When insuring your two-wheeler vehicle, whether it’s a scooter or a motorcycle, you want to know the finer details of insurance policies. The first thing that comes to mind is how much premium you need to pay for the policy. That's where a two-wheeler insurance calculator can help you take the next steps forward.
With multiple options for bike insurance policies available, a clear understanding of the factors that influence insurance premiums can help you decide better. Many people are unaware of how these factors can affect the overall cost and coverage of their insurance policy. Using a two-wheeler insurance calculator, you can compare different plans, understand the coverage options, and make an informed decision.
At RenewBuy, our goal is to demystify the process of choosing the best insurance plan for your two-wheeler. We will walk you through the features and benefits of using a bike insurance calculator, how to use it effectively, and what to look out for when comparing different policies.
What is a Two-Wheeler Insurance Calculator?
A bike insurance calculator, as an online tool, can help you estimate and compare insurance premiums for your bike. It allows you to input specific details about your two-wheeler and personal preferences and then provides an instant quote from one or more insurance providers. This way, you can evaluate different policies based on their cost, coverage, and benefits. As a whole, a two-wheeler insurance premium calculator can make the process of selecting the right insurance plan more efficient.
What are the Key Features of a Two-Wheeler Insurance Calculator?
Customizable Inputs
In a bike insurance premium calculator, you can enter the make and model of your two-wheeler, its age, location, and driving history to get multiple insurance quotes.
Instant Quotes
The calculator provides immediate premium estimates from multiple insurance companies, allowing quick and easy comparisons.
Coverage Options
You can review different coverage options, including third-party insurance, comprehensive coverage, and add-on covers (personal accident or zero depreciation).
Cost Breakdown
A bike insurance premium calculator can also help you understand the premium breakdown, including factors like the Insured Declared Value (IDV), No Claim Bonus (NCB), and applicable discounts if any.
Also Read: How Does IDV Affect Bike Insurance Renewal?
Convenience
You can use the calculator anytime, anywhere, from the comfort of your home or on the go. This eliminates the need for lengthy phone calls or visits to insurance offices.
What are the Benefits of Using a Two-Wheeler Insurance Calculator?
Time-Saving
Quickly compare multiple insurance policies in one place without the hassle of contacting different insurers individually.
Informed Decision-Making
Access all the necessary information to make an educated choice about your insurance coverage, ensuring you get the best value for your money.
Transparency
See a clear and transparent breakdown of costs and coverage to avoid hidden fees or unexpected charges.
Customization
Tailor your insurance policy to suit your needs and budget, ensuring you only pay for the required coverage.
What are the Parameters Used in Two-Wheeler Insurance Premium Calculator?
When you use a two-wheeler insurance calculator, you need to enter information related to several key parameters to get the premium estimates. Here is a list of the commonly-used parameters:
Make and Model of Your Bike
The brand and specific model of your two-wheeler vehicle can impact the insurance premium. For example, high-end or sports models usually have higher premiums due to the cost of repairs and replacement parts.
Manufacturing Year
The age of your vehicle affects its IDV and, consequently, the premium. Newer models generally have higher premiums than older ones.
Engine Capacity (CC)
Two-wheelers with higher engine capacities typically have higher premiums because they are considered more powerful and potentially riskier to insure.
Recommended Read: 150cc Or 250cc Bike- Which One Is Best For You?
Registration City
The city where you register your bike influences the premium. Urban areas with higher accident rates usually result in higher premiums compared to rural areas.
Coverage Type
Third-party liability coverage protects you against legal liabilities arising from injuries caused to third parties. The insurance regulator usually fixes the premium for this coverage. On the other hand, comprehensive coverage covers third-party liabilities to your vehicle due to accidents, theft, fire, and other unforeseen events. Comprehensive policies generally have comparatively higher premiums.
IDV
The IDV represents the current market value of your bike and represents the maximum sum insured payable in case of total loss or theft. Higher IDVs lead to higher premiums.
