Every year, numerous lives are misplaced on Indian roads as a consequence of accidents. India has the best variety of highway accidents globally, pushed by reckless driver behaviour, non-compliance with visitors guidelines and human errors. Alarmingly, two-wheeler fatalities rose by 8% in 2022, claiming almost 75,000 lives — accounting for 44% of the 1,68,491 highway accident deaths that yr.
India’s roads have change into busier over time as common per capita earnings rises, resulting in extra individuals buying two-wheelers. With the world’s third-largest highway community, the nation had 354 million autos as of FY22, as per Statista. But, a big concern stays— lack of insurance coverage amongst automobile house owners.
As per a Common Insurance coverage Council report, over 60% of autos in India are uninsured, with two-wheelers main the class. In 2015-2016, Solely 8.26 crore of the about 19 crore registered autos had been insured.
Causes for hesitation
Though, third-party motor insurance coverage is necessary, many automobile house owners stay uninsured. This challenge stems from three key components: many bike house owners keep away from insurance coverage to save cash, and people who purchase, usually fail to resume insurance policies and lack consciousness about insurance coverage merchandise.
However being uninsured can severely jeopardise your monetary safety. Within the occasion of a highway accident inflicting property injury or harm, it’s important to bear all prices out of pocket.
Taking precautions by insuring your automobile is much better than regretting it later. Driving with out insurance coverage additionally carries authorized penalties. First-time violators face a nice of ₹2,000 and/or as much as three months in jail. Repeat offences incur a ₹4,000 nice. Listed here are your choices for insuring two-wheelers viz.
Two sorts of bike insurance coverage can be found: third-party insurance coverage and own-damage (OD) insurance coverage.
Third-party insurance coverage
This necessary protection protects in opposition to liabilities arising from injury to another person’s property or harm in an accident. Compensation is dependent upon components like severity of accidents, third occasion’s age, and their career or earnings.
The utmost compensation is ₹7.5 lakh for third-party demise or property injury. Nonetheless, this coverage doesn’t cowl: injury to your personal bike, belongings inside your bike throughout an accident and theft or complete destruction of motorbike.
The Insurance coverage Regulatory and Growth Authority of India (IRDAI) determines the premium for third-party insurance coverage primarily based on engine capability. For instance, the premium for bikes with engines between 75 CC and 150 CC is ₹3,851 for a five-year coverage. The IRDAI has mandated five-year long-term third-party bike insurance coverage to chop renewal hassles.
OD insurance coverage
This coverage covers damages to your bike brought on by hearth, theft, pure disasters or man-made incidents. Usually bundled with third-party insurance coverage, it affords enhanced safety. Add-ons like zero depreciation cowl, roadside help, key and lock alternative, tyre protector, and bill worth will help you increase protection.
Personal injury insurance coverage insurance policies are legitimate for one yr and have to be renewed yearly. Nonetheless, many insurance coverage firms have additionally began providing long-term plans like 3+3 years, that are extremely reasonably priced. The premium is dependent upon components just like the automobile’s age, registration location, make and mannequin, and voluntary deductibles.
For all-around safety, a complete coverage combining third-party and OD insurance coverage is really useful.
Complete bike insurance coverage affords peace of thoughts by guaranteeing monetary safety within the occasion of an accident. It safeguards not simply your funds but additionally offers protection for unexpected conditions like theft, pure calamities, and third-party liabilities.
Because the variety of autos on India’s roads continues to rise and the danger of accidents grows, having ample insurance coverage is not only a authorized want however a vital step in defending your self and others.
Complete bike insurance coverage affords peace of thoughts by guaranteeing monetary safety within the occasion of an accident. Give it some thought—you’ve invested a lot in your motorbike, a companion in your day by day rides and cherished journeys.
With as we speak’s know-how, shopping for or renewing bike insurance coverage is extremely easy and will be carried out in underneath a minute. This small step ensures your security, safeguards your bike, and retains you ready for any surprising scenario on the highway.
(The author is head, two-wheeler insurance coverage, Policybazaar.com)
