A lot of variables impact the cost of bike insurance. When deciding the premium for your bike insurance policy, the insurance company considers few numbers of factors that impact on Two Wheeler Insurance Premium. As a consequence, in order to understand why your insurance policy costs what it does, you must be aware of the elements that influence the premium.
Factors that impact on Two Wheeler Insurance Premium:-
There are several factors that include while calculation the bike insurance. So, The following is a list of factors that influence the cost of bike insurance :-
The Make and Model of the Bike
True, the manufacturer and model of a bike have an influence on its pricing. Because insurance protect the value of the bike, the manufacture and model of the bike are the most obvious elements that influence the insurance rate. Your insurance rate will be cheaper if you possess a low-cost bicycle. However, if you own a high-end sport bike, you will have to pay a greater price.
The Bike’s Age
The age of the bike will take into your account when determining the coverage premium. This is why, when acquiring a bike insurance plan, every insurance portal requires you to enter the age of your bike in order to get policy price. Because the market worth of a new bike is higher than that of an old cycle, the former will fetch a larger premium, while the latter will command a lesser premium.
The Insured Declared Value (IDV)
IDV is an important major factor that impact on Two Wheeler Insurance Premium when The current market value of the bike represent by the Insured Declared Value. The IDV calculation once a year since the value of a motorcycle decreases over time due to depreciation. Because the bike insurance provider liable for giving reimbursement up to the value of the bike, Also, it is consider into the premium calculation.
Capacity of the Engine
One of the most common and important factors that influences the price of bike insurance premiums is the engine capacity of the bike. The cubic capacity of an engine is used to assess its size (cc). You will be charged a lower fee if your motorcycle has a capacity of 75 cc or less. However, if your bike has a displacement of 350 cc, you will have to pay a higher bike insurance price.
Many insurance companies may give you a discount if you install security gadgets that have been certified by the Automotive Research Association of India. It implies that if your bike has authorized safety equipment, your bike insurance rate will be lower since modern technology minimize the chance of bike theft and loss, reducing insurance companies’ duty to pay you.
No Claim Bonus (NCB)
A No Claim Bonus is an award to policyholders who do not submit a claim during the insurance year. The NCB grant in the form of a discount on the next policy year’s premium. If you keep a claim-free record and drive sensibly, you may boost this benefit by up to 50%. Since a result, your insurance premium will alter, as you will be responsible for paying it once the NCB discount has been removed.
Keep the aforementioned considerations in mind while selecting bike insurance coverage. You can simply establish the appropriate premium for your bike if you are aware of these aspects. It also comes with a free calculator to assist you in determining the premium. Then you only need to evaluate numerous policy quotes and select the one that best matches your needs. It will provide you a low-cost insurance policy to help you keep your bike safe. In case you’re looking for car insurance policies. The click “car insurance “.