Motor vehicles Act 1988, mandatorily imposed Third Party Two Wheeler Insurance for all bike or scooter owners in the country. The absence of Insurance policy will attract a penalty. The law enforcement of owning a Two Wheeler Insurance policy is not the ultimate motive. One should own an Insurance policy to cover all legalities or claims and to cover personal expenses in the event of mishaps.
As a general fact, we look upon getting the maximum by paying little. Every penny we shell out a pinch to once pocket. Regardless of anything, we want to the best, and we want the maximum of all that is available. But first, let us understand the factors determining the premium.
Various factors determine the Premium amount.
- The city or registration
The city you register your vehicle can attract a higher premium. For example, a metro city will draw a higher amount than a developing city. To have a transparent picture, Insurance companies have demarcated zones to specify the premium of the two Wheeler. This could be due to the higher number of vehicles on the road, which may tend to meet with accidents very often.
- Engine Capacity or Vehicle type
The higher the cubic capacity of the bike, the higher will be the premium. The manufacturing year, make, and model of the Two-wheeler, place of registration, Additional accessories, modification carried out in the bike, showroom price, etc. play an essential role in the calculation of the Two Wheeler Premium.
- Coverage Type
Choosing the right type of policy may it be only Third Party Two Wheeler Insurance policy or a Comprehensive Two Wheeler Policy will factor the cost of the premium. The Third Party Two Wheeler Insurance premium will be cheaper than the Comprehensive Two Wheeler Policy as the coverage is restricted to the third party than the damages caused to own bike and the coverage will be towards a third party and bike damages respectively. Any bike or scooter owner should opt for Comprehensive insurance at a little higher cost and hassle-free.
- Additional Coverage
Choosing any add on covers is more beneficial to the bike owner. However, this will lead to a considerable increase in the cost of the premium. One needs to wisely decide the add-on required as it will increase the value of the premium.
- Rider’s Age and other factors
Most of the Insurance companies comply with observing the age bracket of the owner. The question that they usually raise is if the rider is experienced. On the general term, the younger generation is quoted with a higher premium than the mid-age.
- Insurance records from the past.
This could a vital factor in the event you opt for insurance. They would check on the typical trends of your payments, any claims raised, etc. are considered while deriving out the premium. The payment pattern in the past, where they before the expiry date or later is also considered while calculating the premium.
- No Claim Bonus (NCB)
Depending on the trend of usage of the bike or scooter, the Insurance company will look into the claimed factor. If there has been no claim raised in the policy year, you will be provided with NCB which will help to lower your premium.
Any two-wheel owner can log in to the web to find the best possible insurance policy compare it with the existing or the other policies and purchase it online saving time and money. This is the easiest way one can own a Two-wheeler policy.
As a precaution, one should always opt for a comprehensive insurance cover.