The rising importance of two wheelers in India
Two wheelers form an integral part of Indian roads. Ranging from affordability to passion to style statement, reasons for buying a two wheeler are many for Indian customers. The ever persistent demand for this mode of transport increases the need and knowledge about the two wheeler insurance cover as well. Most of the insurance covers offered in the market offer protection for the loss of vehicle, damage to vehicle parts, wear and tear, from any man made or natural reasons. But the cover for losses to the driver, pillion, or third party varies from one policy to another.
Indian two wheeler industry is one of the largest in the world as far as the volume of production and sales are concerned. India has registered an overall growth rate of 9.5 percent between 2006 and 2014. The growth in Indian Automobile Industry owed the most to a steep upsurge witnessed in the two wheeler segment in 2014. The volume growth recorded in the 2014-15 fiscal year stood at a commendable 14.8 percent on a year-on-year basis. 'Make in India' campaign of the Government of India is also going to attract more foreign investment into Indian two wheeler segment creating further growth opportunities in the coming years.
Keeping in mind the huge growth opportunities and high FDI flow the government has also focused on boosting the two wheeler insurance segment. Recently, India’s first three year comprehensive cover for scooters and motorcycles was launched by government. The comprehensive cover is 30 percent cheaper than buying annual policies and comes with lucrative offers for the buyers. This new scheme will surely help in tackling the problem of uninsured two wheelers plying on Indian roads.
In India it is observed that a major chunk of policyholders do not renew their policies after completion of the first year thereby risking the life of others and threats for damaging their vehicle. This is quite alarming because having your vehicle insured is compulsion. Well the human psychology says that two wheeler insurance premium attracts additional cost on their vehicle making it expensive along with the installments and maintenance costs. Customer buys the policy for a year as it has to be purchased along with the new vehicle, but the owner later fails to renew the policy after the first year.
However, this should not be the approach as insurance provides lot of benefits towards the protection of customers, third party damages and critical accidental covers. With a handful of premium amount you’re not only securing your vehicle but your also buying that additional (piece) peace of mind to stay relax during the dangerous situations in life.
Nowadays, these two wheeler insurance can also be purchased online. Online sites are a great place to start as they help you easily to compare the cost of insurance and also provide you variety of options to choose as per your requirements. The new approach by the government with a discount of 30 per cent for its customers on three year cover is an initiative to provoke more and more customers in taking suitable two wheeler insurance. Besides, there is also a bonus entitlement due to no claim in the preceding year as well and the discount can go all the way up to 50 percent in this case.