Last Updated on 05/01/2024 by Pardeep Garg
Two Wheeler insurance is a type of vehicle insurance that covers any accidental damage caused to your vehicle. The damage could be caused due to accidents, theft, burglary, natural disasters, or man-made calamities, and so on.
Buying bike insurance is a must because it will cover for any third-party liability arising due to the accident. It will also cover any accidental injuries caused to you or someone else in the accident in which your bike was involved.
What is Two Wheeler Insurance?
Two Two-wheeler insurance is a type of vehicle insurance that provides financial protection against any type of damage caused to the motorcycle/two-wheeler. Your bike could get damaged in case of an accident, fire, theft, natural disasters, etc. Your two-wheeler insurance will provide cover to repair the accidental damage caused to your vehicle.
This way you will be saved from all sorts of financial losses arising from having to repair your bike. Moreover, getting your vehicle insured has been mandated by the Motor Vehicle Act, of 1988. Keep in mind that bike insurance will not provide any coverage if the accident has been caused when the driver was under the influence of drugs or alcohol.
What are the Benefits of Two Wheeler Insurance?
A motorcycle ride could sometimes turn out to be pretty dangerous. With the busy streets of India and the mindless driving by the rider, you need to be prepared for anything. In case of an accident or a mishap, the expenses to repair your bike could reach the sky.
Additionally, if someone else gets injured, then you might be required to pay for their treatment as well. With that being stated, two-wheeler insurance is essential.
Apart from that, given below are several benefits you receive with two-wheeler insurance:
1. Financial Protection
If your two-wheeler vehicle gets involved in an accident where any third party’s vehicle or property gets damaged, then the policy will provide financial protection for that. Keep in mind that you never know how big the accidental damage might be and it might be impossible for you to afford it. With bike insurance online, you don’t have to worry about these things and can enjoy your ride peacefully.
2. Accidental Injuries
The policy does cover the damages caused to your vehicle in an accident. Additionally, it also covers the treatment of any accidental injuries you or anybody else might have faced. So, it takes care of your vehicle and you too.
3. Any Kind of Two Wheeler Covered
You can cover all types of two-wheelers with this policy. It can cover scooter, moped, motorcycle, or bike. It provides cover irrespective of the type of two-wheeler vehicle you have.
4. Spare Parts Cover
The demand for bikes and motorcycles is increasing in India. This has led to a surge in their costs along with the cost of the spare parts of motorcycles. So, if you happen to be in a situation where you need to replace some spare parts. Online bike insurance will provide the cost of spare parts as well and save you from a lot of financial trouble.
5. Emergency Roadside Assistance
You can also choose the option of roadside assistance while purchasing a policy. You will receive assistance on the road in case you need it or any mishap happens. This service also includes towing, repair, flat tires, and so on.
How to Calculate Two-Wheeler Insurance Prices?
You will find several online two-wheeler insurance calculators. These can help you get an idea of the premium that you need to pay. You just need to fill in some basic details such as the following:
- Insured Declared Value (IDV) of your two-wheeler vehicle.
- Engine Cubic Capacity (CC) of the bike or scooter.
- Registration zone
- Vehicle’s age
You know very well that these factors have a direct effect on the insurance premium. You can also alter some specs and compare the results to make the best choice. Thereafter, you can select the best insurance that suits your needs and purchase it.
How to Save on Your Two-Wheeler Insurance Premium/Price?
Everybody would want to receive the maximum coverage at an affordable premium. This is indeed possible in several ways. Check them out:
1. No Claim Bonus
For every claim-free year, you receive a No Claim Bonus. You can utilize it the next year to receive discounts on your premium without compromising the coverage.
2. Vehicle’s Age
Older motorcycles have lower IDV, and hence, attract lower premium rates. So, you need to know how old your bike is or the manufacturing year of the bike.
3. Safety Devices
You could also install extra safety features such as an anti-theft device. Added safety ensures that there are fewer chances of your bike suffering any damage from theft, burglary, etc. So, this ensures that there is a lesser probability of filing a claim. Hence, the insurer will offer a discount for adding safety features.
4. Engine Capacity
Carefully choose the engine cubic capacity of your bike. This is because the premium price is decided as per the engine cubic capacity of your vehicle. A higher CC attracts a higher premium cost.
5. Voluntary Deductible
Deductibles will lessen the insurance company’s liability towards the claim amount. This is because you are paying a certain sum of money for it from your pocket. In turn, the insurer will offer a low premium rate if you opt for a higher voluntary deductible.
Types of Bike Insurance Policy
There are two major types of two-wheeler insurance in India: Comprehensive bike insurance and Third-party bike insurance.
