by sanjay bist
Published Fri, Feb 24th 2017, 14:14 | Business
Driving a motorcycle without a valid insurance policy will land you in trouble with the authorities. Besides, if there is a major road mishap, your bike gets damaged due to man-made or natural incidences it will seriously impact your finances. Despite the fact that third-party motor insurance is mandatory under India law, around 60 to 70% of two-wheelers plying on Indian roads across the country are still not insured, says a study by an insurance aggregator.
So, it is better to understand the benefits of third-party insurance as quickly as possible, because, in case of an accident, he or she would have to deal in lakhs which would be a major impact on finances. Though one is not required to insured one’s vehicle damage or theft under the law, but it is advisable you should also considering insuring the vehicle.
Market experts say Insurance agents don’t show any interest in promoting such products because of the small ticket size of two-wheeler insurance industry. To insure a bike of lakh a rupee costs you only have to pay mere 3000 to 4000 towards your premium costs. But still, people tend to ignore it altogether.
Once the policy lapses, getting the vehicle insured becomes a tedious and complex task. Hence, you should opt for the policy renewal at least a month prior. This is because if your insurer is not offering your sufficient benefits then you can try and compare policies online and decide if you wish to continue with existing provider or move to some other bike insurance company.
Physical inspection of vehicle, paperwork, standing in queues, people will have to deal with these issues if they have to renew the policy one’s it gets lapsed.
If you decide to buy an insurance policy for your vehicle after a break, take a close look at the fine print. For instance, the cover may not start immediately during manual purchase. But incase of online purchase, the risk inception date starts right after three days from the date of issuance of the policy.
While applying for insurance, the information that you give let insurers builds up a picture of you and asses on how likely you to put in a claim. This will anticipate the cost of your policy.
Though purchase and renewal of bike insurance have become simple and hassle-free with the advent of online service, yet it’s better to be careful during policy purchase. There are always options of physically exploring each and every bike insurance plan available in Indian market. Some companies have also introduced a smart app for buy or renew an insurance policy. Right from comparison to policy purchase, renewal to claim everything could be handled on your smartphone device while on the go. You can also pay your insurance premium through a smartphone app.
Insures expert are of the view that digital format help to cut down the costs drastically on the inventory set up, insurance agent commission and therefore the benefits is straight away passed on to the consumers. It will be convenient for the policy holders as they don’t have to carry the insurance policy in physical form. There is an online account wherein you can store all your documents in places such as policy buying, premium payments, renewal or any past claim documents. It reduces cost as the insurance firms will also save on the cost of mailing documents to the bike insurance policyholders.