Due to the ongoing pandemic, the ever hustling life of people has come to a standstill. Moreover, the lockdown and restrictions on movement have curtailed travelling. But during such tough times, one should not forget about their motor insurance plan.
We understand that the use of your bike is minimal at this moment. But you still have certain responsibilities towards it that you need to fulfil. The most important thing is to renew your bike insurance plan if it is nearing expiry.
When caught by traffic police with an inactive bike insurance plan, you will have to pay a fine. The penalties charged on not having a valid bike insurance policy have been increased. As per the New Motor Vehicles Act, the fine for the first offence of riding with bike insurance is INR 2000 and/or imprisonment of up to three months. The subsequent offences will have a fine of INR 4000 and/or imprisonment of up to three months.
Some of the other reasons to renew your bike insurance plan on time are as follows.
- Your bike is protected against theft and natural calamities
The lockdown has reduced the use of bikes or any other vehicle. But this does not mean that your bike is not prone to damage. Unfortunate incidents can happen at any time and anywhere. You may be a victim of bike theft or a natural disaster causing damage to your precious possession. During such a situation, it is wise to have a comprehensive bike insurance plan.
Failing to have an active policy means that you will incur a financial loss in case of theft or have to pay the damage repair expenses from your pocket. In either of the situations, you will be losing a fortune.
- You get access to the No Claim Bonus (NCB)
For every claim-free year, the insurer rewards you with a No Claim Bonus (NCB). You receive a minimum of 20 percent of NCB in the first year, which can go up to 50 percent for five consecutive claim-free years. This accumulated bonus can be used to avail discounts on your future bike insurance premiums. Failing to renew the policy on time will lead to losing the NCB altogether.
- Offers extensive protection to your vehicle
You can choose to buy a third party bike insurance policy as it is mandatory by law. But know that this policy offers limited coverage. For extensive coverage, you should opt for comprehensive bike insurance.
The policy provides cover for third-party liability and damage to your vehicle as well. Most comprehensive plans also offer personal accidental protection within the basic policy. In fact, it allows you to extend the scope of the policy with add-on benefits as well.
To calculate the premiums charged on your comprehensive bike insurance plan along with the add-on benefits, use the bike insurance premium calculator. This tool is available for free online on your insurer’s website.
Keeping your bike insurance up to date will ensure that your motorcycle is financially protected in case of emergencies. In fact, if you are looking for a hassle-free and quick renewal process, download a bike insurance app. With this app, you can buy/renew your insurance plans anytime and on the go.