There are around 10 crore two-wheelers registered in the country of which 1/3rd vehicle owners never renew their insurance cover once the two-wheeler is out of the showroom. This, in spite of the Motor Vehicle Act stating that Third Party Liability insurance is mandatory for every vehicle running on the road.
The Golden Key for Two-Wheeler Owners
It happens quite often that your two-wheeler insurance has expired and you forget to renew it. If there's an accident during this time, insurance companies reject the claim saying that the policy has expired. Understanding this problem, the Insurance Regulatory and Development Authority (IRDAI) has introduced a Third Party Liability insurance policy for a period of three years for two wheelers.
Safe from Annual Hike in Premiums
A 3-year Third Party Liability policy will charge a premium that is thrice the current annual premium for two-wheelers and irrespective of the circumstances; it can't be revised during the three year period by the company. This ensures that even if the annual policy rate increases, you are safe from the hike.
Convenience Factor
Insurance renewal rate of two wheeler insurance is extremely low. People often tend to overlook the renewal date. This three year policy will ensure that you do not need to remember to renew your policy on a yearly basis. Being covered for three years helps you secure your financial losses which otherwise wouldn't have been possible if an accident had taken place at a time when your insurance policy was yet to be renewed.
This saves time, money and effort for the insurance provider in terms of maintaining separate database for three policies. Now it can just maintain one record for three years and this cost-benefit is transferred to the insured in the form of low premium compared to an annual policy.
Purchase Online
This is however an exclusive benefit for only Third Party two-wheeler insurance and you would have to purchase a separate annual own damage insurance till IRDAI comes out with a long term comprehensive policy for it. News reports suggest that a long-term Own Damage policy is also on the cards. You can avail Third Party liability bike policy either through the traditional channels or through insurance company's website.
Purchasing the long term two wheeler policy online is a simple process. One needs to key in basic details, make the online payment and receive the policy in your inbox. If you are unsure about any details pertaining to the policy, you can contact the insurance provider's executive through online chat, toll free number and email and get your query resolved.