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Why Two-wheeler Owners Should Consider Multi-Year Insurance Plan?

Published on September 19, 2020. EST READ TIME: 5 MIN

Two-wheelers have become the preferred mode of transportation for people due to their convenience and safety features. However, we all need to be responsible drivers and follow the law. As per Indian Motors Act 1988 and recently enacted Motor Vehicle Amendment Act 2019 it is mandatory that all drivers have their two-wheelers insured, failing which they would be fined Rs 2,000 and /or imprisonment up to 3 months and on subsequent offence, fine goes up to Rs 4,000 and/or imprisonment up to 3 months.

Two-wheeler insurance falls into three categories.

  • Third-Party Policy: It protects the insured from the liability arising out of any 3rd party injury or death, also damage caused to the 3rd party property is covered. Further your may also opt for personal accident cover for owner driver for a sum insured of Rs 15 lakhs.
  • Comprehensive Two Wheeler Insurance: This plan offers coverage against damages to your vehicle from natural calamities like hurricanes, fire, earthquake, manmade events including riots, strike etc. In addition to this it covers any third party liability in term ofdeath, bodily injuryand property damage. Further, you may also opt for personal accident cover for owner driver for a sum insured of Rs 15 lakhs.
  • Standalone Own Damage Insurance Policy:. Another type of insurance policy which you can buy to safeguard your vehicle is Standalone Own Damage insurance policy. This plan will provide protection to your vehicle against theft, fire, flood, earthquake etc and is similar to the own damage cover available under comprehensive insurance policy.

All good things comes with a caveat so you will have to have a mandatory Third Party or Liability only insurance policy for the desired policy duration failing which you cannot buy this insurance policy. Further, this policy can be offered only to Private car and Two wheeler and not to other types of motor vehicles.

People plan for their holidays and work out the details well in advance but when it comes to renewal of their two-wheeler insurance plans, they keep on postponing it to the last day of renewal, however with online renewal of two wheeler insurance, the process of renewal can become less cumbersome.

Let’s discuss the benefits of online renewal of two-wheeler insurance

  • Renewing a two-wheeler insurance policy online presents you with the opportunity to select a suitable policy as you can compare the coverages offered by different two-wheeler insurance companies at the same platform.

  • Renewal of two-wheeler policy online reduces the hassle of interacting withthe middlemen or the agent as this would increase the time to renew the policy

  • You can renew your two-wheeler policy online, you can get it done from your place and time of convenience

  • Renewal of two-wheeler insurance policy online reduces the paperwork and documentation, the issuance of the policy is done in an instant.

  • Payment of premium is done over a secured channel where the confirmation of the payment can be received as soon as the premium amount gets deposited in the insurers account.

Keeping the following data beforehand can make your journey of renewal of your two-wheeler insurance seamless

  • Model

  • Variant

  • Year of Registration

  • City of Registration/RTO

  • Your choice on Comprehensive/Third Party/Stand Alone

  • No Claim Bonus details

The above information is for illustrative purpose only. For more details, please refer to policy wordings and prospectus before concluding the sales.

This blog has been written by

S. Gopalakrishnan | Motor Insurance Expert | 40+ years of experience in insurance industry

A veteran in insurance industry. S. Gopalakrishnan is a name to reckon with in the field of reinsurance, he has headed the Reinsurance department and has rich experience in other fields of motor insurance. He loves to share his opinion on latest topics in the insurance industry and how he can help people in safeguarding their assets using insurance products.

S. Gopalakrishnan recommends "HDFC ERGO for your vehicle insurance needs, it has always put customer’s interest at the forefront, with round the clock assistance to deal with emergency breakdown issues and hassle free claims process. You can be assured of complete and reliable guidance through the whole process".

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