What Are the IRDAI Guidelines for Two-Wheeler Insurance Policies in India?

The IRDAI is responsible for deciding how an insurance policy in India will look like. This is because they put forth certain guidelines for all insurance covers, including the two-wheeler insurance policies. You need to be aware of these guidelines and ensure you get a bike insurance plan that sticks to the IRDAI guidelines. Read on to know more.

IRDAI Rules & Regulations for Bike Insurance Policyholders

As per the guidelines of the IRDAI, every bike insurance provider should offer the following features on the policies they sell:-

Type of cover

You can choose between a third party bike insurance plan or a comprehensive bike insurance cover. The former is a basic cover that only offers security against third party liabilities. You do not get insurance coverage for your own vehicle. For that, you need a comprehensive motor vehicle insurance plan. Such a plan covers the third party damages as well as your own vehicle.

Exclusions

The IRDAI makes it compulsory for all motor insurance providers to clearly state the exclusions when selling a bike insurance plan. You can find the list of exclusions in the policy wordings. It is highly advisable for you to go over these exclusions before you buy the two-wheeler insurance plan. You can then understand whether or not the particular vehicle insurance coverage is suitable for you. You will also be able to process the claim in a quicker manner thereafter.

Renewal Clauses

The IRDAI states that a motor insurance claim can only be made on an auto insurance policy that is valid. You cannot make a claim if the policy lapses. It is therefore very wise for you to get the motor insurance renewal done on time. never let your policy lapse, not even for a day. You never know when misfortune will strike and what effects it will cause. So stay protected in an uninterrupted manner and enjoy the bike insurance coverage.

Riders

As per the rules of the IRDAI, every insurance provider is compelled to offer vehicle insurance riders with the comprehensive two-wheeler insurance policies. You can choose to buy as many riders as you wish, although at an added cost. You can get an extended coverage that is more flexible and custom made for your exact requirements, with the help of the riders. This feature of motor insurance is among the very best available currently.

Documentation

The general insurance companies ask the policyholders to get the documents that are mentioned by the IRDAI when buying a motor vehicle insurance plan or when initiating a claim. This makes it uniform and hassles free. You are given the list beforehand and you can arrange for them at your own convenience. This makes it very easy for you to own a good bike insurance policy with ease.

Premium factors

The bike insurance premium is fixed, based on some factors. The IRDAI has stated these factors and the auto insurance providers have to adhere to them. These factors include the make and model of the bike, its age, the IDV, etc. As a result, you find that the premiums of the different plans from the different insurance companies are often in a similar range. However, some plans are more expensive than others. This is why you must use a motor insurance calculator and compare insurance quotes. Find a plan that offers a good cover at a good rate.

IDV and NCB

The insured declared value is a very important motor insurance clause. It takes the age-related wear and tear of the vehicle in to account and then helps to determine its market value. The insurance claim you receive largely depends on the IDV, as does the insurance premium you pay for the coverage. The IRDAI has laid down strict rules related to the IDV calculations and all insurance providers adhere to that. Similarly, the no claim bonus slabs are also laid down by the IRDAI. Make sure you understand these clauses and pay the premium you are supposed to after the calculations are properly carried out.

Option to Buy Online or Offline

You have the option to buy a plan online or offline. Most insurers these days offer excellent motor insurance online plans. You can buy these plans instantly and also at a much lower cost. You can also buy your vehicle insurance cover the old fashioned way, through an insurance agent. You are free to choose the type of plan you want, whether online or offline.

Conclusion

The motor insurance companies in India adhere to the IRDAI guidelines. You should also make sure that your insurance provider is offering a vehicle insurance plan that has the IRDAI approved features. Once you can ascertain that, you will surely have a very good bike insurance cover on your hands.