The rise in the number of vehicles on the roads in India have contributed to a rise in the number of accidents. Allahabad, much like many other cities of India, has seen a constant increase in the number of vehicles that hit the road every day. In light of the increased chances of accidents and the problems that surround it, the Government of India made it mandatory to have at least a third-party liability policy for two-wheelers. Liability-only policies cover the costs incurred by a third-party in an accident will be covered. Taking into consideration, the traffic and the condition of the roads, it is advisable to buy a comprehensive policy that will also cover costs of own damage, injury, disablement and death.
Two-wheeler Insurance Providers in Allahabad
Customers in Allahabad have a number of insurance companies to choose from when they decide to buy a two-wheeler insurance plan. Most of these companies perform in the top ranks and are good options.
- IFFCO Tokio General Insurance
- Bharti AXA General Insurance
- United India Insurance
- Oriental Insurance
*Insurance companies have been listed in no particular order.
Cashless Garages in Allahabad for Two-wheelers
At present, most insurance companies provide cashless settlement options. This facility is available through a tie-up between the insurance provider and garages across the country. Customers can then get their bikes repaired and the respective insurer will pay the garage directly. Customers simply need to fill up a form and provide their policy number to the network garage. This option also reduces the out-of-pocket expenses of the customer. To locate a cashless garage in Allahabad, insurance providers offer the following options:
- A list of network garages should be provided to you with your welcome kit or policy document.
- The customer care of the insurance provider can be contacted to find out if a particular garage is within its network.
- Most companies offer a garage locator tool on their official websites. Enter your location to see garages near you.
- If the policy was bought through an agent, customers can contact the agent for assistance.
Benefits of Cashless Garages in Allahabad
Customers who want to make use of the cashless option will have to get their two-wheeler repaired at a network garage. The garages that are tied up with the insurance provider will fall under the cashless garage network. This facility has a number of benefits and works in favor of all parties involved. Some of the main benefits of cashless garages have been listed below.
Quick Settlements - After the garage completes the repairs on the bike, the settlement of the bill will be handled between the insurance provider and the garage. Most two-wheeler insurance companies dedicate
Less Expensive - Since the insurance company pays the bill, the customer does not have to spend any money. The only thing that might have to be borne by the customer is any part of the bill that is not covered under the insurance policy. It’s also cheaper because the customer does not have to spend money visiting a branch and filing for a claim.
Minimal Paperwork - The customer is only required to fill up a cashless request form and present a form of ID along with the policy number. Since the garage and the insurance company already have a communication system, the garage will send all necessary documents directly to the insurance provider.
Quality Service - Customers can have peace of mind when they avail repairs and services from network garages. Garages that are connected to the insurance provider are more trustworthy.
Simple Process - The customer can contact the insurance company through the customer care to intimate the claim. Once the claim is approved, the garage and the insurer will handle the rest between themselves.
Fast Approvals - Upon providing the required details and documentation, it shouldn’t take more than 24-28 hours to receive a response. Usually, the response is sent within a few hours unless the company requires more information.
What to Consider when Purchasing Bike Insurance?
Since insurance is mandatory, many people tend to just buy the minimum policy required without checking the benefits. Sometimes paying a slightly higher price could fetch a larger basket of benefits. Many people just blindly pick up any bike insurance policy but there are a number of factors that need to be considered in order to get adequate benefits for the cost of the plan.
Premiums - The price of the insurance plan is known as premium. Premiums have to be paid at the time of inception and renewal. One needs to take into account the cost of the plan, the premium payment frequencies and payment modes available. Premiums are based on the age of the vehicle, accident history, the cubic capacity, driver’s details, location of purchase and registration, among other things. Generally, for a two-wheeler policy, you will be required to pay a single premium for an annual policy term.
Protection - Two wheeler plans usually have only two options: a liability-only policy and a comprehensive plan. With a third-party liability policy, only damages, injury and death caused to a third party will be covered. If you choose a comprehensive package, then you will also be covered for own damages.
Claim Limit - In most cases, insurers have set limits on how much of a claim they would be liable to pay. Damage to third-party property claims are usually capped at Rs.1 lakh. For death caused to a third party, there is usually no limit. However, with comprehensive policies, the caps are determined according to the type of plan, the sum insured, the benefits opted for, and so on.
Exclusions - There are a number of circumstances mentioned in the policy under which the insurance company will not be liable to pay any claim. General exclusions include driving under the influence of alcohol or drugs, driving without a valid licence, damage due to war, consequential losses, terrorism or nuclear-related incidents, gross negligence in case of theft, and so on.
Settlement Options - Under reimbursement claims, a customer can get the bike repaired at any garage of their choice, pay for the bill and then claim a reimbursement from the insurance company. Cashless settlements are the easier option when it comes to making insurance claims. But this means the customer must avail the services only from a network garages.
Deductibles - Deductible is like a co-payment on a claim. Choosing a high deductible will lower your premiums, but this will also mean you have to pay a higher sum when a claim arises. A lower deductible will increase your premium, but when you make a claim, the insurance company will cover majority.
Policy Terms - Bike insurance policies usually have a term of 1 year, but some companies also offer 2-year and 3-year plans. Opting for a longer term is beneficial as you do not have to renew your policy every year, and furthermore, you will be protected against rising premiums on third-party insurance as declared by the IRDAI from time to time.
No-Claim Bonus Options - Most of the time, many customers do not make claims on their policy during the term. Insurance companies award no-claim bonuses to these customers, which is offered as a discount on the renewal premium. The NCB is designed to discourage customers from making petty insurance claims. Usually, the NCB is 20% for the first claim-free year and subsequently increases to 25%, 35%, 45% and 50% maximum. NCB cannot be transferred between policyholders.
How to Transfer Ownership of Bike Insurance for Vehicles of Other State?
When buying or selling a two-wheeler, there are certain requirements that must be fulfilled. To ensure that the seller is not responsible for any liabilities that may arise in connection with bike in the future. A transfer of ownership must be done so that the buyer becomes the new registered owner. One needs to submit a Transfer Vehicle Ownership application to the Registering Authority that has jurisdiction over the place where the buyer and seller reside or conduct business. The fee will be charged for this service. A few documents such as Certificate of Registration, NOC, Pollution Under Control Certificate, Certificate of Insurance, proof of residence, and so on, needs to be submitted. The Registering Authority will make the transfer once everything is submitted.
To make this process easier, there is also an option to transfer name of the existing insurance policy on the bike. All the customer needs to do is:
- Intimate the sale of the bike to the insurance company and request them to transfer the name of the policy to the new owner.
- The new owner must meet the eligibility criteria of the plan and must submit all required documents.
- You can file for a no-claim bonus certificate if you have accumulated an NCB on your policy. The NCB cannot be transferred to the new owner and will remain in your name. It can be used if you ever take out a new insurance policy.
- If all requirements are met, then the company will transfer the name of the policy to the new owner.