SHOULD YOU BUY TWO WHEELER INSURANCE FROM A BIKE DEALER

Getting their dream bike is a very important moment in one's life. It not only signifies a moment in self-indulgence but also a self-independence, one might get emotional. This can cause them to become very hasty in their decision-making when getting their insurance. Many just like to avoid all the hassle of research and work and would rather just get their insurance from the bike insurance dealer. This may make them lose on a lot of other offers which they might have taken if they have just looked. Even though it’s not mandatory to get one two-wheeler insurance from a dealer, many just don’t like to do the work of going out and getting insurance on their own.

Here we are going to take a look at whether one should buy two-wheeler insurance from a bike dealer and why it is not important to get insurance from the dealership.

What Does One Mean By Bike Insurance Dealer?

Bike insurance dealers are your bike dealership where one is buying their dream bike. The dealership offers many customers custom built-in packages which are offered with the bike when one is buying one. These packages offer customers the hassle-free advantage of avoiding putting time into doing their research and getting a cost-effective insurance policy for their bike.

What many bike dealers don’t tell their buyer is that they already have tie-ups with an insurance provider from which they will get a commission when selling their policy to the buyer. This can affect not only one budget in getting bike insurance but also they might have to pay higher premiums if they are not attentive to the details.

Is It Compulsory To Buy Insurance From a Bike Dealer?

According to the Competition Act 2022, India’s CCI has declared that it is not compulsory to buy bike insurance through a dealership. The customer can easily go into the market and get the insurance policy for their bike from the insurance provider which meets their requirements if they wish to. Many customers often fall prey to the lucrative offers on insurance when buying one bike from the bike dealership, this can cause them to pay a higher premium or overall higher markup on their bike as many dealerships don’t tell them about the various other insurance policy which is available for them and get a commission for selling the insurance policy with their tie-up insurance company. 

The following are reasons why one should consider buying their insurance policy from the open market instead of the dealership:

  • High Premium: The customer might end up paying a higher premium than accepted as many bike insurance dealers don’t tell them about the policy in detail and they might end up with an insurance policy that can cost them double the amount of insurance premium that they might have gotten if they would have brought their insurance from the market.
  • Might Lose NCB: Many dealerships don’t tell their customer about the transfer of No Claim Bonus (NCB) from their old insurance and the customer ends up losing their insurance bonus or discount when getting their new bike insurance from the dealer.  
  • Poor Coverage: The customers might end up with poor coverage on their insurance if they are not careful as many dealers don’t tell them about the IDV, coverage, or any other important details when getting the insurance.
  • Unnecessary Add-on: Many dealers sneakily put add-ons in the insurance policy of the customer if they are not careful. These can increase the amount of premium that they have to pay and affect the overall price of the vehicle as well.

Conclusion

One must always be careful when getting their insurance policy for their bike from a dealer as it can affect their overall budget. Today many customers want to avoid the hassle of doing their research and getting insurance for their bikes from the market. This can cause them to lose a cost-effective insurance policy that can meet all their needs. Many bike insurance dealers don’t tell the customers about the details of the insurance such as NCB, premium discount, liabilities, policy tenure, deductibles, and add-ons that they are going to get in the insurance. 

Hence, customers need to research their insurance and get the one that is beneficial to them. Now one can easily get the insurance policy for the bike from Quickinsure by visiting their official website and browse various insurance plans and choose the one which meets their requirement.

FAQs - Frequently Asked Questions

Q1. Is getting insurance from a dealer mandatory? 

No, according to the CCI Act 2022 of the competition commission of India, one can buy bike insurance from any insurance provider which meets their requirement.

Q2. Why do many customers avoid researching insurance policies and get insurance from the dealer?

Many customers like to avoid researching insurance policies as they get attracted by the lucrative insurance deal that comes in the package with the bike purchase and avoid all the hassle of doing the work.

Q3. Why getting bike insurance from a dealer might be a loss for the customer?

Many times dealers don't tell all the details of the insurance which they might be providing the customers. This can cause the customer to pay a high premium or get bad insurance coverage on their insurance policy and ultimately result in a loss for him.

Q4. Where can one get insurance for the bike?

One can easily get their insurance from Quickinsure in just a few easy steps by visiting their official website and comparing various insurance plans and choosing the one that meets their requirements.

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