You can’t ride a bike on Indian roads, without valid insurance. As mandated by the Motors Vehicle Act, as a bike owner you must have at least a third-party bike insurance cover. While a third-party cover will keep you legally compliant, it won’t protect you or your vehicle in case of an accident or a mishap resulting in injury or major damage to your bike or both. This is where a comprehensive bike insurance cover comes into play. However, there are some aspects that are not covered even in a comprehensive plan. But fret not, depending on your usage you can get extra cover by purchasing add-ons like a cover for zero depreciation in the bike.
What are bike insurance add-ons?
Bike insurance adds-ons (also called riders) as the name suggests, are additional coverage plans that are bought over and above a policy. These add-ons are quite specific and help the bike owner manage specific losses with ease and offer enhanced protection to your bike.
These add-ons could be purchased at a nominal additional price. However, note that you cannot buy these add-ons separately or along with a third-party bike insurance cover. You can buy these add-ons if you have a standalone own damage cover or a comprehensive bike insurance cover.
5 bike insurance add-ons you should consider
Discussed below are 5 add-ons that one can consider buying if one wants to get that extra coverage for their bike
1. Roadside assistance cover: While travelling if your bike breaks mid-road, a roadside assistance cover could be of major help. If feasible, your insurance provider will either get your bike repaired immediately or tow your bike to the nearest garage. Meanwhile, it will also take care of the arrangement required if you have to stay put in a hotel or likewise.
Irrespective of the fact, whether your bike has undergone a technical or mechanical breakdown, at any time of the day, you can avail assistance. This is because services under roadside assistance coverage remain available 24×7. The add-on covers services like fuel delivery, towing to the nearest network garage, taxi service, battery drain, minor repairs on-site, and many more.
2. Zero depreciation cover: Over time, owing to regular wear and tear that occurs due to usage, every bike undergoes a reduction in value due to depreciation. Now when you raise a claim against your bike insurance, your insurer deducts an amount from the estimated settlement amount as depreciation cost. An add-on of zero depreciation in bike helps you manage this depreciation amount that usually is deducted from your reimbursement amount.
To assist you to claim a larger sum, a zero depreciation cover helps you ease the burden of paying your vehicle’s depreciation expenditures. So, with the added cover of zero depreciation on the bike, your insurer while calculating the payout amount for your bike repair won’t include a depreciation deduction percentage. Most insurers limit the policyholder’s number of zero depreciation claims to two.
3. Engine protection cover: The only damages covered by a typical two-wheeler insurance coverage are those that resulted from an accident or a mishap. Nevertheless, your engine may frequently sustain additional damages as a result of heavy or rough usage. Or it may get damaged as a consequence of an accident, where the body repair expenses of the bike will be covered under your bike insurance cover, but the consequential damage to the engine won’t be covered.
The engine protection add-on aids in protecting your engine against any form of damage incurred due to such issues. In the event that the policyholder’s engine or other parts need to be repaired, the Engine Protection Cover protects them financially secure. For instance, the harm that could result from lubricating oil leaks or instances when water enters the engine as a result of natural disasters. This add-on cover is essential if you reside in a flood-prone location
4. Consumables cover: Consumables like oil, nuts, and bolts, etc. are typically not covered by bike insurance at the time of claims. It should be noted that these are usually exclusions of the policy, even in a comprehensive bike insurance cover. However, if you run through a calculation, the yearly cumulative expenses that a bike owner makes on consumables add up to become a significant figure.
More often than not bike owners do not realise this, but with frequent and regular expenses, they end up shelling out a lot of money on the consumables of their bike.
You can save money on all the consumables that are covered by this add-on, no matter how minor they may be! This add-on pays for costs associated with consumables that have been damaged by an accident and are no longer fit for use.
5. Protection of No Claim Bonus (NCB) cover: No Claim Bonus is a benefit or a reward that the insurance companies provide to you if you do not raise a claim in the year. This reward is accredited usually in the form of a discount on the bike insurance premium that you will pay while renewing your bike insurance. This discount over the years can increase up to 50%. Sometimes it is also given as an addition to your sum insured.
When you raise a claim against your two-wheeler insurance cover, you lose this NCB. With an NCB protection cover, you can safeguard your hard-earned incentives. This is one of the most popular accessible rider options because NCB protection coverage ensures that your access to low premium incentives remains intact.
Depending on your needs, usage, and budget you should buy add-ons along with your standard bike insurance policy. This will give your two-wheeler extended coverage and also meet its specific needs. Also, you won’t have to fret about additional expenses, which you may have to bear from your pocket, in case not covered by sufficient insurance coverage.
Disclaimer– The above information is for illustrative purposes only. For more details, please refer to the policy wordings and prospectus before concluding the sales.