In India, it is mandatory for all two-wheelers to have a vehicle insurance policy. In addition, according to the Motor Vehicles Act, every two-wheeler needs to have a third-party liability bike insurance policy. This means that if the bike meets with an accident or causes damage or loss to a third party, then the insurance company covers the loss.
While a comprehensive bike insurance policy is also available that covers losses to the owner’s bike and self, it is not mandatory to buy this policy. A two-wheeler insurance third party coverage is a must. All bike insurance companies offer a third-party two-wheeler insurance policy. While the features and benefits of the plans are different, they offer coverage against any third-party loss or damage. In this article, we will discuss five things that you must look for while buying a third-party two-wheeler insurance policy.
As mentioned above, there are two broad types of two-wheeler bike insurance policies available, namely, third-party liability, two-wheeler bike insurance, and comprehensive bike insurance. A two-wheeler insurance third party means that the insurer covers losses or damages to third-party property or a third-party person. Any damage to self or own bike is not covered under this policy.
In India, third-party insurance for bikes is mandatory for every bike owner. While there are many regulations governing these policies, different insurers offer different features and benefits while offering third-party two-wheeler insurance policies. Here are some points that you must keep in mind before buying this policy.
5 Things You Must Consider While Buying Third-Party Two-Wheeler Insurance for a Bike
Here are some points that you must keep in mind before buying third party two-wheeler insurance for a bike:
- Age of your bike
The first thing that you must consider while buying a third-party bike insurance policy is the year of manufacture of your two-wheeler. For old bikes, a third-party liability-only policy is the best option since the value of the vehicle is less, and paying a higher premium for a comprehensive plan will be cost-efficient.
- Third-party claim limit
One of the questions that you must consider is the third-party insurance enough for your bike? The policy document will detail the limit of third-party claims honoured by the insurer. Before buying the policy, download the policy wordings from the insurer’s website and make sure that you check the claim limit set by the insurance provider.
- Geographical location
The insurance company will define a geographical area within which the policy will remain in force. This means that if your bike meets with an accident outside the specified area, then the insurer will not honour the claim.
- Claim settlement process
This is the most important aspect of a bike insurance policy. Even if the insurer offers the best features, it will all mean nothing if the claim settlement process is not customer-friendly. Hence, make sure that you go through the process and read reviews about the insurer before buying the policy.
- Availability of customer service team
Accidents and mishaps can happen at any hour. Therefore, if you have any queries, it is important to have a 24×7 customer service team to answer the queries and help you file a claim with ease. Hence, before buying a third-party bike insurance policy, ensure that the insurer has a service team to answer any doubts or queries round the clock.
Before buying third-party insurance for bikes, it is important to remember that a third-party liability cover is mandatory by law. Also, the policies are standard with no add-on covers since they cover damages to third-party persons and property only. Further, the premium amounts are based on the cubic capacity of your bike.
Summing Up
Apart from the law mandating insurance for two-wheelers in India, bike owners must think about the benefits these policies can offer in the event of an accident or mishap. For example, a two-wheeler insurance third party policy ensures that you are financially covered if your bike causes an accident or mishap resulting in damage to a third-person or third-party property.
While you can opt for a comprehensive policy from reputed insurance companies like Tata AIG if you are looking for coverage for yourself and your bike, the right third-party policy can cover you against any losses arising from damages caused to others. The points mentioned above can help you choose the right third-party bike insurance policy. Good Luck!
