In India, most people prefer riding motorcycles for their daily transport. The popularity can be attributed to the convenience it offers in terms of fuel efficiency, low maintenance, and easy navigation through traffic jams. If you own a bike in India, as per law, you must have an insurance cover for it. Today, while many insurance companies in India offer bike insurance policies but finding the right policy at an affordable premium can be overwhelming.
While you are looking for the best bike insurance policy, apart from comparing the quotes, there are many ways to reduce your premium amount. Some of the best ways to save on your premium are listed below:
Choose your bike carefully
A lot of people don’t realise the fact that the insurance companies consider the bike model and make as one the critical factors to determine the premium amount. If you own an expensive sports bike or an adventure bike with high engine power, be ready to pay a high premium. Also, you if own a rare or exotic model, you will be charged a higher premium. But, if you have a standard bike, you can get an insurance cover at an affordable premium as the insurers consider that the cost for repairs and replacement of parts are lower than expensive bikes.
Go for an annual premium payment option
A lot of insurance companies tend to reduce the premium if you pay the yearly premium in full at the time of purchasing the policy. So, if you opt for an annual premium payment option, you can get the insurance cover at a lower cost than if you pay the premium every month.
Avoid small claims
One of the best ways to save on your bike insurance premium is to avoid making claims for minor repairs. The insurance companies reward the policyholders who do not file a claim in a policy year in the form of a discount on premium during renewal.
Enhance your bike’s security
If you have installed a high-tech security device like disc brakes, GPS or anti-theft locking system, it will not only prevent your bike from damages and theft, but also you are likely to get insurance cover at a lower rate. Since the security devices reduce the risks posed to the insured bike, the insurance companies are likely to offer you a discount on the premium.
Combine your policies
This is another effective way to save on your bike insurance premium. If you have purchased a car insurance policy or health insurance from a particular insurer, you can consider buying a two-wheeler insurance policy from the same company. Since you have an existing relationship with the insurer, they might offer you bike insurance at a discounted rate.
Increase your deductibles
You can reduce your bike insurance premium by increasing your deductibles. The deductible is that amount you pay when you file for a claim. So, if you cannot afford to pay a high premium for your bike insurance, increasing the amount you pay as deductible could be the best solution.
Compare the policies
It may seem obvious that you must buy two-wheeler insurance by comparing the policies of different insurance companies. But, a lot of people don’t realise the importance of comparison and tend to buy a policy that the bike dealer tries to sell them or choose the one that has a seemingly low premium. But often the insurance companies that offer policies at low premium provide poor service. Make sure to compare at least 4-5 policies from different insurance companies and know their inclusions, exclusions, quality of services offered, claim settlement ratio. Comparing the policies will help you get the best cover at the best price.
Before you set out to buy two-wheeler insurance, it is paramount that you set a maximum budget you wish to spend on the premium. This will help you choose the right lender and make your choice easier. Insurance companies like IFFCO Tokio provide customers with benefits such as cover for damage caused by natural disasters, 4300+ garages which offer cashless facility, No Claim Bonus discounts up to 50%, etc.