1. Third-Party Bike Insurance
Third-party bike insurance will protect you from all sorts of legal issues arising out of accidents. If an accident caused by your vehicle results in any injury or damage to someone else’s property, then your insurance will provide coverage.
As per the Indian Motor Vehicle Act, 1988, it is mandatory for all vehicle owners to buy third-party liability insurance. If you don’t comply with the same, then you will have to face legal actions.
The premium price for third-party bike insurance is decided as per the vehicle’s engine capacity. Given below is the list of all the premium rates for third-party two-wheeler insurance:
| Vehicle Engine Type | Third-party insurance premium rate (2018-2019) | Third-party insurance premium rate (2019-2020) | Percentage Increase |
| <= 75cc | INR 427 | INR 482 | 12.88% |
| >75cc and <=150cc | INR 720 | INR 752 | 4.44% |
| >150cc and <=350cc | INR 985 | INR 1193 | 21.11% |
| >350cc | INR 2323 | INR 2323 | NA |
- Coverage provided by third-party two-wheeler insurance includes:
- Damage caused to third-party vehicle in the accident
- Damage is caused to another person due to the accident caused by your vehicle.
- Damage caused to someone else’s property.
2. Comprehensive Bike Insurance
Comprehensive two-wheeler insurance protects your bike against its own damage too in addition to third-party liability. It will provide financial protection in case of mishaps like fire, theft, natural disaster, accidents, man-made calamities, and so on. You will also receive a personal accident cover in case you face an accident while riding your bike.
Coverage provided by comprehensive two-wheeler insurance includes the following:
- Own Damage
- Damage due to theft
- Damage caused to any third-party vehicle
- Damage caused due to fire
- Damage caused due to natural calamities
- Personal Accident Cover of up to INR 15 lakhs.
Best Two Wheeler Insurance Companies in India
| Sl. No. | Two Wheeler Insurance Company | Incurred Claim Ratio (2018-2019) | Network Garages | Features |
| 1. | Bharti AXA Two Wheeler Insurance | 75% | 2000+ |
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| 2. | Digit Two Wheeler Insurance | 76% | 1000+ |
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| 3. | HDFC ERGO Two Wheeler Insurance | 82% | 6400+ |
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| 4. | Edelweiss Two Wheeler Insurance | 145% | N/A |
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| 5. | IFFCO Tokio Two Wheeler Insurance | 87% | 8400+ |
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| 6. | National Two Wheeler Insurer | 127.50% | 900+ |
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| 7. | Oriental Two Wheeler Insurance | 112.60% | Available |
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| 8. | Reliance Two Wheeler Insurance | 85% | 1200+ |
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| 9. | SBI Two Wheeler Insurance | 87% | 2900+ |
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| 10. | United India Two Wheeler Insurance | 120.79% | 700+ |
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1. Bharti AXA Two Wheeler Insurance
Bharti AXA two-wheeler insurance policy is one of the best two-wheeler insurance in India. It has received 2 international certifications for its exemplary performance. Bharti AXA will provide you with a fast claim settlement process, a large network of cashless garages, 24 x7 customer support, and more.
2. Digit Two Wheeler Insurance
Digit General Insurance is the budding insurance company in India. This is one of the best bike insurance companies in the current market. You will receive extensive coverage with its bike insurance plan.
3. HDFC ERGO Two Wheeler Insurance
HDFC ERGO is one of the best two-wheeler insurance companies in India. Their plans provide you with several benefits like discounts, unlimited claims, etc. Moreover, you’ll enjoy paperless documentation and 24×7 customer support.
4. Edelweiss Two Wheeler Insurance
Edelweiss Two Wheeler insurance is yet another top bike insurance company in India. They provide both third-party liability and comprehensive policy. Some advantages you will receive with this policy are paperless documentation, easy payment, bike insurance renewal, and more.
5. IFFCO Two Wheeler Insurance
IFFCO Two Wheeler is one of the most cost-efficient bike insurance in India. This bike insurance company has a series of bike insurances to cater to your needs. A major plus point of this company is that their premiums are very affordable.
6. National Two Wheeler Insurance
National Two Wheeler Insurance is one of the largest and oldest two-wheeler insurance companies. They provide you with efficient policies to protect your two-wheelers from all kinds of damage aka own damage cover. Besides, they’ll also take care of all third-party liabilities that might arise from the accident.
7. Oriental Two Wheeler Insurance
Oriental Two Wheeler Insurance is famous to provide customized bike insurance plans for you. You can purchase, renew, and file a claim for your insurance online. They also provide several add-ons such as nil depreciation, free benefit, EMI protection, etc.
