A good plan takes into account several risks and threats which can cause damage to your vehicle and protects you from the expenses arising thereof. These include:
Accidents that your vehicle may be involved in and related damages
A fire or an explosion can turn your mean machine into ashes. But our policy won’t let the heat reach your finances.
We can’t prevent your bike from being stolen, but we can keep your finances secured by covering your theft-related losses.
Some situations are out of our control like natural calamities. But we help you restore your vehicle without denting your finances.
HDFC ERGO is a widely renowned and acclaimed insurance provider, resulting in over 1.5 crore happy customers availing their services. The immense popularity of HDFC ERGO’s vehicle insurance can be attributed to several factors, some of which include:
There are certain factors which affect the calculation of your OD insurance premium amount, and are discussed in the next section. Keeping those factors in mind, you can work towards reducing your OD premium with these handy tips:
● Voluntary Deductibles is the money that you have chosen to pay on your own while filing claims with the insurer. By increasing your voluntary deductibles percentage you can reduce your Own Damage premium. This requires some amount of cost-benefit analysis to be done beforehand.
● It is recommended to provide an accurate Insured Declared Value (IDV) of the vehicle, since it directly influences the OD premium & future disbursal amounts.
● For erstwhile OD or Comprehensive bike Insurance policies with a No Claim Bonus add-on, you should ensure to get them transferred to the current policy, if applicable, to get cumulative benefits.
● People with older vehicles are advised to get Zero depreciation bike insurance Cover to reduce their OD premium.
While we have introduced some of the factors in the previous section, here are some more details on how your OD premium is influenced.
IDV in two wheeler insurance used in OD premium calculation. Overstating this value may be detrimental.
Age of Bike is another important factor since older bikes tend to have higher premiums due to the sustained wear and tear owing to regular usage.
NCB is No Cost Bonus and typically comes with a higher premium. But the benefit it provides is that in case of no claims made, your subsequent premiums get reduced.
Bike Make Model also influences premium calculation. Higher-end bikes will have more premiums associated with them. On the other hand, Bikes with more safety features tend to attract lesser premiums as they are deemed less of insurance risk.
Let us take a quick look at the different aspects of the three most common types of insurance plans.
Third Party Insurance | Standalone Own Damage Insurance | Comprehensive Insurance |
Mandatory legal requirement | Not mandatory, but a choice for the insurer to protect their own vehicle | Not mandatory, but a choice for the insurer to protect their own vehicle |
Most basic policy to bear the expenses for damages caused to the third party involved | Newer policy to protect damages to your own vehicle | Combination of the two, it is a complete package with cumulative features |
All Bikes are eligible for this insurance | Only those vehicles which already have a third-party insurance can buy OD | Instead of opting for third-party, you can directly purchase a comprehensive cover |