June 16, 2024

5 common misconceptions of bike insurance.

Bike insurance, like any financial tool, can be a little difficult to wrap your head around. There’s a lot of jargon that you need to decode and different types of plans you can choose from. All this complexity leaves space for misconceptions, which in turn, leads to mistakes during the buying process.

Keeping this in mind, the following article will set straight 5 common misconceptions that people have about bike insurance. Hopefully, this will improve your grasp of the topic and help you make sound decisions if and when you need to buy a policy for your bike.

  1. Two-wheeler insurance is expensive.

Many individuals assume that purchasing a plan will burn a hole in their pocket. However, this is not true.  Third-party bike insurance premiums start from as little Rs. 482 per year (W.E.F June 2019)! These days, 2 movie tickets and a tub of popcorn costs more than that.

  1. The policy that comes with the bike is the best.

Sure, sticking with the plan that comes with the bike is convenient, but it is not always your best option. If you want the best coverage, you need to compare plans on your own and choose one that satisfies your needs. Remember to evaluate plans based on network garages, claim settlement ratios, reviews, cost, choice of add-ons, and so on.

  1. Third-party insurance is enough.

While it might be the most affordable option and satisfy your legal requirement to ride on Indian roads, third party bike insurance is not always enough. This is because these plans do not provide any coverage for your own bike.

Therefore, in case of damage or total loss of your vehicle due to an accident, theft, acts of nature and man-made calamities, third party plans will not provide you with any compensation. If you want protection from all of these unfortunate events, you will have to buy comprehensive bike insurance.

  1. Buying bike insurance online is not safe.

These days, more and more individuals are taking up to online bike insurance. However, there is still a large group of buyers who stay away from purchasing insurance over the internet. This is mostly because they are not comfortable transacting on the World Wide Web.

However, buying a plan online is completely safe as long as you choose a trusted, IRDAI-approved insurance company. These insurance providers usually have extremely secure firewalls and payment gateways that should ensure the safety of your transaction.

  1. Once I buy a plan, I cannot change it.

This is another common misconception. Often, policyholders stay with a single insurance provider, despite poor coverage, thinking that they cannot switch plans or providers. However, you can always move to a new insurance provider if you want better coverage, lower premiums, or features that your current insurance provider does not offer.

These were just 5 of the common misconceptions about bike insurance. If you have any doubts that are not listed in this article, or always found something strange about your insurance policy, it makes sense to talk to your insurance provider ASAP and get a clearer understanding today!

Hope this has been helpful, good luck and all the best.