There are some intangible benefits of buying bike insurance that are not immediately apparent. We list them.
Buying insurance for your vehicle, whether a car or a bike, is mandatory in India. This is a useful stipulation, since bike insurance and car insurance provide many benefits to the insured.
Most people consider insurance for their vehicle as an unnecessary expense. However, bike insurance in India serves many important advantages to the insured.
The 3 main benefits of taking bike insurance
#1 The increased GST on bike insurance results in lower pricing and easier computation.
Insurance products in India attract GST (Goods and Services Act 2017). You must pay GST on the price of the bike, as well as the bike insurance plan you buy once you purchase the two-wheeler. Though the GST seems like an imposition, it is a blessing in disguise in terms of one uniform tax to be paid. Prior to the promulgation of the GST, there were several different taxes that needed to be paid.
However, the GST Council has set 18% GST on bike insurance in India, which is 3% higher than before. The silver lining in this development, is that while you now pay higher taxes on bike insurance in India, insurance providers recognize that buyers are unhappy with this state of affairs. The increased GST has resulted in more competitive pricing, as insurers try to increase their customer base. Ultimately, this is a good situation for buyers to be in.
#2 The best bike insurance plans provide all-round protection.
Bike insurance is necessary for a number of reasons – and all of them serve to protect you on legal and financial fronts. You can buy third party liability insurance, which protects you from third party claims in case of an accident. Or you can buy comprehensive bike insurance, which provides third party liability coverage as well as protection against the financial costs of an accident or urgent repairs.
In any case, bike insurance in India serves to protect your finances from the high costs of repair, or medical treatment for yourself or a third party, or loss of income due to temporary/permanent disability.
#3 Bike insurance gives you peace of mind.
Your family members begin to worry every time you are late from work, fearing the absolute worst. Even you are always concerned about a rash driver on the road causing an accident and harming you. But you and your loved ones can get a lot of peace of mind by knowing that you are financially protected against any mishaps on the road when you buy the best bike insurance plan.
However, before you avail bike or any two-wheeler insurance, make sure you are not tricked as fraudulent offers are becoming more and more common these days. To ensure the authenticity of the policy offered, do get in touch directly with the insurer.