NCB
NCB is a discount offered by insurance companies for each claim-free year. Accumulating NCB for consecutive years can significantly reduce your premium over time.
Add-ons
Bike insurance add-ons can provide additional protection/benefits for your vehicle, but they come at a price above the base premium you need to pay. You need to pay an additional amount for every add-on you include to the base policy,
Personal Details
Some insurers may consider the age and gender of the owner-driver, as certain age groups or genders may be statistically more prone to accidents. Similarly, more experienced riders may receive lower premiums due to their lower risk profile.
Now that we have covered the parameters, let’s walk you through the steps involved in using a bike insurance calculator.
How to Use a Bike Insurance Premium Calculator?
Using a bike insurance calculator can save you time and effort in finding the right insurance policy. Here’s a step-by-step guide to get insurance quotes:
Visit the website of a reliable insurance provider or a comparison platform having a bike insurance calculator.
Select the brand and specific model of your two-wheeler from the provided list.
Choose the year your bike was manufactured.
Input the engine capacity (cc) of your bike, which you can find in the vehicle's documentation.
Enter the city where you have registered your two-wheeler, along with the exact date of registration as mentioned in your bike’s registration certificate.
Choose if you want only the mandatory third-party liability coverage or comprehensive coverage.
Use the calculator’s suggestions or manually enter the IDV, which is the current market value of your bike.
Provide your age and gender if required.
Select add-on covers (optional) if you want additional coverage.
Indicate if you have any accumulated NCB from previous years to reduce your premium.
The calculator will generate quotes from various insurers based on the information provided. Review these quotes to compare the premiums and coverage options.
Once you’ve compared different policies, select the one that best suits your needs and budget. Proceed to purchase the policy directly from the calculator interface or get redirected to the insurer’s website.
Recommended Read: How to Get Duplicate RC Book: Apply RC Book Online
Tips to Reduce Bike Insurance Premium
While a bike insurance calculator can estimate the premium payable, you need not proceed to buy the first policy available. Instead, you can work on reducing the premium without compromising on coverage by following the practical tips given below:
Opt for Higher Voluntary Deductible
Voluntary deductible is the amount you agree to pay out of pocket at the time of claim before the insurance coverage kicks in. Choosing a higher voluntary deductible can reduce your premium. However, ensure that the deductible is also affordable in case of a claim.
Maintain a Good Riding Record
A clean riding history with no claims or traffic violations can earn you a NCB, which can lower your premium. Safe and responsible riding habits ensure your safety and make you a low-risk policyholder in the eyes of insurers.
Install Anti-Theft Devices
Equipping your bike with approved anti-theft devices reduces the risk of theft, making you eligible for discounts on your premium. Insurers often offer lower premiums to policyholders who take proactive measures to secure their vehicles.
Bundle Insurance Policies
If you have bought other insurance policies, such as health insurance or car insurance from an insurer, consider bundling bike insurance with the same insurer. Many insurance companies offer policy-bundling discounts, which can lead to significant savings on your overall premiums.
Choose Add-Ons Wisely
While add-ons like zero depreciation cover or roadside assistance are beneficial, they also increase your premium. So, evaluate your needs carefully and only opt for essential add-ons to avoid unnecessary costs.
Renew Your Policy on Time
Timely renewal of your bike insurance policy can prevent the loss of accumulated benefits like the NCB. On the other hand, late renewals might lead to higher premiums and a lapse in coverage.
Limit Modifications to Your Bike
Extensive modifications or customizations can increase your bike’s risk profile, leading to higher premiums. So, stick to essential modifications and inform your insurer about any changes to avoid complications during claims.
Compare Policies Online
Do not forget to use a two-wheeler insurance calculator to shop around for the best deals. Comparing different policies and premiums can help you find the most cost-effective option with adequate coverage.
Consider Long-Term Policies
Some insurers offer long-term bike insurance policies (2-3 years) at a lower premium rate compared to annual policies. You can opt for a long-term policy to lock in lower rates and save yourself from annual renewals.