Two-wheeler insurance provides coverage for any kind of damage to your bike against any unforseen events. It covers the medical expenses for the injuries caused by your two-wheeler vehicle. In India, it is mandatory to have two-wheeler insurance, at least a third-party liability cover. But there are some misconceptions regarding two-wheeler insurance which might confuse you.
So, here we will discuss about two-wheeler insurance common myths and their actual facts.
Myth 1: Only third party liability cover is sufficient.
Coverage for only third-party is enough.
Fact- Coverage for third-party as well as for your own bike is required.
Third-party liability cover only provides coverage for any damage to the third-party. But it does not insure your own bike. So, its always better to go for comprehensive coverage. Otherwise, it might cost you a lot of money for any damage to your bike.
Myth 2: Use of two-wheeler for personal as well as commercial use will be covered under two-wheeler insurance.
Your two-wheeler insurance covers both personal and commercial usage.
Fact- Only personal use of your bike is covered under the insurance policy.
Your two-wheeler insurance plan provides coverage for your personal use of the bike. But if you are using it for any commercial reason, then its coverage is not included in the insurance policy.
- Myth 3: Change of insurer is not possible
Once you have bought a two-wheeler insurance, you can’t change the insurer.
Fact- Its not true at all.
Usually, two-wheeler insurance policies are valid for a year or two. After that, you can easily change your insurer at the time of renewing your two-wheeler insurance plan. Also, you can enjoy the benefit of No Claim Bonus or NCB, that you have earned from your previous insurer.
- Myth 4- Your premium amount depends only on your credit score.
Two-wheeler insurance premium depends only on your credit score.
Fact- Your credit score does not affect your two-wheeler insurance premium.
Many a times, it is believed that your premium amount depends only on your credit score. But this is not purely true. The premium amount depends on many factors such as- model of your bike, capacity of the engine, year of vehicle manufacture and much more. Usually, a good credit score is not a determinant of your two-wheeler insurance premium.
- Myth 5- Insurance for pillion rider is automatically covered by the two-wheeler insurance.
The coverage for pillion rider is covered automatically.
Fact- Under two-wheeler insurance policy, the pillion riders are not automatically insured.
In case your bike met with an accident, the medical expenses of the pillion rider is not covered under the insurance policy. But if you go for an add-on of personal accident cover, then the insurance for pillion rider is covered.
- Myth 6- All damages are covered under the insurance policy.
Two-wheeler insurance covers all damages caused by you.
Fact- This is not true in all situations.
If you are found guilty of drinking and driving, then the damage you cause will not be covered by the insurance company. The insurer will straight nullify your claim for coverage.