In this digital world, we all are facing the difficulties of work-life balance. With deadlines looming at work and personal obligations demanding attention, it’s easy to overlook the Bike Insurance Renewal after it expires.
However, with a little planning, you can navigate through this break-in period smoothly.
In this blog, we’ll delve into the essential details you need to know about the break-in period in bike insurance renewal, and how to effectively manage it.
Understanding the Break-In Period in Two-Wheeler Insurance
When your two-wheeler insurance policy expires, a break-in period ensues until you renew it.
For example, your bike insurance policy expires on 5th December, and you manage to renew it on 25th December.
In the 20-day interim between expiry and renewal, your insurance policy remains inactive, constituting the break-in period.
The Legal and Financial Implications
The break-in period can have significant consequences from both a legal and financial perspective. Let’s explore these implications in detail:
1. Legal Effect
According to the Motor Vehicles Act of 1988, it is mandatory for all vehicle owners in India to possess at least Third-party Liability insurance before driving their cars or riding their bikes on Indian roads. This means that riding your two-wheeler during the break-in period is illegal.
Engaging in such an act can result in monetary penalties, legal hassles, and even imprisonment. Especially if the two-wheeler is involved in an accident causing injury to a third party.
It is crucial to respect the law and avoid riding your bike during the break-in period to ensure compliance and maintain your safety.
2. Financial Security Effect
Insurance serves as a safeguard against unforeseen financial losses. However, during the break-in period, your bike is essentially uninsured.
If an accident occurs or your bike gets stolen during this time, you will be solely responsible for the resulting financial losses.
It’s important to recognize that the break-in period leaves you vulnerable, as it’s equivalent to having no insurance coverage.
To protect your financial security, make sure to renew your policy on time. And, if you fail to do so, refrain from riding your bike until the renewal is completed.
3. Preserving Your No Claim Bonus (NCB)
Nowadays, most insurers provide NCB to policyholders. Particularly, those who cannot make any claims during the policy period of Two-wheeler insurance.
Even if you manage to renew your two-wheeler insurance policy during the break-in period, you’ve got a cool 90-day buffer to keep your No Claim Bonus (NCB) intact.
So, no worries if you renew within 90 days from the expiry date – you can still enjoy those awesome NCB benefits.
The NCB percentage is determined based on the number of consecutive claim-free years.
Missing the renewal deadline can cause you to miss out on these valuable discounts. And, it can be as high as 50% for five consecutive claim-free years.
Hence, renewing your two-wheeler insurance on time is not only crucial for coverage but also for preserving your NCB.
Renewing Your Two-Wheeler Insurance
Now that we’ve established the significance of timely renewal, let’s explore how you can renew your two-wheeler insurance effortlessly.
1. Two Wheeler Insurance Renewal Online
If you miss the deadline for bike policy renewal, don’t worry. You can easily renew your two-wheeler insurance online with just a few clicks, and the policy documents will be delivered to your inbox.
Embracing digital convenience ensures a seamless renewal process and eliminates the need for paperwork and physical visits.
2. Break-In Policy and Vehicle Inspection
When there’s a break between two insurance policies, the renewed policy is termed a break-in policy. Different insurers have varying approaches to vehicle inspection during this period. Some may require an inspection before insuring your vehicle, while others may not. The insurer’s process typically depends on the time elapsed after the policy’s expiry date.
Proactive Approach: Renew and Stay Insured
To ensure you never miss the renewal deadline, adopt a proactive approach:
1. Set Reminders
Insurers often send messages and emails as your Bike Insurance Renewal policy approaches its expiry date. However, setting your own reminders is an additional safeguard. Utilize planners or mobile apps to include renewing your two-wheeler insurance in your to-do list well in advance.
2. Gather the Required Documents
When renewing your bike insurance policy during the break-in period, prepare the following documents:
– Take a copy of your previous bike insurance policy
– RC (registration certificate) book
– Your driving license
After your vehicle undergoes inspection, and you make the necessary payment, the insurance company will issue a new cover note. Keep in mind that the break-in period typically lasts for 90 days, after which you will no longer be eligible for No Claim Bonus benefits without a fresh policy.