A little effort can help you save money while purchasing an insurance policy for your bike. Bike insurance price, saving money, adequate coverage, right brand, etc. are important pointers of a bike insurance checklist. Whether you own a budget bike or a swanky sports bike, read ahead to know useful insights regarding bike insurance.
Purpose of Insurance
Yes, money matters. Yes, it is important to purchase an economical insurance policy for your bike. And yes, it is also important to get adequate coverage. The purpose of going for bike insurance is twofold. A basic Third-party Liability cover is mandatory as per law. It is designed to protect third parties that can be affected by an accident involving your bike. The rates for such a policy are standard, they cannot be negotiated.
However, you can save money when it comes to the second and the most important purpose of bike insurance, which is protecting your financial interest in case of mishaps. When the aim is to go for adequate coverage, the mindset should be to introspect what is needed and then find ways to get that at a lesser price.
Compare and Buy
The price shouldn’t be the only factor while comparing and purchasing an insurance policy for your bike. You will come across several websites that will compare insurance policies and present to you the cheapest option. But that cheapest option might not necessarily be the ideal option when it comes to insurance coverage.
You are the best judge when it comes to determining the scope of your Comprehensive Bike Insurance policy. There are several Add-ons available to strengthen your policy. However, not all are productive for everyone. For example, if you do not ride with a pillion rider, purchasing the Pillion Rider Add-on is a waste of money. Thus, it is important to view every Add-on individually and check if it is beneficial for you. Reducing the number of Add-ons will certainly decrease your insurance premium. Therefore, it is essential to check bike insurance price and coverage before purchasing insurance.
Prioritize and Benefit
Price and coverage are primary factors while deciding your insurance provider, whereas the brand’s personality, services offered, user reviews, claim settlement ratio, and customer support are secondary parameters that need to be considered while choosing your insurance provider.
Different providers will give different quotes. Once you know which factors and parameters rank high on your priority list, you can compare accordingly and purchase the best suited policy. A cheap policy providing inadequate coverage might seem economical on paper but a moderately priced policy with adequate coverage will be beneficial in case of a claim.
Declaring Correct Information
Nowadays, insurers have a simple web interface to purchase insurance policy for your bike. As a part of their process, they ask several questions during a user’s online journey. Providing correct information during this stage is extremely critical because this information becomes a part of your policy document.
Also, insurers calculate your bike’s insurance premium based on the bike’s make, model, registration year, and your location. For example, insurance rates are cheaper for certain locations. They take all this information to arrive at the Insured Declared Value (IDV) of the bike. Changing this value has a direct impact on the insurance premium. Therefore, providing correct information is important.
Your bike’s cubic capacity (cc) will have an impact on your insurance premium. Since, insurance is periodic and continuous in nature, it might affect your budget in the long run. Similarly, making modifications to your bike will spike up the insurance premium rate while renewing the policy. Introspect, research, and make an informed decision.