How to Claim Bike Insurance Twice a Year?

Posted on: Dec 7, 2022 | | Written by:

How to Claim Bike Insurance Twice a Year?

Published on December 7, 2022. EST READ TIME: 3 minutes

For most people, their vehicle is one of their most valuable possessions. For this reason, they want to keep their cars and bikes out of danger at any price. This is exactly what a comprehensive bike insurance policy offers. Bike insurance policies are legal contracts between an insurance provider and a policyholder where the former provides financial coverage against any possible damage or loss, and the latter pays regular premiums in exchange for the coverage. The same is also mandated by Indian law. If you want to drive your bike on an Indian road, you need to have a valid bike insurance plan in place.

However, what most individuals don’t know is that it is possible to claim a bike insurance policy twice or more in the same year. This article will go over the process of claiming bike insurance as well as provide some insight into the consequences of claiming bike insurance multiple times in a year.

Can You Claim Bike Insurance More Than Once a Year?

Your two-wheeler insurance policy coverage, as per the motor insurance standards, does not limit the number of insurance claims you can file in a single year. Nevertheless, as an owner of a two-wheeler, you should be aware that every claim you file has an influence on the Bike insurancepolicy you have acquired.

For example, if you opt to make more claims for anything related to self-damage or third-party liability coverage in one year, your bike insurance premium amount payable will likely increase. Filing several claims usually has a significant impact on your insurance policy's ongoing no-claim bonus amount or NCB. Now, let us go through each of these effects on your current bike insurance in further detail here.

How Raising Multiple Claims Affects Your Bike Insurance

While there is no restriction that precludes you from filing more than a single bike insurance policy claim with your current bike insurance provider, as a generally accepted rule of thumb applicable, you should file as low a number of claims as possible. Frequently filing bike insurance policy claims with your current insurance carrier may lead to the following results:

1. Increased premium amount due:

If you continually file claims with your two-wheeler insurance provider, it implies they are taking on more financial risk. As a result, they are very likely to raise the rate of premium charged for renewing the bike insurance policy that you are currently carrying.

2. NCB or No Claim Bonus Effect:

NCB or No Claim Bonus is a type of incentive obtained from your ongoing insurance provider if you are successful in submitting not even one insurance policy claim over the whole year of the policy! Insurance providers typically give this benefit in the manifestation of policy renewal reductions for each claim-free year. Furthermore, the proportion of discounts rises from 20% all the way up to a maximum of 50% every year. Filing several claims means you'll miss out on NCB savings.

3. Compensation is less generous:

A comprehensive bike insurance policy provides the insured with additional advantages above the basic coverage. One such advantage is the optional zero depreciation protection, which requires your insurance provider to fulfil any bike claims without regard for the bike's ongoing market level of depreciation rate. This bike insurance policy add-on coverage does, however, feature a maximum restriction on the total number of policy claims that the customer can file in a year, as several claims would lower the reimbursement paid for losses.

4. Restriction on deductible amounts:

In the event of deductibles being applicable, it is typically recommended not to submit an insurance policy claim with the insurance provider if the total cost of bike repairs is less than the amount of deductible set in the policy document. A claim for minimal damage expenses may lead to insufficient recompense from the insurance. Likewise, if the total repair cost exceeds the policy-specified deductible amount specified in the policy, the owner may be required to pay the difference out of his or her wallet.

How to Claim Insurance for Bike Damage?

Let’s go over the process of filing a bike insurance policy claim with your insurance provider.

1. First, you need to inform your insurance provider about the event regarding the loss or damage of your two-wheeler or any third-party property as soon as possible.

2. Next, the insurance company will ask you to provide records of the damage or the accident. So, it is recommended to take some pictures of the damage as well as the accident site for evidence. The company will either ask you to send those pictures or videos directly to them online or share them with any surveyor whom they will send to assess the situation.

3. Enable your insurance provider to begin their claim-settlement procedure by submitting any required papers relating to the loss. All paperwork must be completed, signed, and then attested by the policy-specified insured.

4. The insurance provider begins the claim settlement procedure after obtaining all of the documentation. In the event of cashless claim methods, the reimbursement is made straight to the insurance company's network garage, but in the event of a reimbursement claim, you must first cover the repair costs yourself before being reimbursed by your insurance provider.

What are the Documents to be Submitted with Claim Filing?

Here is a list of documents that the insurance providers require to start the claim settlement procedure:

1. Insured’s driver’s license

2. Insured bike’s registration certificate

3. Receipt of the last motor tax payment

4. Two-wheeler insurance policy documents

5. A photocopy of the FIR (in case of an accident)

When to File a Claim for Bike Insurance?

Understanding that filing many claims in a year might have a direct influence on your bike insurancepayout and premium cost, you might be wondering when is the best time to file a claim. Let us explore.

1. It is preferable to avoid filing an insurance policy claim if the total amount of the insurance claim is greater than the amount that is specified in the policy documents as deductibles.

2. If the total cost of repairing damage is less than the entire NCB collected throughout the policy period, do not claim that sum because it would lead to a loss of accrued no-claim bonus.

3. Try seeking third-party damage cost protection under a third-party's liability insurance policy (particularly if the amount was caused by the third-party individual’s fault). Avoid submitting the insurance claim from your own insurance policy for a bike accident.

Conclusion

Bike insurancepolicies are issued in order to provide financial compensation to the insured individual if their two-wheeled friend suffers any unfortunate damage or loss. But there are certain situations where you are better not filing any claim. For the best results, you need to evaluate the amount of loss and the result of filing that claim on your insurance policy before sending it to the insurance company.

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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