The Benefits of Opting for Long-Term Two-Wheeler Insurance
Two-wheeler insurance policy in India, especially third-party two-wheeler insurance, is necessary for riding a bike on the Indian road. It also provides financial safety to the two-wheeler owner in case of any unexpected event or accident.
However, when buying or comparing two-wheeler insurance online, plenty of options are available, varying based on coverage and period based, such as short-term or long-term insurance policies.
Now you may wonder why you should buy long-term two-wheeler insurance policies. No worries. In this article, we especially explore the long-term two-wheeler insurance policy and its benefits.
What Is Long-Term Two-Wheeler Insurance?
As the name suggests, long-term two-wheeler insurance is a two-wheeler insurance policy purchased for a longer period. Typically, the two-wheeler insurance covers one year, which requires annual renewal.
However, with long-term third-party or comprehensive bike insurance, you will get coverage for two or three years, depending on the chosen policy duration. It offers multiple benefits; let’s go through them in detail.
What are the Advantages of Opting for Long-Term Two-Wheeler Insurance?
1. Continuous Coverage for an Extended Period
When you have an annual policy, you will get coverage annually and must renew it yearly. If you miss out, you will have to suffer from the various legal and financial consequences of the lapse of the insurance for a two-wheeler.
However, With long-term two-wheeler insurance, you will get an extended period of insurance for the long term, typically up to three years. It helps you remain protected for the entire policy duration without frequent renewals.
2. Protection from Premium Fluctuations
The premium-only two-wheeler insurance is affected by various factors, which makes it volatile. So the people who opt for the annual insurance policy may have to pay a higher premium if there is any change in the market condition, government policy and more.
However, long-term insurance will save the policyholder from these fluctuations and offers continuous coverage at the same premium amount, even if it rises during the coverage period.
3. No Worries About Policy Expiry
With long-term bike insurance, you don’t constantly have to worry about its expiry date every year. It will give you peace of mind as you don’t have to renew it yearly and stay protected for a long period.
4. No-Claim Bonus (NCB) Protection
In an annual insurance policy, NCB percentages increase with each claim-free year, but it will be reset to zero if you claim in any year.
While in the long-term two-wheeler insurance, you can also accumulate the NCB for each nonclaim year, which will continue to apply in subsequent years of the policy term, even if you claim during the coverage period. It will help you to take the NCB discount, resulting in a reduction in premiums.
5. Convenient and Time-Saving
When you purchase long-term two wheeler insurance online, it provides you with the benefits of convenience and saves you time.
As in this, you don’t have to follow a cumbersome process to renew your insurance policy yearly. It is what makes it beneficial for busy people who want to avoid renewing their policy every year.
6. Inflation Protection
As the standard cost of living rises daily, it rises in the cost of vehicle repair. But one of the significant advantages of having long-term two-wheeler insurance is staying protected from inflationary trends in the insurance industry.
It ensures that your coverage and the sum insured will remain constant throughout the policy term, regardless of how inflation affects insurance costs.
7. Premium Discounts
One of the benefits that most insurance companies provide to the policyholder who opts for long-term insurance is a discount. This discount reduces the cost of the premium, ultimately saving the policyholder a lot of costs.
Long-term two-wheeler insurance gives many benefits that help you fulfil law compliances and gives you the convenience of not renewing your policy every year. It ensures continuous coverage for extended periods while saving a lot of cost by having an NCB bonus, getting discounts on premiums, and saving the rising premium cost. Thus investing in long-term two-wheeler insurance can prove a worthwhile decision for the policyholders while leveraging comprehensive protection and peace of mind on every ride.