Benefits of Comprehensive Two-Wheeler Insurance

Posted on: May 19, 2020 | 3 mins | Written by: HDFC ERGO Team

Benefits of Comprehensive Two-Wheeler Insurance

The number of two-wheelers on Indian roads is increasing day by day and so is the number of accidents. Due to this, it is highly essential to have TWO-WHEELER INSURANCE(remove link). The two-wheeler insurance will be your safety token while you enjoy a ride on your bike or scooter. It will ensure the safety of your vehicle and help in providing financial cover in case of an accident. Two-wheeler insurance is one of the categories of MOTOR INSURANCE by which an insurance provider compensates for the damages or injuries caused due to accidents, natural/manmade disasters such as floods, earthquake, hurricane, theft, vandalism, etc. According to the Motor Vehicle Act, 1988, third party two-wheeler insurance is mandatory for any two-wheeler before it hits the road whereas comprehensive two-wheeler insurance is optional. Though, the latter is a choice, it is always better to have one for the vehicle.

What is comprehensive two-wheeler insurance?

A COMPREHENSIVE TWO WHEELER INSURANCE can be defined as the combination of third-party liability insurance and own-damage cover. The comprehensive two-wheeler insurance provides financial coverage against any damages caused to the vehicle and for any bodily injuries or disability caused to the rider/owner of the vehicle. You can enhance the coverage provided by a comprehensive two-wheeler insurance by including add-on into the base insurance plan.

The coverage provided by a comprehensive two-wheeler insurance policy is listed below.

a. Damage caused to your two-wheeler due to natural calamities

b. Covers damages/injuries caused to third party vehicle or third party person

c. Provides coverage against theft, robbery, fire or other malicious acts

Advantages of Comprehensive Two-Wheeler Insurance

a. Cover against third party liability

With comprehensive two-wheeler insurance, you can obtain coverage against any claims damages caused to third party vehicles or any bodily injuries, disability or death caused to third party persons during the accident in which the insured two-wheeler was present. The expenses incurred in repair of the third party vehicle or the hospitalization and treatment of third party person is covered.

b. Cover against the injuries of rider

If during an accident, the rider or the owner of the two-wheeler gets injured or suffers from a physical disability then the expenses incurred in the treatment or hospitalization are covered under the comprehensive two-wheeler insurance.

c. Personal Accident Cover

By comprehensive two-wheeler insurance, the owner/driver of the two-wheeler can avail of a personal accident cover. By Two Wheeler Personal Accident Cover, your two-wheeler insurance will cover or compensate for the expenses incurred during any physical injuries, disabilities or death of the owner/driver. The limit of the coverage provided by this personal accident cover is Rs. 15 lakhs.

d. Protection against cost incurred due to damages

Any damage, which is caused to the insured two-wheeler due to either natural calamities like floods, cyclones, hurricanes, earthquakes, etc. or due to manmade disasters like theft, robbery or any malicious acts will be covered under the comprehensive two-wheeler insurance.

Inclusions of Comprehensive Bike Insurance

Theft of the bike

Suppose your bike gets stolen. In that case, it is considered a total loss event that entitles you to claim the 'Insured Declared Value of the bike mentioned in your bike insurance policy.

Accidental damage to the bike

In the event of your bike sustaining accidental damages, major and minor, a comprehensive bike insurance policy will cover the financial losses you bear for repairs or replacements.

Damages resulting from natural disasters

With comprehensive two-wheeler insurance, you can ensure financial security for your bike against natural disasters, including earthquakes, floods, and cyclones.

Third-party liability

The comprehensive bike insurance cover helps safeguard against any financial damages sustained by a third-party property or person in an accident involving your bike. The third-party liability clause includes the death of the affected third party and the legal and financial obligations.

Personal Accident Coverage for the Owner-Driver

If the owner-driver passes away due to said accident, their beneficiary is entitled to receive the death benefit under this clause.

Exclusions of Comprehensive Bike Insurance

• If the bike is used and damaged outside the geographical jurisdiction of the policy, that is, outside India.

• The damages resulting from the owner-driver riding the insured bike without a helmet and a valid driving license.

• Driving a bike in restricted areas, for instance, a flood-prone region.

• The damages caused by driving under the influence of alcohol or drugs.

• Using a private vehicle for commercial reasons.

• The damages caused owing to war or equivalent circumstances in the country.

• The damages sustained by the bike during speed racing, adventure sports, etc.

• Any damages resulting from the bike owner’s negligence

Conclusion

Hence, with so many benefits provided by two-wheeler insurance it is necessary to have one but it is advisable to do detailed research on the benefits provided and the scope of the policy.

Disclaimer: The above information is for illustrative purpose only. For more details, please refer to policy wordings and prospectus before concluding the sales.

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