The Dangers of Allowing Your Two-Wheeler Insurance Expire

An insurance policy for a bike is among the most useful things a bike rider can have. It is just as important as having your helmet on in terms of safety. However, many people do not give an insurance policy for a bike the place it deserves. They think of it as a useless expense they are taking on just as a precaution for something that may or may not happen. Most people with a two-wheeler insurance policy only buy it to get their documents in place while buying their vehicle. Thus, once the bike insurance date has expired, they do not think about renewing the expired bike insurance. They do not want to take the trouble of renewing 2-wheeler insurance online. These people truly do not know what trouble they are setting themselves up for. Thus, today we will discuss what happens if we do not renew bike insurance after expiry.

What is an Expired Insurance Policy For Bikes?

When you don’t renew your bike insurance after the grace window has passed, it is considered a lapsed two-wheeler insurance. If your bike insurance coverage has expired, your insurance provider is not obligated to offer financial assistance in case of any trouble. This indicates that you can also not submit a 2-wheeler insurance online claim.

In this case, the policy’s coverage that you purchased expires. Because you have not paid a payment to renew this agreement with the insurance provider, as a policyholder, you cannot utilise the benefits offered by your two-wheeler insurance. If there is an unfortunate incident, such as a bike accident, you will be responsible for paying all accident-related costs. Additionally, it is illegal to ride a two-wheeler without insurance in India; therefore, you would also face fines.

Problems You Can Face if You Let Your Two-Wheeler Insurance Policy Expire

Some problems you may face if your insurance has lapsed are as follows.

Financial Instability- You won’t be able to take advantage of any of the financial security that comes with getting your bike covered if your policy has expired. Therefore, if your insurance has expired, irrespective of your record with the insurance provider, you will not be able to take advantage of any financial incentives of being covered in any unexpected situation, such as traffic accidents, mishaps, robbery, or natural disasters.

Legalities- If you are operating a bike while your insurance is expired, being pulled up will put you in serious legal jeopardy. You may be under economic and mental strain as a result of this.

No Safety- Even now, there is still a probability of encountering an unusual accident if one rides a bike on the road. Driving without insurance coverage may put one in dangerous situations, and if such an accident occurred, the rider would have nowhere to turn for protection. You are left to deal with everything all on your own.

Time-Consuming- You would need to get new insurance after your current one expires because you couldn’t renew your old one after it did. This could be a complex and time-consuming procedure because you would need to have the insurance provider evaluate your bike once more, taking up important time. The paperwork for purchasing new insurance would also need to be completed again. It is like going through the entire process from scratch once again.

Lapse of No Claim Bonus (NCB) Discount- You receive the benefits of NCB, a rebate for not filing a claim, and a reward for riding carefully when you don’t make a claim for subsequent years. You will forfeit the discount if you wait 90 days after the expiration date to renew or get bike insurance. When you spend five years without filing a claim, the discount increases to 50%, which adds up to a substantial amount. Additionally, you can keep the NCB for bike insurance and benefit from the discount even if you shift your bike insurance plan to a different provider. However, if the insurance coverage has already expired or lapsed, you will lose out on the discount.

Summing Up

Thus as we have seen, renewing a bike insurance policy is of utmost importance. It is always advised that a person should renew their insurance at least two weeks before the expiry. You should also use a bike insurance calculator while renewing your plan, as it can help you make better decisions and choose the right plan.

Related Articles