How does the Two-wheeler Insurance Premium Calculator work?



As a bike owner, you would want to ensure that your bike gets the best financial protection from mishaps that can take place on-road or can caused by other factors. This protection is guaranteed with the help of the bike insurance. Purchasing this policy will safeguard not just your bike, but you and your family as well from on-road perils.

If you do not own a bike insurance or are looking to purchase a new one, you can use the two-wheeler insurance premium calculator provided by insurance companies to get an idea about its cost. However, you might wonder how does the calculator give you a quote for the policy you are looking for? Well, given below are 4 factors that are used by the calculator in its calculations:

1.      The type of bike you own

Bikes in come in different types, different shapes and sizes. People who are looking for a bike within a budget with a greater mileage will go for normal bikes that cost low and are easy to maintain. People who are looking for bikes with more power and speed go for sports or super bikes. These types come into play when you are using the two-wheeler insurance premium calculator. The insurance for normal, regular bikes is low due to their pricing, low cost of service and easy availability for their parts. On the other hand, insurance for high-end premium bikes costs more due to their high value, lack of availability of their parts and their upkeep. If you own the former, you will get an economical quote compared to the latter.

2.      The type of policy you want

When you are looking to buy bike insurance, you will come across two types of policy: third-party and comprehensive. Third-party insurance is mandatory under the Motor Vehicles Act of 1988. It is economical due to its limited coverage as it covers only third-party damage. The comprehensive insurance on the other hand, costs more than third-party. This is because it covers damages caused to your vehicle as well. Apart from that, you get add-ons for additional coverage for your bike. The calculator will present you a price based on the type of insurance you select.

3.      The type of deductible

Deductible is the amount you pay towards your claim settlement. When you file for a claim, a certain portion of it has to be covered by you, with the rest being covered by your insurer. There are two types of deductible in bike insurance. First is compulsory deductible, where the insurer has a pre-decided amount that you need to pay. The second is voluntary deductible, where you as a policyholder is in-charge of how much they want to contribute. Opting for a higher deductible if it is voluntary will ensure lower premium. Going for a lower deductible means higher premium. You will be given a quote depending on which deductible you have opted for.







Original Content :- How does the Two-wheeler Insurance Premium Calculator work?


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