When looking to buy two-wheeler insurance, you must have likely come across this term- bumper-to-bumper bike insurance. It is an insurance policy that provides you with all-around protection for your bike so that you do not incur any out-of-pocket expenses in case of any damage. Read till the end to learn about this bike insurance and its benefits.
Bumper to Bumper Bike Insurance Meaning
Bumper-to-bumper bike insurance, also referred to as zero depreciation bike insurance, is an add-on cover that can be obtained along with a standard comprehensive two-wheeler insurance policy. This add-on ensures that in case of a claim, the depreciation cost of the parts of your bike is not deducted from the claim amount. In simple terms, you get the actual value of your claim without depreciation cost and thus more financial security.
A regular comprehensive policy deducts depreciation costs from the claim amount. So, for example, if your bike's repair cost is Rs 40,000, you may have to pay Rs 20,000-25,000 from your pocket due to depreciation in metal/plastic parts. But here, under bumper-to-bumper, the insurer offers 100 percent repair charges depending on IDV (Insured Declared Value)
Benefits of Bumper to Bumper Bike Insurance Cover
Here are the benefits of choosing bumper-to-bumper coverage:
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Larger claims
: For repairs or replacements without depreciation withholding.
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Financial peace of mind
: If an accident were to occur, there would be no surprise out-of-pocket costs.
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Ideal for new bikes
: This is particularly good during the first year or two when depreciation will take a large bite out of what your bike is worth.
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Expensive parts protection
: If your bike has expensive components, this cover ensures you do not have to pay for the sky-high bills of replacement parts.
However, it's important to consider a few points:
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Increased premiums
: You will pay a premium for this additional cover (usually an additional 15-20 percent on top of a standard comprehensive policy).
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Age limits
: Some insurers only provide this cover to those with bikes from 3 to 5 years old.
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Claim Limits
: Some policies limit the amount of zero depreciation claims you can make in a year.
Conclusion
If you are a customer looking to provide the best protection to your two-wheeler, opting for bumper-to-bumper bike insurance is a smart choice. This guarantees more claims, lessens your no-policy inclusiveness, and gives you extra satisfaction. If you own a new bike or a high-end model, this insurance cover could benefit you and save you money and leg work. Add this to your policy the next time you renew or purchase your two-wheeler insurance for all-around coverage.
Disclaimer: The information provided in this blog is for educational and informational purposes only. It may contain outdated data and information regarding the Insurance industry and products. It is advised to verify the currency and relevance of the data and information before taking any major steps. ICICI Lombard is not liable for any inaccuracies or consequences resulting from the use of this outdated information.