repaid, your insurance provider will pay the amount, with the due difference that you bore.

Is it hard to believe? However, this is exactly what your theft cover offers under comprehensive two-wheeler insurance.

Bike Theft Claim Settlement Process:

Here’s how you can go about bike insurance claim process for theft:

Step 1: File FIR (First Information Report):

Filing an FIR is a crucial step. The moment you get to know about bike theft, you must go to the nearest police station and file an FIR.

Step 2: Call your Insurance Provider:

You must inform your insurance provider about the theft at the earliest. The insurers might have their own claim process that has to be carried out. A Claim Inspector might be assigned to handle your issue. You must co-operate with the assigned inspector and answer his/her questions with utmost honesty.

Step 3: Intimate the Road Transport Office (RTO):

Informing the Road Transport Office (RTO) about the theft is a mandate. You’ll have to follow the process of documentation basis the RTO rules.

Step 4: Gather the Required Documents:

After you’ve done informing the relevant authorities and the police, you have to gather the documents to submit the list of documents to the insurer basis which the claim will be filed.

You’re required to gather the following documents:

  • Copy of the document of your policy
  • Copy of the registration certificate of your bike
  • Copy of your driving license
  • FIR document (original copy)
  • Transfer papers from RTO
  • Form of Claim Settlement duly filed and with your signature on it
  • Original keys of your bike

Step 5: Submit an Untraceable report:

If your bike or two-wheeler is not traceable for over a month, the police will give you an untraceable report. Your insurance provider will see this as a valid proof that your bike can’t be traced and the claim against it should be settled.

The Compensation:

You can reduce your bike insurance premium by choosing a lesser Insured Declared Value (IDV). However, it is always suggested that you pay more amount premium and opt and the most favourable IDV. This can be your saviour while making a claim, in case your prized possession gets stolen in the near future. You have to weigh all the odds and choose IDV basis certain factors like (CC, make and model, etc.).

What If Your Stolen Bike Is Recovered?

If your stolen bike is recovered, you'll not get any amount of claim from your bike insurance provider. If your bike was under a loan, your insurance provider will reimburse the amount of payout to the financer of your bike and you must pay the remaining amount.

In a Nutshell!

You can take a breath of relief, as theft cover will protect your bike in case of bike theft. Bike theft claim settlement process is quite easy and simple.

Written By: PolicyBazaar - Updated: 30 June 2020
Disclaimer: Policybazaar does not endorse, rate or recommend any particular insurer or insurance product offered by an insurer.
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