The law makes it mandatory to have a motor insurance policy for all vehicle owners. Whether you own a car or a bike, having at least third-party insurance coverage is compulsory. A third-party insurance policy protects you, the policyholder, against claims made by a third person. Any liabilities arising from you due to an accident can be paid using a third-party policy.
But it isn’t always that a third-party insurance policy is sufficient to take care of your insurance needs. You need something more that includes the damage to your bike as well. This is when comprehensive two-wheeler insurance comes into the picture.
What is a comprehensive insurance policy?
Unlike a third-party insurance cover, a comprehensive policy provides extensive coverage. It offers third-party liabilities and a range for damages to your bike. It includes third-party cover, personal accident cover, and own-damage cover.
Why is setting the right IDV when choosing an insurance policy essential?
IDV or insured declared value is the maximum amount paid by the insurance company if there is a total loss or damage to your bike. The IDV also impacts your premium directly, and it is essential to review the amount of IDV at each two-wheeler insurance renewal. Further, any financial losses arising from a total loss or damage can be averted if the IDV is set right. Thus, to have peace of mind and a financial backup, select the appropriate IDV, considering your coverage requirement. Also, do not forget that setting a higher IDV might see a spike in premium since it impacts your premium. But if a slight increase in premium helps avoid future uncertainties, it can come in handy.
What are the benefits of a comprehensive bike insurance policy?
Since a comprehensive bike insurance policy upgrades the standard third-party insurance cover, it has the following benefits.
Coverage for personal accidents: Comprehensive plans include a range of personal accident covers that protect you, the policyholder, against injuries that may result in total or permanent disability or even death.
Protection for the cost of damages: Using a comprehensive plan, the financial costs to meet the repairs are covered by your insurance company. These repairs are not limited to third-party damages but also their injuries.
Add-on facilities: Using a comprehensive plan, you can enhance your insurance policy to provide additional coverage using add-ons. These add-ons are optional features that can be selected based on your requirements. Some commonly recommended add-ons are zero depreciation add-ons, engine protector add-ons, roadside assistance add-ons, etc. While these add-ons are optional, they increase your premium. A bike insurance calculator is a tool that will help you estimate its impact on your premium and choose accordingly.
Coverage for third-party liabilities: A comprehensive policy includes the minimum requirement of a third-party policy. Any liability that may arise on you due to injury to a third party or damage to a third party property can be insured using comprehensive coverage.
To conclude, it is advisable to opt for comprehensive bike insurance over third-party coverage due to its extensive and varied range for different events.
