Motor Insurance

Advantages of Having Long-Term Third-Party Bike Insurance

by SMCIB on Sunday, 11 June 2023

Advantages of Having Long-Term Third-Party Bike Insurance

Riding a bike is like taking a breath of fresh air - you feel the wind on your face and the sun on your skin. The feeling of freedom that comes with it is simply indescribable. But it's important to always be aware of potential risks and take the necessary safety precautions.

 

That's where bike insurance comes in. It ensures your peace of mind, providing coverage against unforeseen damages, so you can enjoy your ride without worrying about your finances. Not to forget the fact that a third-party bike insurance policy is mandatory under Indian motor laws if you want to ride your bike on the road.

 

A third-party bike insurance policy offers protection against any loss or damage caused to a third-party individual or property. As with any other motor insurance policy, a third-party policy normally lasts for one year. However, if you prefer a longer policy duration, you have the option of choosing a long-term third-party policy. It provides third-party coverage for an extended period.

 

In this article, let's discuss more about long-term third-party bike insurance and its advantages.

 

What is Long-Term Third-Party Bike Insurance?

Unlike regular third-party policies, which last one year, a long-term third-party policy provides coverage for a duration of 2 to 3 years. This is similar to taking a multi-year subscription to a service, instead of just one single year. This extended period of coverage allows you to benefit from a longer period of security.

 

The advantage of a long-term third-party policy is that you don't have to worry about renewing your policy every year, and you can enjoy continuous coverage for a longer period. Such policies are a great option for bike owners who want to save on premiums and avoid the hassle of annual renewals.

 

Advantages of Having Long-Term Third-Party Bike Insurance

Here are the benefits of investing in long-term third-party bike insurance -

 

1️⃣ You Fulfil Legal Obligations

As per Indian motor laws, you must at least have third-party insurance for your two-wheeler. Say you have a one-year own-damage policy and long-term third-party coverage. In the event that your own damage insurance policy expires and you don't renew it, you can still drive your vehicle because you have a third-party policy that is active for a long time - protecting you from legal consequences like fines, imprisonment, or both. With such a policy, you can enjoy the convenience of driving without having to worry about legal repercussions.

 

2️⃣ It Helps You Save On Premiums
The IRDAI regulates third-party bike insurance premiums and generally increases them on a yearly basis. As a result, you will be charged an increased premium every year when renewing your third-party policy. If you wish to save yourself from paying higher premiums every year, it is best to purchase a long-term third-party policy. It will give you peace of mind knowing that you do not have to worry about recurring premium hikes.

 

3️⃣ It is Convenient

With a long-term third-party policy, you don't have to worry about missing the annual renewal date. This means you can enjoy the convenience of not having to constantly monitor the status of the policy. Furthermore, renewal can be done entirely online, simplifying the process further. This also eliminates the need for tedious paperwork - ensuring a hassle-free renewal.

 

4️⃣ It Offers Continuous Coverage

With a long-term third-party policy, you know you'll be covered for an extended period. So, you can be assured that your insurance protection will remain uninterrupted over the course of the policy. It gives you a sense of security, as you don't have to worry about the policy lapsing or the hassle of having to renew it every year.

 

Wrapping up!

In India, third-party insurance is a mandatory requirement as per law. A long-term third-party policy provides you with financial protection against any damages caused by your vehicle to a third party or their property for a duration of 2 to 3 years instead of the standard 1 year. With such a policy, you can rest easy knowing that you are effectively protected from any third-party liabilities for an extended period - without having to face the hassle of annual renewals.

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