Quick Guide to Buying Standalone Own Damage Cover

Posted on: Aug 17, 2022 | | Written by:

Quick Guide to Buying Standalone Own Damage Cover

Before we delve into why a bike owner should have standalone own bike insurance, let's understand what it is. IRDAI launched a relatively recent concept, own damage insurance for bikes, in September 2019. This coverage will support you in paying for the expense of repairing your bike in case it was damaged or destroyed due to an accident, disaster, theft, fire, etc.

The same features are included in comprehensive bike insurance policies; therefore, those who already have one do not require this one. However, those who are required by law to carry only third-party insurance will gain a lot from this one.

Eligibility

The Own Damage bike insurance is one of the most well-known of the various types of bike insurance. As the name implies, a standalone bike insurance plan aids in paying for damage to the insured bike. In contrast to the all-inclusive bike insurance plan, it does not contain third-party coverage.

Though the Motor Vehicle Act requires third-party insurance of 1988, you must remember that you can only get a standalone bike insurance plan if you also have valid third-party liability insurance. A standalone bike insurance policy, commonly referred to as OD insurance for bikes, offers protection for the insured motorcycles.

Features and Benefits

The own damage bike insurance comes with some incredible perks. Here is a list of all the advantages that come with buying the well-liked standalone bike insurance plan. Which are:

• Bike OD insurance pays for the costs associated with repairing a bike damaged by an accident, a fire, theft, or other natural or man-made disasters.

• For the insured bikes, the add-on rider feature is available.

• As opposed to before, when own damage bike insurance was introduced, one could now obtain third-party and own damage plans from two distinct insurance providers.

• This insurance could be purchased for one, two, or three years, then renewed as necessary.

Even while the personal damage insurance two-wheeler premium is slightly more expensive than third-party insurance, the perks offered to assist you in paying for practically all types of damages. It is advantageous to have support when you need it.

Included Coverages

You must pay close attention to what is covered when you are considering getting your own-damage bike insurance plan. This section will assist you in deciding whether or not purchasing a bike insurance policy will be a wise and worthwhile decision for you if you have a precise understanding of what you want from a policy. Let's look at what is covered by a standalone OD policy:

• Accidents - Two-wheeler riding entails a great deal of responsibility. You must ride it carefully. However, occasionally you might damage your bike, which would be very expensive. If you happen to have OD bike insurance, the insurance company will pay for damage to your bike.

• Calamities - Your bike may sustain damage from protests, blasts, violent explosions, other man-made disasters, and natural calamities like earthquakes and floods. If you have a stand-alone bike insurance policy, the insurance provider will cover the repair costs.

• Fire - The insurance provider will assist you in paying the repair costs if your bike is wrecked due to a fire.

• Theft - While you have OD bike insurance and your bike is stolen, the insurance provider will pay for your expenses. It is crucial to remember that IDV is a critical factor in determining the size of your claim.

Excluded Coverages

The goal of each policy offered by insurance firms is to provide as many advantages as feasible. Any insurance plan, though, cannot possibly cover everything. Standalone bike insurance also excludes some of the turns. which are:

• Third-Party Liability Own damage bike insurance, as the name implies, exclusively covers the cost of repairing the covered bike. The relevant company will take care of providing assistance in the event of third-party liability.

• Driving Under Influence - If the rider is discovered to be inebriated, the claim will not be considered.

• Intentional Damages - The policy will not protect the insured bike in the event of any consequential damage. This means that the insurance provider will not be obligated to pay for damage if the driver knows that riding the bike would damage it or a component of it.

• Unauthorized Driving - Making a claim would not work without a working driver's license.

• Illegal Usage - If the bike is harmed due to being exploited for harmful and illegal purposes, no coverage will be offered.

Conclusion

The OD bike insurance policy aids in offering protection for the damages to your bike that result from any accidents. Before purchasing the plan, ensure you are fully aware of all the specifics. So's also crucial to understand how to file a claim so that you can do it quickly when necessary. Decide which insurance provider is best for you, then buy from them.

Here at HDFC Ergo, we provide a full range of basic insurance products, including tailored options like property, marine, and liability insurance for businesses as well as products like motor, health, travel, home, and personal accident insurance for consumers. With your best interests at heart, we can provide a compulsory personal accident (CPA) policy of INR 15 lacs.

Also, remember:

• You can buy a third party and a solo cover from two distinct providers. You are not required to buy them from just one provider.

• Only if you renew your insurance within 90 days is No Claim Bonus (NCB) considered. The benefits of NCB stop working after that.

• Older bikes get lower premiums, but it's always a good idea to consider your bike's needs. A comprehensive bike insurance plan may be more advantageous for those who drive regularly or daily because it includes broader coverage. If your bike is old enough and you don't ride it often, you might wish to get a standalone cover.

• This is due to the extensive coverage that comprehensive bike insurance offers. It offers them all in one policy, from third-party culpability to own damage coverage. It becomes more expensive than some other bike insurance policies because of this.

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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