8. Reliance Two Wheeler Insurance
Reliance Two Wheeler insurance is one of the leading two-wheeler insurance companies in India. They provide you with two types of variants when it comes to insurance. These policies come with a personal accident cover of up to INR 15 lakhs, protection against third-party damage, several add-ons such as daily allowance benefit, etc.
9. SBI Two Wheeler Insurance
SBI Two Wheeler Insurance policy provides your bike with the best protection it could ever get. It will protect your bike against all types of damage caused due to accidents, theft, fire, and so on.
10. United India Two Wheeler Insurance
United India Two Wheeler Insurance provides different policies to meet your needs. This insurance will give you access to quick and easy claim settlement, discounts on premium, various add-on covers like nil depreciation cover, EMI protection, and so on.
Things to Know about Bike Insurance Policy in India
The Two-wheeler insurance industry has changed drastically with the emergence of new players. With that, a lot of new features have also been introduced to the policies. Given below are some of the key features of bike insurance in India:
1. Types of Coverage
The rider will have the option of choosing either the comprehensive bike insurance or the liability-only one. The liability-only policy is mandatory as per the Indian Motor Vehicle Act, 1988. So, the vehicle owner needs to have at least that. On the other hand, the comprehensive two-wheeler insurance policy provides more extensive coverage. It will cover its own damage, third-party liability, and damage due to theft, natural causes, etc.
2. Personal Accident Cover
Earlier, the maximum Personal Accident cover was fixed at INR 1 lakh, but now it has been increased up to INR 15 lakh by IRDA. It is mandatory as well. So, two-wheeler owners can now avail of a personal accident cover of up to INR 15 lakh.
3. Add-ons
You can also opt for certain add-ons at your convenience. It will increase your premium price at an extra cost. Add-ons will give your vehicle better protection. These could include emergency roadside assistance, cover for spare parts, zero depreciation cover, etc.
4. No Claim Bonus
No Claim Bonus or NCB is the discount you can avail of on your premiums for every no-claim year. This is a form of reward for safe driving practices and not filing any claims the previous year.
5. Discounts
IRDA has approved several discounts on your bike insurance policy. You will receive discounts for anti-theft device installation, membership in a recognized automotive association, and so on.
6. Quick Registration
You can get your two-wheeler insurance online quickly via online registration. Registration through the mobile app is also available. So, you can easily purchase or renew your policy online.
Benefits of Buying Two-Wheeler Insurance Online in India
Given below are some of the main benefits of buying two-wheeler insurance online:
- You can compare the features of different bike insurance online.
- The premium price could also be calculated online and compared with other policies’ premium rates.
- Policy renewal can be done online quickly and easily.
- You will receive the policy documents instantly in your email.
- You can file claims online as well.
- Payment becomes convenient with several online payment options.
- You can also compare different comprehensive bike insurance plans.
- No extra charges required
- Previous bike insurance details not needed
- No inspection or documentation needed
- Claim settlement becomes quick and easy
How to Buy Two-Wheeler Insurance Online in India?
Follow the given steps to learn how to buy a two-wheeler insurance policy online in India:
1. Assessment
It’s very important to know what you want from your bike insurance. Analyze whether it is affordability, complete coverage, or something else. Also, assess your vehicle by judging its age, its IDV, and more. These things will help you decide what you need.
2. Comparison
Comparing two-wheeler insurance online before buying one is an absolute must. You must compare the features, the cover, the inclusions, and everything else about the insurance before selecting one. This practice becomes easier because you will find everything online.
3. Selection
As per your assessment and analysis, pick one two-wheeler insurance online that meets your needs. Make sure you know everything about the plan so that it is an informed decision.
4. Go to the Website
Now, you need to visit the website of the bike insurance policy that you have selected. Then register yourself and select the policy you wish to buy. After filling in your details along with the documents required, you need to pay the premium.
5. Payment
You can pay the premium through any online method like net banking, UPI payments app, etc. Then, the insurer will examine your vehicle and approve your application. You will receive the confirmation mail within minutes of making the payment.
What are the factors that affect your Bike Insurance Premium?
The premium value of an online two-wheeler insurance isn’t fixed. Rather, it varies from one insurer to another and also depends on a couple of factors. Given below are some of those:
1. Insured Declared Value
The listing price of your vehicle is the Insured Declared Value (IDV). This is also the maximum amount of sum you could claim for and in turn, the sum insured can’t exceed this value. So, the higher your bike’s IDV, the more the premium you have to pay.
