Does Cubic Capacity Affect Your Bike Insurance Premium?

What is the Cubic Capacity (CC) of a Bike?

CC or cubic capacity refers to the maximum power generated by the bike’s engine to run and ride the two-wheeler. CC is the measurement term used for the combustion cylinder or chamber that is an integral part of the engine. The primary role of this cylinder is to supply power to the two-wheeler. Therefore, the higher the CC, the bigger the combustion cylinder and the higher the power output.

The CC is crucial in determining how much power the bike's engine produces depending upon the stroke burnt, torque, and horsepower (HP).

How Does Engine CC Impact Bike Insurance Premium?

The engine's capacity is calculated with the help of various factors like mileage, power, torque, horsepower, etc. Bikes with lower engine capacity tend to produce less power output. Because of the same reason, the premium for bikes with a low engine CC is lesser than the higher-engine capacity bikes and directly impacts your bike insurance price.

That's why a bike's CC becomes a prominent factor in calculating the two-wheeler insurance premium. Moreover, as per the IRDAI, the CC also determines the premium for the mandatory third-party bike insurance plan.

Impact of CC on Third-party and Comprehensive Bike Insurance Premium

In India, according to the Motor Vehicle Act, third-party bike insurance policy is a mandatory requirement for all two-wheeler owners. The IRDAI has prescribed third-party bike insurance premium rates based on the engine capacity range. The following table highlights the premium rates for various cubic capacities:

The above-mentioned third-party bike insurance premium rates are standard across India. However, the premium for comprehensive bike insurance policy differs due to the OD (Own Damage) component. It also depends upon the motor insurance provider's risk assessment, location, make & model, add-ons, etc.

In simpler terms, the premium rates for third-party bike insurance directly depend upon the CC of the bike's engine. On the other hand, the comprehensive policy also considers other factors while determining bike insurance premium.

However, to find the premium for your two-wheeler, you can visit Policybazaar.com and use the online bike insurance premium calculator for different types of two-wheelers.

Factors Determining the Comprehensive Bike Insurance Premium

When you calculate comprehensive bike insurance price, apart from the bike's engine capacity, some other factors also influence the premium. Have a look:

1. Year of Manufacture: Since the bike parts depreciate with time, the sum insured also reduces. The insured amount is directly related to the age of the bike.
2. Location: Another factor is the location. If you reside in metropolitan cities, you might have to pay a higher premium than non-metropolitan cities.
3. Make & Model: The make & model of the bike is a significant factor in deciding the premium. The premium is said to be higher for high-end models or premium bikes. Even to insure a sports bike, you might have to spend more than low-end models because their parts are expensive to replace or repair.
4. Add-on Covers: Add-on covers in bike insurance policy (commonly known as riders) provide extra coverage for a specific bike’s part and increase the comprehensive bike insurance premium. If you are planning to buy any additional cover, it will increase the price of your bike insurance online. Therefore, it is advised to choose bike insurance add-ons as per your needs and budget.

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