Are you one of those who adore their bike but consistently forget to renew its insurance? Does re-purchasing the insurance seem like a tedious task? There is excellent news for you if that is the case.
A few insurers recently introduced long-term two-wheeler insurance, which extends coverage to three years instead of the standard one. The IRDAI has approved the introduction of long-term two-wheeler insurance to encourage owners to purchase third-party cover and combat non-renewal. It is optional to get 5-year insurance for a bike, though. #
Advantages
- Convenience
One can avoid the headaches of renewing their policy each year by purchasing long-term two-wheeler insurance.. Furthermore, even if someone is aware of the renewal date, they could need to remember to continue the procedure for various reasons, including a lack of time.
- Reduced Own Damage Insurance Premium
For long-term insurance plans, insurance firms are now willing to provide reductions on their damage portion of the policy cost. Long-term insurance contracts assist insurers in reducing overhead and policy-issuing expenses, and these savings are then passed along to the client in the form of a concession. These reductions are not provided by all insurance carriers, though. The premium rate annually for yearly and long-term policies is the same since the policy regulator sets the premium rates for general insurance. *
- Avoid Dangers Associated With Non-Renewal
When an insurance policy is not renewed, or while it is being considered for renewal, the insured is also subject to certain risks. For instance, the car owner would be responsible for covering the total financial loss if the vehicle is involved in an accident or is stolen while the policy is not in effect.
- Avoid Issues With Renewing A Policy That Has Expired
Some insurance companies, although not all, require that the car be inspected to establish its condition before the policy is renewed if it has expired. A long-term two-wheeler insurance policy can assist you in avoiding this because, depending on its tenure, it won’t need to be renewed for two or three years.
- NCB Benefit
Additionally, long-term two-wheeler policies from some insurers outperform current one-year coverage in terms of NCB (no claim bonus).
- Three-Year Period Of Premium Rate Freezing Additionally, long-term insurance protects one from the yearly increase in 5-year bike insurance price. Moreover, insurance firms occasionally raise the OD (own damage) premium based on their claims history, policy coverage, and other variables.
A two-wheeler insurance premium calculator is a convenient tool you may utilise online to check the amount of coverage needed based on your requirements.
Considering long-term two-wheeler insurance is a wise decision that offers several advantages. It provides convenience by eliminating the need for annual renewals, ensuring continuous coverage and compliance. Long-term policies often come with cost savings and protection against premium hikes. Moreover, they promote responsible ownership by reducing the chances of lapsed insurance. To ensure uninterrupted protection for your two-wheeler, considering a long-term insurance policy is a prudent choice that aligns with both financial savings and peace of mind on the road.
* Standard T&C Apply
# Visit the official website of IRDAI for further details.
Insurance is the subject matter of solicitation. For more details on benefits, exclusions, limitations, terms, and conditions, please read the sales brochure/policy wording carefully before concluding a sale.