All You Need to Know About Filing Bike Insurance Claims for Scratches

Posted on: Mar 29, 2023 | | Written by:

All You Need to Know About Filing Bike Insurance Claims for Scratches

Published on March 28, 2023. EST READ TIME: 4 minutes

Bike owners usually take a lot of care of their bikes. Right from cleaning the bike regularly to giving it a water wash now and then to following its maintenance schedule. And a lot of bike owners are quite passionate about their bikes. Even a small scratch can upset them. This is where it is important to renew bike insurance so that you always have adequate coverage.

In the unfortunate event of any scratches or even accidents, a bike insurance policy can save the day. Apart from that, a policy ensures that you have the necessary legal clearance to ride your bike on public roads. If you are wondering what a bike insurance claim is and how it can benefit you, here is all that you need to know.

What does a bike insurance claim mean?

When you renew bike insurance, it is essentially an agreement between the insurance provider and you. For the premium amount that you pay, the insurer will provide coverage and protect your bike against unforeseen events. If any such events occur, you can formally ask the insurance provider to honour the agreement.

This process is called claiming your bike insurance policy. If you want the insurance provider to cover the damages on your bike, you must inform them about the incident and initiate a claim. They will guide you through the next steps. In a nutshell, here is what a bike insurance claim process looks like.

1. You must inform your insurance provider about an accident.

2. If the accident involves other people or vehicles, you must file an FIR with the nearest police station.

3. The insurance provider will send an independent surveyor to access the damages.

4. Should you choose a garage that has a partnership with your insurance provider, you can avail of cashless settlement of a claim. In other words, you do not have to pay money from your pockets.

Claiming bike insurance policy for scratches

The very point of buying insurance is to get protection for your bike. However, it also depends on the type of insurance. If you have opted for third party bike insurance, the policy will not cover damages to your bike. A comprehensive plan, on the other hand, would.

If you are wondering, can I claim insurance for scratch, the simple answer is yes. You can claim your bike insurance policy for scratches or even more severe damages. There is no rule that denies you the right. However, there is a more fundamental question here, should you claim the policy for scratches?

It largely depends on the type of damage, its extent, and policy type. As already mentioned, you cannot claim damages to your bike while having third party bike insurance. But with standalone own-damage or comprehensive insurance, you can.

Before you file for a claim, you must assess the damages and analyse the cost of the repair. If the cost of repair is affordable, paying it out of your pocket might be more beneficial in the long run. However, if the damages are more severe, claiming the policy is the more obvious choice.

If you are curious about the premium, you can use the bike insurance calculator. A bike insurance calculator will instantly provide you with the premium for your bike and it is free to use. You can change some of the parameters to see how that impacts the premium.

Are there any advantages to not claiming a bike insurance policy?

As mentioned above, the extent of damages and cost of repairs play a crucial role in this. If you skip claiming the policy for minor scratches, there are a couple of advantages that you can benefit from. Here they are.

1. No claim bonus

Insurance providers offer NCB or no claim bonus to policyholders who do not file for a claim during the term of a policy. The bonus then acts as a discount when you renew bike insurance policy. And the best part about an NCB is that you can accumulate the discount over the years. For every year that you do not file a claim, you earn additional discounts.

The number of years that you do not file a claim	NCB discount percentage
1 year	20
2 consecutive years	25
3 consecutive years	35
4 consecutive years	45
5 consecutive years	50

The discount applies to the own damage component of your bike insurance policy. And it can help you cut down on policy premiums by a considerable margin. Thus, claiming insurance for minor scratches might not be the best decision.

2. Affordable policy premiums

Every time that you claim your bike insurance policy, insurance providers feel it is risker to insure your bike. As a result, the premium of your policy can increase over time. If you do not want to eventually increase the policy premium, it is best to avoid claims for minor scratches.

What is the threshold amount for claiming bike insurance?

It is quite difficult to assess the damages or cost of repair at the time of an accident. Before you file your bike insurance policy, you can check with a local garage regarding the estimated cost of repairs and then take a call. For every claim that you make, you will end up paying a deductible. Thus, you need to consider that before filing a claim.

Example 1.

There have been some damages to your bike that requires minor scratch removal and painting. The cost of which is Rs. 300. If your policy outlines that you must pay a mandatory deductible of Rs. 200 every time you file a claim, the claim amount will essentially be just Rs. 100. Since the insurance provider will subtract the deductible from the claim amount, as that is to be borne by you.

Example 2.

On the other hand, if there are damages to your bike that need a lot more repair and the cost of repair is Rs. 1,500, filing for a claim makes for a stronger case. Even if you deduct the mandatory deductible, the insurance provider will still compensate for Rs. 1,300. You will also need to consider the NCB. Once you file for a claim, the NCB will no longer be valid. Thus, on renewal, you will not have access to the discount anymore.

FAQs

1. Does claiming for a scratch increase the insurance premium?

Yes, claiming for scratches on your bike can increase the insurance premium by as much as 38%. It can be even more depending on other damages on the bike.

2. Should I claim insurance for scratches?

It comes down to the charges that the insurance provider will incur versus the charges that you will incur. If the claim amount is small, it might be a good idea to repair the bike on your own and avoid increasing the policy premium or losing NBC.

Conclusion

If you are still wondering can I claim insurance for scratch, it would only make financial sense for severe damages and not minor scratches. For minor scratches and dents, paying for the repairs from your pockets will help you save money in the long run.

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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