Long-term 2-wheeler insurance is an insurance policy which extends to longer periods of time than the standard one-year policy. The IRDAI allows two-wheeler owners to insure their vehicles for up to three years. If you are thinking about why it is better to opt for a long-term policy, some reasons mentioned in this post will surely convince you otherwise. Keep reading.
Missed insurance renewal, hassles involved in the renewal process year after year and the costs involved in getting your two-wheeler insured might have discouraged you in the past. What if you could avoid all these troubles in a single go? Choosing a long-term policy over an annual one provides you with that opportunity of not going through paper-work each year. Nonetheless, there are other factors too which any customer would consider before jumping into the bandwagon.
Making the right decisions about your vehicle policies can be a tedious task. Despite the fact that minimum third-party insurance has been made mandatory as per the Indian law, a whopping sixty percent of motor vehicles remain uninsured in the country. This practice is illegal and invites a hefty fine and punishment. Needless to say, the hassles caused. To avoid hassles, it is recommended to opt for two or three year two wheeler insurance.
Why is long-term two-wheeler insurance right for you?
In the busy schedules of our daily lives, we do not have the time to go for lengthy or repetitive procedures. As a result, we often end up missing vehicle insurance dates. Needless to say, it can land us into legal troubles. With long-term 2-wheeler insurance, you can sit back and relax for a period of next three years.
Protection against Inflation
The premium rates for car and bike insurance are revised every year. However, if you take a long-term policy, your premium rates would not change for next three years. Moreover, insurers are keen to provide you with discounts and incentives since they cut their administrative costs involved in this plan. This helps you protect yourself against rising insurance premiums for next three years.
Higher No-Claim Bonus
Insurance companies offer no-claim bonus (NCB) to you every year when you do not avail any claim from them in the policy year. This is forwarded next year when you renew your policy. Moreover, it goes on increasing every year until it reaches 50%. With a long-term insurance policy, you are likely to get better NCB.
Simple Cancellation Policy
Just as in a one-year policy plan, you can choose to discontinue your policy before the term has been completed. You would get a refund for the unutilised time of the policy period.
Long-term bike insurance is cost-effective and convenient as compared to one-year policy. The insurer offers you greater benefits while at the same time saving you from the last moment worry of facing unforeseen circumstances on the road or being penalised by the traffic police for flouting the laws.