The digital era has brought a lot of transformation in everything we do. From shopping to ordering food, things have turned around in no matter of time. Now, it is just a click away to buy insurance for your two-wheeler online. It has become so simple and quick.
However, one must be cautious and do a thorough research before buying online two-wheeler insurance. We come to your help with this article by putting together the important things you must know while purchasing online insurance.
1. Insured Declared Value (IDV)
This is the maximum amount fixed by the insurer in case of theft or total loss of your vehicle. The compensation is determined by the current market value.
Extra fittings which are added later to the vehicle will be covered under separate insurance and can be claimed for compensation additionally.
IDV=Manufacturer’s Listed Selling Price -Depreciation value.
Following table will give you an idea about the depreciation value.
Percentage of Depreciation
Within 6 months
6 months to 1 year
1 year to 2 years
2 years to 3 years
3 years to 4 years
4 years to 5 years
2. Comprehensive Coverage
Make sure your insurer provides a comprehensive coverage on your vehicle. It should cover the damage caused to the third part and your vehicle as well. See to that you get compensated when your vehicle gets damaged due to natural calamities or man-made disasters.
3. No Claim Bonus
If you have not made any claim on our auto insurance for the past year, then you are eligible for a ‘No-Claim Bonus’, which takes the form of a discount on the following year’s premium payment. The more years that are claim-free, the larger the discount you will get on your premium.
4. Be Informed About the Discounts
Explore the discounts offered by various insurers. Long-term insurance policies come with huge discounts on your premium. You can save up to 55 to 60% on third party premium when go for multi-year plan.
Insurers approved by IRDA provides offers like free anti-theft device and membership of a recognized automotive association. You can also get concession at ‘No claim Bonus’ if you have unblemished records.
5. Optional Cover
This includes accident cover for pillion riders too. This might cost you little extra but will be helpful in claiming insurance in case of unexpected tragedies.
With add-on cover such as zero depreciation, you get paid in full barring certain compulsory deductions.
6. Know About Deductibles
Deductibles in two-wheeler insurance is the amount of money which will be paid by you before your insurance covers the rest. There are two types of deductibles. They are 1. Voluntary and 2. Compulsory.
Compulsory deductibles are determined by IRDA depending on the cubic capacity of your engine. Voluntary deductible is chosen by you. In this case, the higher your deductible, the lower will be your premium amount.
7. Furnishing Accurate Details
As there is no human interface involved, there is lesser chances of cross verification. Any inaccurate information given from your part will create a lot of trouble while claiming the insurance or event result in cancellation of the policy.
8. Inclusions and Exclusions
Damages caused under following circumstances are covered (Inclusion)
Fire accident, lightning, self-ignition
Riot and Strike
While transported by road, inland waterways, elevator, rail, and air
Not covered due to following reasons (Exclusion)
Not riding with a valid driving license
Electrical or mechanical repair
When used for illegal purposes
Accident happened out of geographical limits
9. Quotes and Benefits
Do an online research on the quotes and details of various insurance plans. There are tools available online to compare the quotes and pick the best one.
10. Analyse the Claim Efficiency Record of the Insurer
It is important to choose the insurer who has good ratio of claim settlement. It is recommended to buy policies from licensed IRDA agents and brokers.
Most of the insurance companies have made it convenient to purchase or renew policies online. This is less time-consuming and simple. Two-wheeler insurance helps to stay financially protected.