Home Finance Major Benefits of Two Wheeler Insurance Renewal

Major Benefits of Two Wheeler Insurance Renewal

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Two wheelers are more vulnerable to road accidents as compared to other vehicles. Even after taking precautions, you might get into a road accident leading to personal injuries and financial loss. Buying an insurance policy for your two-wheeler is very important. But renewing the Insurance policy of your two-wheeler is as important as buying a new policy for your vehicle.

The Motor Vehicles Act, 1988 makes it mandatory for all vehicles to have at least third party insurance. It is important that you renew your two-wheeler insurance on time because it is illegal to ride a two-wheeler without a valid insurance policy. Besides having legal benefits, two wheeler insurance policy renewals have other benefits as well.

6 Benefits of Renewing Two-wheeler Insurance

1. Third party Liability Coverage: Third party liability insurance is a compulsory requirement for two wheeler insurance as per the Motor Vehicles Act. It ensures that the owner of the insured vehicle is free from any third-party liability that may arise in case the vehicle gets involved in an accident. Renewal of two-wheeler insurance gives you protection against third party liability. It covers all expenses and damages in case your two-wheeler vehicle gets involved in any road mishap causing damage to a person or property (third-party).

2. Protection against Natural Calamities: Natural calamities like earthquake, landslide, Fire, Cyclone, Storm, Flood and similar perils may cause damage to your two-wheeler. Renewing your two wheeler insurance policy on time can save you from the heavy expenses arising out of the damages caused by these natural disasters. Your two wheeler insurance policy not only pays for the damages caused due to these perils but also compensates for the loss of life or injury to the rider-owner and its occupants.

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3. Protection against Manmade Calamities: Renewal of your two-wheeler insurance policy on time can safeguard you against loss or damages incurred due to manmade activities like war, riot, stampede, strike, theft, burglary or accident. A valid insurance policy ensures that your financial liability is limited as it pays the sum insured in case of loss of vehicle or covers the cost of repair and replacement.

4. Access to NCB: NCB (No Claim Bonus) is the discount offered by insurance companies on the premium amount if a vehicle owner has not made the claim even once during the policy term. The advantage of renewing your two-wheeler insurance policy is that you can reap the benefits of the No Claim Bonus feature and get the policy renewed at a lower premium. So it is important that you renew your two-wheeler insurance policy on time to avail NCB.

5. Updating of the Policy Term: At the time of renewing your two-wheeler insurance policy, you can change the policy term as per your convenience for better discounts and benefits.

6. Peace of Mind: The most important benefit that you get on the timely renewal of your two-wheeler insurance policy is peace of mind. A valid insurance policy gives you a sense of security to ride with confidence. It also saves from fines imposed by traffic police for not carrying a valid insurance policy.

The Bottom Line

The benefits of renewing the two-wheeler insurance policy make it clear that insurance renewal is one of the important and inevitable tasks of a two-wheeler owner. It is always better to get your motor insurance policy renewed on time to avoid late fees or hassles. And lastly, two-wheeler insurance renewal is necessary not only for your benefits but also for safeguarding the life and interests of others on the road as well.

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