2. Bike’s Age
Insured Declared Value (IDV) depends on your bike’s age as well. If your bike is old, then its IDV will be lower than that of a new one. As we have stated earlier, the lower the IDV, the lower your online bike insurance premium.
3. Claim History
If you do not make any claims for a year, then you are eligible to receive a No Claim Bonus (NCB). This could be provided to you in the form of discounts on the premiums you pay. The cleaner your claim history is, the lower your online two wheeler insurance premium will become after the bike insurance renewal.
4. Coverage
There are mainly two types of bike insurance that you can take up: Third-Party Liability and Comprehensive Cover. Now, third-party bike insurance will provide cover for third-party liabilities only that arise out of accidents. While comprehensive two-wheeler insurance will cover a lot more than just third-party liability. So, better protection means a higher premium. Quite evidently, you would have to pay a higher premium for comprehensive policy and other add-ons (if you take any).
5. Extra Security Features
It’s better to install an anti-theft device in addition to other security features. This will make sure that your chances of financial losses are minimized. Better security indicates that the chances of claim due to theft or burglary are reduced. Hence, the insurer will give you higher discounts on your online bike insurance premium.
What are the Inclusions of Two Wheeler Insurance?
If someone is planning to buy two-wheeler insurance online, then they must know what is included in the plan. This will help you make better judgment and hence, a better decision. Given below is the list of inclusions of a two-wheeler insurance policy:
- Damage due to natural calamities
- Damage due to manmade causes
- Own Damage Cover
- Personal Accident Coverage
- Damage caused due to Theft
- Third-Party Liabilities
- Damage caused due to fire or explosion.
What are the Exclusions of Two Wheeler Insurance?
A lot of things are not covered under two-wheeler insurance. Besides, the inclusions and exclusions of a bike insurance policy also depend upon the insurer’s terms and conditions. Anyway, given below are the general exclusions of a two-wheeler insurance policy:
- Damage due to normal wear and tear of your bike.
- Loss caused by mechanical or electrical breakdown.
- Damage to tyres due to normal use.
- Any damage caused while the driver was intoxicated.
- Any damage caused due to wars.
How to Claim your Two Wheeler Insurance?
There are two ways to claim your bike insurance policy. Either, you can lodge a cashless claim, else you could file a reimbursement claim. Given below is a detailed explanation for both of them:
1. Cashless Claim
In this case, the claim amount will be directly transferred to the cashless network garage where you are getting your bike repaired. Hence, this facility is very convenient and doesn’t involve much paperwork. Keep in mind that you will get access to cashless claims only if you go for repair at a network garage of the insurance company.
Given below are the steps you need to follow to file a cashless claim:
- First, you need to inform your insurer about the accidental damage caused due to an accident or other mishap.
- Then, the insurance company will survey to investigate the mishap.
- Duly fill in the claim form and submit it with the documents required.
- The insurer will process the claim and if all the details are legit, they will approve your claim.
- You can get the repair done at any cashless garage in the network of your insurance company.
- After the repair is done, your insurer will pay the repair charges to the garage itself.
- However, you will still be required to pay off the non-covered expenses or deductibles, if any.
2. Reimbursement Claim
You need to file a reimbursement claim only if the repair is done at a garage that is not included in the insurer’s list of cashless garages. Here, you will be needed to pay the expenses for the repair yourself, and later you can file for the reimbursement.
Here are the steps to get a reimbursement claim from your bike insurer:
- You need to register the claim with your insurance company
- Duly fill in the claim form and submit the documents they ask for.
- A survey will be initiated to find out an estimate of the repair cost.
- Get your insured bike repaired at any garage. Remember that you will have to pay for the repair.
- Submit the bills, receipts, and proof of release of your vehicle to the insurance company.
- If your claim is found to be legit and approved, then you will receive the claim amount.
What are the Documents Required to apply for a Two two-wheeler insurance?
Given below is a list of all the documents that you need to submit while filing a claim for two-wheeler insurance:
- Duly signed application form for the claim
- Copy of the Registration Certificate (RC) of your insured vehicle (Should be valid).
- Copy of your driving license.
- Copy of the policy documents.
- Police FIR if the damage caused is due to accident, theft, etc. and involves third-party liability.
- Original repair bill, payment receipt, and proof of release of your vehicle.
FAQs
Q1. What types of add-on covers are available for Two Wheeler Insurance?
Ans. Two Wheeler Insurance provides you with several add-on covers. These include the following:
- Zero Depreciation Cover
- No Claim Bonus (NCB)
- Emergency Assistance Cover
- Daily Allowance Benefit
- Helmet Cover, etc.
Q2. How to Buy a Two Wheeler Insurance Online?
