Types of insurance options for two-wheelers: How are they beneficial?

Buying an insurance policy for a two-wheeler is much easier and more beneficial than ever before. Here, we look at all types of insurance schemes one can buy for two-wheelers in India and how beneficial they are for two-wheeler owners in the long run.

India is one of the largest two-wheeler markets in the world. For ensuring the safety of all motorists, two-wheeler insurance is a must for protection against damages in case of an accident. In today’s times, there are multiple and flexible types of insurance plans on offer for two-wheelers, suiting the requirements of the buyers.

Types of two-wheeler insurance options:

There are two types of insurance options widely preferred by two-wheeler buyers in India – third-party liability insurance and comprehensive insurance.

1. Third-party liability insurance

It is a basic cover which offers protection and assurance against injuries caused to other people and damages to their vehicle in case you meet with them in an accident.

2. Comprehensive insurance

It is the more preferred and viable insurance option, which offers complete cover against damages caused to third-party and even your vehicle. Apart from damages caused to a two-wheeler in an accident, comprehensive insurance covers adversities like theft and damages caused during a riot or natural calamity. 

Types of add-ons in comprehensive insurance for two-wheelers:

If you choose to buy comprehensive insurance, which is recommendable, there are a few additional covers, which you add to your policy. These add-ons bring in more benefits for you while availing a claim from your insurance policy. Here are those:

1. Roadside assistance –

It provides prompt assistance, in case your two-wheeler breaks down due to a mechanical or electrical problem while you are riding it. 

2. Zero depreciation –

It is one cover, which should be a must for all two-wheeler owners in India. If you avail zero depreciation for your two-wheeler insurance, you can avail compensation for all the damages to your two-wheeler in case of an accident. In this case, you do need not to pay for the repair process and the spare parts after the accident. 

Why is a good two-wheeler insurance cover essential?

While buying an insurance policy is essential, some people find loopholes to avoid the ‘additional cost’ they have to spend on an insurance policy. In many cases, people buy only the basic third-party cover to meet the legal obligation and do not go for comprehensive insurance. 

And unfortunately, some people do not even go for this most basic cover and ride their two-wheelers without insurance, playing with their own and others’ safety. It should not be done, for an insurance policy has its benefits, all of which are as follows:

1. Lowering financial stress in an emergency

A comprehensive insurance policy protects your vehicle against damages caused by an accident or total loss in events like riots and natural calamities. If your two-wheeler has no such insurance cover, you will have to face the brunt of losses caused against these damages. 

Also, if your two-wheeler does not have even the basic third-party cover, which is legally must to have, you will have to pay compensation for injuries and damages to third-party in case of an accident. 

2. A personal accident cover

Nowadays, many two-wheeler insurance providers also cover adversities like permanent disabilities and the death of the owner of the two-wheeler. In such a case, the insurance company gives compensation to the family members of the sufferer, which is almost equal to the insurance value. 

3. Offers legal protection

If your vehicle is protected with a good insurance policy, no one can bind you to pay for damages caused to third-party in case of an accident. An insurance policy offers legal protection to you in case of an accident.

Conclusion

Buying an insurance policy is a mandatory process by law. However, according to law, buying bare minimum insurance with third-party cover is a must practice. While it offers you legal and financial protection against damages caused to a third party, it gives no compensation for damages caused to your vehicle. 

It is why buying a comprehensive insurance policy is more recommendable to cover more damages. Buying a comprehensive insurance cover is more expensive, but it covers more damages and saves a lot of repairing and servicing costs in case of an accident.