Bike insurance is mandatory for every two-wheeler owner in India. Driving without it can lead to heavy fines. As your bike insurance comes up for renewal, it’s crucial to evaluate a few factors to ensure you get the best deal and proper coverage. Renewing your policy without reviewing the key aspects could result in paying more than you should or receiving insufficient protection.
Here are 5 essential tips that will help you save money and stay protected when renewing your bike insurance.
1. Revisit Your Current Insurance Plan
Before renewing, always take a moment to review your existing insurance policy. Carefully check the premium you paid, the coverage it offers, and the terms and conditions. Sometimes, the current plan might not offer the same value it once did. In that case, you can explore new insurance options from different companies for better offers. However, if the policy still meets your needs, you can renew it directly.
2. Don’t Forget Your No Claim Bonus (NCB)
One of the biggest benefits of not making any insurance claims in a year is the No Claim Bonus (NCB). This is essentially a discount that helps lower your renewal premium. Always check if the NCB has been applied correctly during renewal. Even if you switch to a new insurance company, the NCB remains valid and can be transferred. Missing out on this could mean paying more for the same coverage.
3. Understand and Adjust the Insured Declared Value (IDV)
The Insured Declared Value (IDV) represents the current market value of your bike, which influences how much you’ll be compensated in case of total damage or theft. Set your IDV carefully. If it’s too low, you’ll receive a smaller claim amount. If it’s too high, your premiums will increase. Use your bike’s market value as a guide to adjust the IDV, ensuring you get the right coverage without overpaying.
4. Compare Different Insurance Policies
It’s always smart to compare multiple insurance options before renewing. Different companies offer various plans with unique benefits and pricing. Look at least three or four policies and compare their premium rates, coverage details, and ease of claim settlement. Some policies may offer better value at a lower cost. This simple step can help you get more benefits without overspending.
5. Consider a Long-Term Policy for Maximum Savings
If you’re looking for extra savings, a long-term bike insurance policy can be a great option. These policies cover your bike for multiple years—often up to three years—helping you avoid the hassle of annual renewals and protecting you from possible premium hikes. Additionally, with a long-term policy, you’ll still be eligible for the NCB, which can significantly lower your future renewal costs.
By following these tips, you can ensure that your bike insurance renewal process is smooth and that you get the best protection at a reasonable price. Be sure to review your options carefully and choose what suits your needs the most.
