Third Party Two Wheeler Insurance

A bike allows us the ease of quicker transport through congested traffic and compared to any other vehicle, it is easier to manage. However, the probability of the occurrence of a road accident which causes injury and loss to you and/or injury/loss/death to a third-party, is very high in India. This is why the Government of India has made it mandatory that all two wheeler owners must purchase two wheeler insurance. Even though many people hesitate from buying two wheeler insurance, the alternative outcome of not being protected by one is scarier. If you find a two wheeler insurance to be a financial burden but do not want to breach the law of the land, third party two wheeler insurance is the easy way out.

 Essentially, a third party two wheeler insurance policy ensures that is insured is covered in case of damage or loss to a third party or third party property as the result of an accident. Generally, third party liability is unlimited as per the dictates of the Indian government. The conditions for coverage offered on third party two wheeler insurance policies are as follows:

The occupant of the two wheeler vehicle (which is owned and not hired), suffers injuries/ bodily harm or dies due to an accident

Government property or any other third-party owned property apart from the insured’s vehicle is destroyed or damaged. Liability is limited for third-party property.

If an accident occurs outside the geographical limits mentioned in the Policy Schedule, the Third Party Two Wheeler Insurance policy becomes invalid.

At the time of the accident, if the two wheeler vehicle is driven by someone besides the vehicle’s owner or the designated driver, the policy becomes invalid.

 Insurance Development Regulatory Authority (IRDA) has permitted insurance companies to sell long term Standalone Motor Third Party Insurance for two wheelers. This extends to up to 3 years and ensures that the two wheeler owners only have to renew their two wheeler insurance policy once in three years. One of the major highlights of a long-term Motor Third Party Insurance for two wheeler  is that it also protects the insured from hike in premium, for the three consecutive years. The IRDA guidelines stipulate that the total premium charged on third-party liability would be thrice the annual third-party premium and this premium is not to be revised by the insurers during the period of the existing policy. Additionally, once the policy is issued, the insurer cannot cancel the standalone third-party cover under any circumstance.

Basically, Third Party Two-Wheeler Insurance is a life saver for the insured and well as the third party involved. Almost 70-75% of two wheeler in India are not insured even though it is mandatory, due to factors such as the substantial amount attached to the process, additional effort to be taken in order to renew the policies annually, etc. With the long-term third-party Motor Insurance, several of such hurdles are dissolved and there is cost-savings in terms of discounts.

Like in the case of other insurance policies, third party two wheeler insurance policies can also be purchased online. Buying a two wheeler insurance policy online is quick and convenient since you don’t have to fill forms repeatedly or meet with agents or company representatives to acquire a two wheeler insurance policy or renew one.

[Source: http://www.daulatguru.com/index.php/blog/entry/advantages-of-third-party...