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Buying a vehicle is a huge milestone in any Indian household. It is almost like welcoming a new member into the family. Though they are a depreciating asset, the two-wheelers we purchase in our life come to mean so much to us.
They make our daily commute and any sudden trips down to the grocery or medical store much easier. While we do our every possible bit in ensuring vehicular safety, even a minor accident or a crash can lead to unexpected repairs or replacements. These modifications could burn a hole in our pocket, more so if they hit us at the wrong time of the month. This is where the Own Damage cover (OD) comes into play.
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What is the Own Damage Two-Wheeler Insurance?
The cover provides you with financial help and covers the expenses of the repairs and replacements due to the damage that occurred. This includes damages or losses caused due to any natural (floods, landslides, earthquake, etc.,) and man-made (accidents, riots, vandalism, etc.,) disasters. The policy protects the insured if the bike gets stolen or is damaged beyond repair.
The own damage cover is not a mandatory requirement like the third-party bike insurance. But, it gives you a safety cushion if something happens to your bike. Also, the own damage cover does not provide the insured with any compensation or financial help in case of any bodily harm or physical injury suffered by the insured.
What is Covered in the Own Damage Two-Wheeler Insurance?
The cover has its exhaustive benefits and provides you with protection against the following damages caused by:
- The repairs and replacement of parts due to an accident.
- Natural calamities like floods, earthquakes, cyclones, etc.
- Man-made calamities like terrorist attacks, riots, vandalism, fire, and explosion, etc.
- The theft of your bike.
- Total loss, in case the two-wheeler is damaged beyond repair.
What is Not Covered in the Own Damage Two-Wheeler Insurance?
Though the policy has an exhaustive cover, there are certain limitations in the own damage cover that will not be covered. The losses or damages incurred due to:
- The third-party liabilities, in case of an accident.
- Driving the two-wheeler without a valid license.
- Physical injury or damages suffered in the accident.
- Using the bike for any criminal or illegal activities.
- Driving without a valid insurance policy.
- Driving under the influence of alcohol or any other intoxicating substances.
- Mechanical or electrical failure of the bike.
- The subsequent damage caused by an accident, fire, etc.
- Regular wear and tear of the bike due to its depreciation.
- Usage of the bike for any other purpose than the one mentioned in the policy terms.
The own damage can be bought both as a standalone cover and as a package in the comprehensive insurance policy. While it seems like an extra expenditure, it will come a long way in saving your money on any unexpected expenditure.
