Factors That Determine Your Two Wheeler Insurance Premium


When you buy a two-wheeler, it is mandatory to also obtain an insurance policy for it, as per the Motor Vehicles Act, 1988. With the latest technology, it has become very convenient to check the two-wheeler insurance amount before you buy it. Two-wheeler insurance premium calculator is available on the insurance provider’s website for to receive quotes faster than ever. All you have to do is enterthe necessary information, and the estimated premium of your two-wheeler will be displayed. 

Online premium calculator

An online premium calculator considers all your details to provide the premium price if you were to buy a policy for your vehicle. It makes life easier by carrying complex calculations in seconds. An online premium calculator lets you know the insurance premium of your vehicle. 

Let us now look into the components that are involved in calculating insurance premium:

  • Policy type 

No matter which policy you choose, a two wheeler insurance third party policy or a comprehensive one, it will have an impact on your insurance premium.

  • Add-ons

If you opt for comprehensive two-wheeler insurance, you can also go for suitable add-ons and enhance its coverage.

  • IDV

The current market price of your two-wheeler is known as Insured Declared Value (IDV). An IDV calculator is used to determine it.

  • Deductibles 

Your insurance premium amount will lower if you opt for a highervoluntary deductible in addition to the compulsory deductible.

  • NCB

No Claim Bonus (NCB) is basically a concession offered at the time of policy renewal if you haven’t made any claim during the policy period. It is of utmost importance as it matters in determining the premium at the time of renewal of your vehicle’s insurance policy.

  • Factors determining the two-wheeler insurance premium

  • Make & Model

The brand, as well as model of your bike, is required when calculating the two wheeler insurance premium. The insurers also ask the vehicle’s registration year.

  • Cubic Capacity

The data is collected from the information of the bike’s make and model. Cubic Capacity of your bike’s engine is an essential factor.

  • Location

When compared to tier-2 cities, two-wheelers in metro regions warrant a higher premium. This also plays a vital role in the rate of accidents in a location.

Tips to decrease two-wheeler insurance premium

  • Claim Smart

Don’t claim for small damages; this will lead to loss of NCB. Always, compare the claim value with the NCB before deciding. To stay eligible for NCB, keep renewing on time.

  • Add-ons 

You get to choose add-ons from various options available. These riders require an extra charge, and so always opt for the ones you need. 

The components mentioned above as well as factors to arrive at the premium amount is taken into account by the two wheeler insurance premium calculator. You must provide accurate information about the factors. When you purchase the policy, this information will go into the official policy document. Therefore, share authentic data with your insurer.