When it comes to the premium of two-wheeler insurance like Bajaj insurance, bike price and other factors play a crucial role. Since having third-party two-wheeler insurance is compulsory, knowing the factors that affect the insurance premium can help you make an informed decision.
Among the many two-wheelers insurance plans available in the market, Bajaj insurance is one of the more popular ones that you can choose. Read on to learn about the factors that affect the premium of your two-wheeler insurance.
Model And Purchase Value Of Your Bike
The model and cost of your bike give an estimated cost of any repairs. Generally, a newer and high-value two-wheeler will have higher repair costs as compared to one that is a little older and in the medium range. As such, the premium for the former may be higher than that of the latter.
Given below is a table of estimated premiums of Bajaj insurance. Bike price shown is the ex-showroom price, and the premium may change depending on other factors too.
| Petrol Bike Model from Bajaj | Bike Price | Premium (Third-party insurance) |
| Bajaj Platina 100 | ₹52,915 | ₹714 |
| Bajaj Pulsar 125 | ₹81,380 | ₹714 |
| Bajaj Avenger 160 | ₹1.11 lakh | ₹1366 |
| Bajaj Pulsar 180 | ₹1.16 lakh | ₹1366 |
| Bajaj Pulsar NS200 | ₹1.39 lakh | ₹1366 |
| Bajaj Pulsar RS200 | ₹1.68 lakh | ₹1366 |
| Bajaj Dominar 400 | ₹2.22 lakh | ₹2804 |
Type Of Insurance Cover Selected
For the premium calculation of Bajaj Insurance bike price is not the only factor that is taken into consideration. The cost of the policy is also dependent on the type of insurance cover you select. Typically, you can find two bike insurance covers, third-party cover and comprehensive cover.
In third-party cover, the insurance provider covers only third-party liabilities. This means that neither your bike nor you are covered under the plan, and only third-party person or property damage is covered. On the other hand, a comprehensive two-wheeler policy offers insurance coverage not just for a third party but also for your bike.
Due to the different benefits and costs, the estimated premium of bike insurance also differs. Generally, the premium for third-party cover is lower as compared to a comprehensive cover.
Insured Declared Value Of Your Bike
Also referred to as IDV, this is the value of your two-wheeler at the time you purchase the policy. Your insurance provider will check this IDV at the time of the first purchase as well as at the time of renewal.
Insured Declared Value is the maximum sum insured that the insurance provider offers. This is why, for Bajaj insurance, bike price calculation by the method of IDV is an important factor that decides the premium. A high IDV means a higher premium amount, and a low IDV means a reduced premium amount.
Given that a two-wheeler is a depreciating asset, the insured declared value will also depreciate with time. As a result, the older your bike gets, the premium amount may also get reduced.
IDV takes both the market cost of the bike into account as well as any accessories that you can added. It then subtracts the depreciation for both the vehicle and the accessories to arrive at the final value.
Any Add-On Covers
Add-on covers are those that increase the coverage provided by your comprehensive insurance policy. Thus, they increase your premium too. Such riders are not available on third-party insurance.
To get the best premium on Bajaj insurance, bike price, model and these covers should be carefully decided on. Knowing what the comprehensive policy benefits are and what you further desire can enable you to choose the right add-ons. Doing this assessment ensures that you do not end up having unnecessary add-ons or miss out on crucial ones.
Now that you know how in the premium calculation of Bajaj insurance, bike price and other factors play a crucial role, review your policy carefully. This will help you to ensure that the policy you select is ideal for your two-wheeler and keeps it protected.
