Risks Involved while Riding a Bike which has an Expired Policy

Who doesn’t like a safe ride? But how safe are our rides actually? With increasing number of road mishaps nowadays it is hard to guarantee to never encounter it ourselves. This is when two-wheeler insurance a policy comes at rescue. Applying to the general insurance company to get the two-wheeler insurance can in a way make our rides safe.

What is two wheeler insurance?

Two-wheeler insurance is where the insurer covers any damages incurred to the vehicle that has encountered an accident or any unforeseen event. It offers cover not just to damages to the vehicle but also to the injured rider, the pillion and the third parties. Even when the vehicle is stolen, the two wheeler insurance can be helpful. As per the law it is compulsory to own a two-wheeler insurance, at least a third party liability cover is mandatory. Two-wheeler insurance helps you to be free from financial stress of vehicle damage, etc.  that are caused due to unfortunate events. Two-wheeler insurance provides with legal protection.  Personal accident cover can also be received on owning a two-wheeler insurance. Owning a two-wheeler insurance can let you with the benefit of no claim bonus. Paying premium and securing the future from unforeseen events is a smart choice.

Risks of Riding with an Expired Policy

When a policy is not renewed on time it becomes an expired policy. An expired policy loses all its benefits and is equal to a not having a policy at all. After the policy period ends if any claim is filed then it will get rejected from insurance provider’s end. Any kind of financial loss incurred due to damage of the vehicle or the rider after the expiry date of the policy will be the rider’s own responsibility. There are various risks involved in riding with a policy that has been expired.

  • Legally liable

As per the Motor Vehicle Act, it is mandatory to own a bike insurance for your bikes running on the roads of India. Riding a vehicle with a lapsed insurance policy is legally wrong and is an offence. Encountering an accident in such a situation can put yourself into both financial and legal burden.

  • Hefty penalties.

A minimum of third-party two-wheeler insurance is compulsory as per law, so if caught riding with an expired policy can land yourself in trouble and can make you liable to pay a hefty penalty.

  • Lose out on NCB

NCB is no claim bonus. If the rider has not made a single claim in his policy then he is liable for a discount in his future premium, known as NCB. It ranges from 20% to 50%. And if the policy is not renewed within a period of 90 days then the policy holder might lose out of the benefits of NCB.

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