What is Covered During Your Bike Insurance Renewal?

Posted on: Dec 27, 2021 | 3 mins | Written by: HDFC ERGO Team

What is Covered During Your Bike Insurance Renewal?

Riding a two-wheeler with adequate insurance cover not only secures your journey, but also gives you peace of mind. When you renew two-wheeler insurance on time, you protect yourself financially against all the unforeseen and unfortunate events involving your bike. On-time policy renewal also saves you from paying a higher two-wheeler insurance premium. If you are still not sure why you should renew your comprehensive two-wheeler insurance, here are some arguments that will help you decide.

What's covered when you renew two-wheeler insurance?

Accidents:

In India, roads are jam-packed with two-wheelers. However, given the poor condition of roads and public unawareness regarding traffic and road safety rules, accidents are relatively common. According to Ministry of Road Transport and Highways data, two-wheeler riders made up more than a third of those killed in road accidents in 2019. Considering this fact, when you renew two-wheeler insurance, insurers provide coverage for road accidents. Note the following though:

• Bike insurance covers any accidental loss or damage to your bike.

• Two-wheeler insurance is not applicable if the rider is riding without valid insurance or the permission of the bike owner.

• Two-wheeler insurance will not cover you if you are riding while under the influence of toxic substances.

Fire & Explosion:

When you buy or renew two-wheeler insurance, the insurer covers your motorcycle or scooter against fire and explosion. It covers damage to your bike caused by fires due to engine overheating, lightning, electrical fire, riots, and other factors. However, keep in mind, following are some of the circumstances in which fire and explosions are not subject to the two-wheeler policy coverage.

• Loss or damage to your bike due to fire caused by a nuclear explosion.

• Loss or damage to your bike due to a war outbreak with the alien nation.

• Insurers do not cover fire or explosions caused by mutiny.

Theft:

As the number of two-wheeler riders are growing every day, unfortunate situations such as bike theft are on the rise. In many places, you may also find an illegal market where stolen bikes or their parts are sold. Given this fact, when you purchase or renew two-wheeler insurance, your insurance provider provides cover for the theft of your bike. However, keep in mind that if during a housebreak, only a few spare components of your bike are stolen and not the full bike, the insurer is not responsible for such damages.

Calamities:

There are some circumstances in which you might be unable to control or minimise the damage inflicted. One such circumstance is natural calamities. If there is an earthquake or a cloudburst, it's nearly impossible to protect your bike or other belongings from such catastrophes. Considering this fact, when you purchase or renew two-wheeler insurance, insurers provide coverage against natural calamities. Your bike insurance protects you financially in the event of an earthquake, landslide, tsunami, cyclone, flood, or other similar incidents. Apart from natural disasters, it also protects you from manmade disasters like rioting and terrorism.

Personal Accident:

As the name implies, personal accident cover in two-wheeler insurance provides financial protection in the event of the rider's death or injury. Here is a list of coverage you will receive if you renew your two-wheeler insurance and choose this advantage.

• In the case of a rider's partial or permanent disability due to a bike accident, the insurer provides financial protection.

• In the event of death in a road accident, the insurer provides the lump sum amount to the rider's kin.

Third-Party Liability:

It is unlawful to ride a bike or any other vehicle without possessing third-party liability insurance. When you buy or renew comprehensive or third-party liability insurance, your insurer covers bodily injury and property loss caused by your motorcycle to the third person.

When you renew two-wheeler insurance within 90 days of its expiration date, you can keep all the continuity benefits of your policy. But what if any accident or unfortunate event occurs during these 90 days? The insurer is not liable to compensate for any loss or damage. Therefore, you should renew your policy on time to enjoy the complete coverage and benefits offered by your 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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