Ans. Follow the given steps to buy two-wheeler insurance online:
- Go to the insurance provider’s website.
- Register yourself and fill in the details of yourself and your vehicle.
- Proceed to make the payment through any of the online payment portals.
- You’ll receive a confirmation mail just after a few minutes.
Q3. How should I renew my expired bike insurance?
Ans. If your motorcycle insurance has expired, then you can renew it via online premium payment within the due date. An inspection ID will be generated and then the policy will be renewed.
Q4. Is the NCB of my bike insurance transferable?
Ans. Yes, you can transfer the NCB of your two-wheeler insurance. This can be done while policy renewal. Keep in mind that you need to do the transfer within 90 days of the renewal due date.
Q5. What will happen to my insurance if I relocate to somewhere else?
Ans. Nothing much will happen to the policy if you move. You will need to change your contact details. Also, the premium might change because your bike insurance premium depends on the location you drive it in.
Q6. What is a Personal Accident cover?
Ans. A personal accident cover will protect you against accidental death or permanent disability caused due to an accident. Most two-wheeler insurance companies provide up to INR 15 lakhs as PA cover.
Q7. What is NCB?
Ans. No Claims Bonus is the discount you receive most probably on your premiums for not claiming anything in the last year.
Q8. What is IDV and how to calculate it?
Ans. Insured Declared Value (IDV) is the market value of your bike. It can be calculated by adjusting the manufacturer’s selling price as per the vehicle depreciation based on its age.
Q9. What is Voluntary Deductible?
Ans. Voluntary Deductible is the agreed amount you’ll pay that will in turn go out to pay yourself when you file a claim. Now, this means that the company will have to pay less in case of a claim. So, they acknowledge this by offering you low premium rates.
Q10. What to do if my insured vehicle is stolen?
Ans. You need to immediately report the incident to the police. Then, you can register a claim with the insurance provider.
Q11. Can I cancel my two-wheeler insurance claim?
Ans. Yes, you can cancel your claim anytime you want to. You just need to inform the insurance provider about the same.
Q12. Can I file a claim after my policy expires?
Ans. Yes, you can file a claim after the policy expires if the accident took place when the policy was still active. If the incident happened after the policy expiration, then you can’t lodge a claim.
Q13. Why do I need to insure my two-wheelers?
Ans. If you own a two-wheeler, then you must insure it because the third-party liabilities arising out of an accident will be too hard on your pocket. Besides, getting third-party two-wheeler insurance is mandatory as per the Motor Vehicles Act, of 1988. Also, you will need coverage to pay for damage caused to the vehicle or people injured in an accident.
Q14. Which vehicles can be insured under two-wheeler insurance?
Ans. You can insure any two-wheeler vehicle under this insurance. It can include scooters, bikes, motorcycles, and mopeds as well.
Q15. How long does it take to receive the two-wheeler insurance policy?
Ans. This can vary from one insurer to another. Generally, the insurance is approved after the inspection within 2 or 3 days.
Q16. What is an endorsement?
Ans. An endorsement is a type of written agreement to a change in policy as the need arises.
Q17. What are the types of endorsements?
Ans. There are 2 types of endorsements: Premium bearing and non-premium bearing. In a premium bearing endorsement, you will have to pay additional charges for things like LPG / CNG kit, transfer of ownership, etc.
A non-premium-bearing endorsement does not charge you anything. It is for minor things like contact number change, correction in name, engine, and so on.
Q18. Is there a pre-requisite to make a Personal Accident Claim?
Ans. You can file a claim for PA cover only if you fulfil the following conditions:
- The policy is in your name and you are its registered owner.
- The insurance has a paid driver owner/driver, or a passenger add-on cover.
Q19. What risks are not covered by bike insurance?
Ans. The following conditions are not covered by a two-wheeler policy:
- Damage caused to the vehicle due to normal wear and tear.
- Mechanical and electrical breakdown.
- Damage is caused when the driver doesn’t carry their driving license.
- Damage due to depreciation
- Damage is caused when the driver is intoxicated or under the influence of drugs or alcohol.
Q20. Will my bike model affect the two-wheeler insurance premium?
Ans. Yes, it will. Your motorcycle insurance premium depends largely on the engine capacity. Moreover, things like model numbers also matter because the overall value of the vehicle decides the premium rate.
Bottom Line
It goes without saying, that two-wheeler insurance is necessary for everybody who owns a scooter, bike, motorcycle, or moped. We have compiled everything you need to know about bike insurance right from its types to how to buy it. Hopefully, you will get your doubts clarified by this article. If you still have queries, then let us know in the comments!
