Electric bikes, license, and insurance – All you need to know

Posted on: Apr 29, 2024 | 3 mins | Written by: HDFC ERGO Team

Electric bikes, license, and insurance – All you need to know

The biggest reason why electric bikes are taking the world by storm is because they are safe for the environment and don’t contribute to pollution or global warming. Plus, they are snazzy, have great resale values, and are easy to ride and maintain. However, they are prone to accidents, natural calamities and thefts, just like conventional bikes. Which means, in case it needs major repairs or replacements, you will have to shell out a lot of money from your own pocket. Without insurance that is. So, if you are wondering whether to take an insurance policy for bikethat runs on electricity, the answer is yes (to be on the safe side). Read on to know more about it.

Is insurance truly necessary for your electric bike?

While most electric bikes currently have a speed limit of 25 kmph, it is still enough to cause you or others significant injury in case of an accident. Furthermore, electric bikes are more expensive than their gasoline counterparts in the same performance category. Which means, any damage to your bike in case of an accident will be costlier to replace or repair. As a result, insurance is recommended, to financially protect yourself in case of an unfortunate incident.

Is insurance needed for a rented e-bike?

Be it comprehensive or third-party insurance policy for bike, both are bought against the vehicle and not the rider. Therefore, for a rented electric bike, the question of buying insurance does not arise. However, you can purchase a standalone personal accident cover to prepare against any damage done to you as a result of an accident.

Is a driving license required to ride an e-bike?

As of now, you do not need a license to ride an electric bike with a motor upto 250 kW capacity and maximum speed of 25 kmph. The minimum age to ride a bike or drive a car in India is 18 years. But those between 16 and 18 years of age can still ride a geared and non-motor bike. However, there is a proposal to amend the Motor Vehicles Act that would make a license compulsory even for 16-18-year-olds, for riding any vehicle of 250 kW,with a speed of up to 70 kmph.

For an adult, a license is still required to ride any other bike or drive a car, conventional or electric.

Things to do if you own an e-bike

If your e-bike has a larger capacity than 250 kW, and goes above 25 kmph, you would need a licence and insurance cover. In such cases, comprehensive coverage is the recommended option over third-party insurance. Also consider availing add-ons to further strengthen your coverage. As mentioned above, electric bikes are costlier than their fossil-fuel cousins, with a longer lifespan and more attractive resale value. Hence, availing a comprehensive insurance policy for bike makes sense as it will cover you against theft as well. Moreover, electric vehicles attract a lower premium, providing benefits that far outweigh the cost of insurance.

To conclude, for two-wheelers, insurance is critical, as in 2019 alone, there were about 1.67 lakh accidents involving two-wheelers, killing 56,000 people and injuring nearly 1 lakh minors. So, go for comprehensive insurance and protect yourself and your e-bike against financial liabilities in the event of an accident.

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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