Own Damage Cover in Two-Wheeler Insurance
If you have a two-wheeler in India, you must hold the mandatory third-party bike insurance for it. However, it is essential to get financial coverage for your own vehicle from several unforeseen risks. In such cases, the own-damage cover financially protects your pricey possession against the loss or damage due to a road accident, theft, or natural and man-made calamities. Let’s know about this cover in detail!Read more
Why is Own Damage Cover Useful?
Own damage insurance cover is useful in covering the insured vehicle in case of accidental damage. As you know, the mandatory third-party bike insurance only covers the liabilities of a third party arising out of accidental death, damage, or injury. In such a case, if your vehicle is damaged, no coverage will be offered. However, if you have the own damage bike insurance policy, you can claim for the damages sustained by your bike as well.
Features of Own Damage in Bike Insurance
- The policy offers financial coverage to repair parts of the insured bike due to accidental damages.
- Unlike third-party insurance, the own-damage cover is complimentary.
- Own damage insurance is extensive and one can opt for add-on covers to boost the basic policy cover.
- The premiums are silently higher than the third-party bike insurance.
- The policy covers the insured vehicle from the loss or damage caused due to man-made and natural calamities.
Own Damage Cover- Inclusions
This policy covers the cost of damages caused to your two-wheeler from-
- Natural calamities like fire, earthquake, explosion, floods, storms, and more
- Man-made calamities like vandalism, riots, theft, burglary, malicious activities, and terror attacks
- Accidental damages
- Theft, burglary, and housebreaking
- Damages beyond repair (Total Loss)
Own Damage Cover- Exclusions
When this policy covers the insured vehicle up to a certain extent, there are some situations where providing insurance coverage cannot be feasible. In such a case, own damage cover remains inactive. Below are some common exclusions of own damage bike insurance policy-
- Normal wear and tear
- Mechanical or electrical break-down
- If a vehicle is being used outside the geographical limitation as mentioned in the policy document.
- Consequential loss
- Damage to tyres & tubes, unless the vehicle is damaged at the same time. However, the company’s liability is limited to 50% of the total repair cost
- If the vehicle is driven under the influence of alcohol, drugs or other intoxicates
- If the driver is not carrying a valid license at the time of the accident
- In case the bike insurance policy is not active at the time of the claim
How is the Own Damage Premium Decided in Two-wheeler Insurance?
While the Insurance Regulatory decides third-party insurance premium for a fixed tenure, the premium calculation for own damage insurance plan depends upon several factors, such as-
- Age of the insured
- Age of the vehicle
- Vehicle registration location
- Bike’s make and model
- Anti-theft installed in the vehicle
- Two-wheeler owners with AIAA membership
- Voluntary deductibles
Two-wheeler insurers consider all these factors at the time of deciding the premium rates for bike insurance. You can calculate it yourself by using the bike insurance premium calculator online available at Policybazaar.com, and get the premiums suggestions.
How Much Protection Can be Availed in OD Cover?
The amount of protection to be availed in case of an own damage claim is based on the insured’s declared value of your two-wheeler. Usually, bike insurance coverage depends on the IDV of the vehicle, where the insurance company pays up to the IDV only in case of an eventuality. So, it can be assumed that the amount you will receive will be based on the current market value of your vehicle.
How to Claim Bike Insurance for Own Damage?
Claiming own damages in your bike insurance is simple. To initiate the claim process, follow the below steps-
- Immediately inform the insurance provider about the incident. Register your claim by calling on their toll-free number or writing an email. Ask for the claim form or you can download it from the official website of the insurer.
- Try providing as much as possible evidence of the accident. It is better if you can click some pictures of the damages sustained by the vehicle. Fill out the claim form and submit it along with the relevant documents.
- A surveyor from the insurance company will examine the vehicle and the damages. Later the surveyor will send the assessment report and bills to the insurer.
- Once you get approval from the insurer, take your damaged vehicle to the nearby network garage. In case you repair your damaged bike from the network garage, you can file a cashless claim, where expenses will be settled directly by the insurer. In case you avail the services from a non-network garage, you will have to pay the expenses first and register a claim later.
You may like to Read: How to File a Bike Insurance Claim
What are the Documents Required for Filing an Own Damage Claim?
In case a claim arises for own damage, you will have to provide the following documents to the insurer-
- Valid and active two-wheeler insurance policy
- FIR in case of an accident/theft
- Registration Certificate of the vehicle
- Photos (as evidence)
- Other documents (may vary from insurer to insurer)
If you own a two-wheeler, it is better to invest in the right two-wheeler insurance policy. An extensive bike insurance policy means you must have OD cover. That is why, it is suggested to buy a comprehensive bike insurance policy as it ensures that your prized possession gets optimum protection in case an emergency strikes.
Two Wheeler insurance articles
18 Sep 2023With the rising rate of road accidents, the Insurance Regulatory
13 Sep 2023In India, bike accidents are prevalent due to over speeding
07 Jun 2023Having your two-wheeler towed by traffic police can be a
08 May 2023A vehicle number plate is a metal plate with the registration
03 May 2023You can easily cancel your bike insurance policy at any time by