Bike Insurance 861 views April 4, 2020

In India, it is mandatory to own a bike insurance policy under the Motor Vehicle Act of India for everyone owning a two-wheeler. This Bike Insurance, in a broad category, provides financial protection against damage, loss and theft. It provides monetary aid to people injured from an accident caused by the policyholder and sometimes also protects the owner, depending on the policy. 

What is a Bike Insurance Calculator?

First and foremost, let us understand what a Bike Insurance Premium Calculator is before moving on to its benefits and usage. Two-wheeler insurance or bike insurance calculator is a tool that automatically determines the premium payable after providing some necessary details regarding the vehicle. It also helps in selecting your ideal bike policy from various options in accordance to your needs and requirements. 

Using a bike insurance premium calculator helps in choosing the right policy by comparing and contrasting several policies using different parameters to determine the final premium payable.  Therefore, with the help of a premium calculator, you can easily get quotes to choose the most suitable bike insurance policy instantly.  

About Bike Insurance

As mentioned bike insurance policies are mandatory by the Indian Motor’s Act. Technically, it’s the third-party insurance policy that is mandatory for every bike owner; there are only two types of motorcycle insurance in the market- Third-party insurance and Comprehensive insurance. Third-party, understandably, covers for damages and losses caused to the third party. However, comprehensive insurance policy covers for third party, natural and man-made damages. The premiums payable for the third-party plan is cheaper than comprehensive and reflects in the coverage provided, i.e. the coverage is limited to third-party liabilities alone with no personal security; therefore, is referred to as primary bike insurance policy too. 

Bike Insurance premiums are determined by some of these important parameters-

Bike’s CC (Cubic Capacity): 

According to IRDAI guidelines, bike insurance premium depends on the bike engine’s cubic capacity. Such as insurance for sports bike will be more than a regular bike on the engine’s cubic capacity. 

Brand and Model: 

Premiums are also influenced by the market value of a bike and its brand. As there are variants to the same model of bike with different IDVs (Insured Declared Value) the premiums tend to increase or decrease accordingly. 

Chosen Deductible: 

While purchasing a policy by choosing to pay a certain fraction of insurance claim yourself, known as deductibles, and the remaining amount is paid by the insurer. The higher the fraction/deductible while claim settlement the cheaper is the premium. 

No Claim Bonus and Riders:

Lastly, in case of no claims being made during the policy tenure, a bonus discount in premium is provided and in case of additional plans on an existing basic plan to enhance the coverage comes for a higher premium. 

Information required getting a quote using a Bike Insurance Calculator-

The required bike details to get a quote using a bike insurance calculator are as follows: 

  1. Bike’s registration year
  2. It’s a manufacturer detail
  3. RTO (Regional Transport Office) Location
  4. Additionally for renewals, the previous policy’s status (expired/ not expired) 
  5. The year of registration as well as the model and variants of the bike. 
  6. Sometimes the ex-showroom price is also asked and can be found online. 

Benefits of a Bike Insurance Calculator 

Coming to the crux, there are many benefits to a premium calculator with respect to the motorcycle owner or even for a potential motorcycle owner. The benefits of bike insurance premium calculator are stated and explained below

Quick and easy quotes: 

This process of calculating premium payable is the most convenient and hassle-free. All that can be challenging is having the right details to enter for the pre-requisite information asked based on which the system will provide a quote. Moreover, comparing other policies from multiple insurers becomes much less time-consuming and efficient. 

Absence of middleman: 

Bike Insurance Calculator is an online facility to aid calculation of the premium payable; there is no requirement for a middleman to do the job. Therefore, unlike the age-old method of purchasing bike insurance through intermediaries or local agent one can, at the comfort of their houses, do it with cheaper quotes. 

Reduced frauds and risks: 

In the absence of a middle-man, the chances of fraud and overcharging are eliminated. Similarly, through the secured website of the insurance company the chance of being cheated with a policy that doesn’t exist is also eliminated. Rest assured as purchasing a suitable policy from a reputable insurance provider after having calculated the premium payable online is safe. 

Faster comparison:

One can easily compare and contrast different insurance premiums and associated coverage etc. using a Bike Insurance Calculator. 

Final word

A Bike Insurance Calculator makes calculating premium you need to pay easier and as convenient as “at the tap of a finger”. It ensures the calculated quote is adequate to get your bike insured according to your needs. It is as easy as entering the aforementioned details of your motorcycle and choosing to enter for the system to generate the quote.  And as simple as that!

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