ZERO DEPRECIATION BIKE INSURANCE

It's in our nature to keep the things we care for safe. Especially if it's your first ever bike. Maybe you bought it with your hard-earned money just a few months back. Consider what it would be like if there was a way to make sure that the bike you value so much remains in perfect condition at all times.

Well, technically, this is absolutely possible! We do have an amazing solution for you which is known as zero-depreciation bike insurance. It keeps your bike in a new-like condition as if you just bought it. Let us know more about this bike insurance add-on in detail.

Zero Depreciation Two Wheeler Insurance – What does it mean?

Let's start with a definition of depreciation before moving on to zero depreciation. Depreciation refers to the loss in the price of your bike as it ages. So, if your bike was initially worth Rs.  90,000, when it was new and is now worth Rs. 30,000, the depreciation you've experienced is around Rs. 60,000.

However, if you have zero depreciation insurance for your motorcycle, the insurance company will cover practically the whole cost of replacing the parts, with no deduction for depreciation. Simply put, having a zero-depreciation policy means that your bike will be as good as new in the eyes of your insurer.

Difference between zero depreciation bike insurance and standard two-wheeler insurance

Let's find out the difference between standard bike insurance and a zero depreciation one:

  • Settlement of a claim

In the case of conventional motorcycle insurance coverage, the claim settlement will be determined by the age of the vehicle as well as the amount of depreciation for different parts of the bike. But if you opt for bike insurance with zero depreciation, you will obtain full compensation on filing a claim.

  • Premium Price

Even while a zero depreciation two-wheeler insurance plan is costlier and has a significantly higher premium than a conventional policy, it provides many superior long-term profits.

  • Expenses of repairing and plastic fiber:

In normal circumstances, the insured is responsible for the expenses related to the repair and replacement of plastic fiber parts of the bike. But, when he chooses bike insurance 0 depreciation policy, the insurer pays for it, making the policyholder's expenditures substantially lower.

  • The Vehicle's Age

The zero dep insurance for bike-only covers cars up to a certain age because the insurance plan compensates two claims during the policy period. A standard two-wheeler insurance policy, on the other hand, never considers the age factor for your motorcycle. Therefore, in case your motorcycle has been used for a certain number of years, opting for standard coverage is the most suitable choice.

Why should you get zero depreciation bike insurance?

  • Make the most of your funds while filing a bike insurance claim because you won't be spending much of your own money.
  • Because your insurance will no longer withhold your depreciation from your claim amount, you will benefit by obtaining your entire claim amount (after mandatory deductions).
  • Secures your new bike and its spare components by adding an extra layer of protection.

Things covered by a zero-depreciation bike insurance policy

  1. It offers compensation for different parts of your two-wheelers, which generally gets depreciated over time.
  2. Your zero-depreciation coverage applies to all of your claims, given that your ongoing insurance policy is active.
  3. You can add zero depreciation coverage to your renewal if you don't already have it.
  4. This add-on coverage is normally available to policyholders twice during the policy year.
  5. The zero-depreciation rule is generally applicable to new automobiles that are less than five years old.
  6. A bike insurance policy's typical depreciation rate ranges from 0% to 40%, but with this add-on protection, you may easily collect the entire amount.

Things not covered under zero depreciation cover for two-wheeler

  1. This coverage is not available for bikes older than five years.
  2. It does not cover damages to any of the components of your motorcycle caused by normal wear and tear or technical failures.
  3. It excludes your bike's tires, bi-fuel kit, and gas kit.
  4. There will be no reimbursement for total loss or damage.
  5. Tires, tubes, and batteries are all covered to the tune of 50%.
  6. Uninsured items such as a few kits and mechanical breakdowns are not covered.

Frequently Asked Questions (FAQs)

  1. What factors influence the cost of zero depreciation cover?

Your Zero Dep premium is influenced by several criteria, including the age of your car, its brand and model, and your location.

  1. Is the zero-depreciation add-on option beneficial to a first-time bike owner?

Yes, if your bike is new or less than five years old, the zero-depreciation coverage is highly beneficial.

  1. Is bike insurance with zero depreciation relevant for someone who owns an older bike?

This is dependent on the age of your bike! If your bike is near to or more than five years old, we don't recommend opting for a zero depreciation policy.

  1. Is there any mandatory condition or requirements for obtaining zero-depreciation motorcycle insurance?

The only condition is that you must purchase it as part of a complete bike insurance policy and that your bike must be less than five years old.

go to top img