April 13, 2021

Benefits of Purchasing A Cashless Claim Settlement Under Two-Wheeler Insurance

Two-Wheeler Insurance

India is a country where most of us use two-wheelers for our daily commute. Not only are they convenient but also cost effective. Two-wheelers also require less maintenance in general as compared to four-wheelers. Thus, it makes sense to have a bike or scooter to take us from point A to point B.

As per the Motor Insurance Act, it is government-mandated to have a third-party insurance coverage for your bike or scooter. You can have two wheeler insurance third party or comprehensive, but third party is compulsory. So, it is important to have a proper bike insurance policy in place.

Many insurance companies provide two-wheeler insurance with the cashless facility benefit over and above the basic policy coverage and benefits. Let us understand in depth what this means.

What is a cashless claim?

It is a service provided by insurance companies in which you can repair your two-wheeler at any of the garages that your insurance company has a tie-up with, and the repair bill gets sent directly to the insurance company and you don’t have to pay for it, except for perhaps a small amount, which is the mandatory deductible. Then after checking bike insurance details, the insurance company then pays off the bill amount to the garage.

How does the cashless claim process work?

This is what the cashless claim process looks like:

  • If there is an accident or mishap with your two-wheeler then all you need to do is take your damaged bike or scooter to any one of the network garages, which you will find on the insurance company website or in your policy document.
  • Then your bike or scooter is inspected by the representative of the insurance company, and then the surveyor will approve cashless insurance for it.
  • After that the repair work can start, and then the bill is sent to the insurance company with relevant supporting documents.
  • The insurance provider then analyses the bill and pays off the claim amount as requested by the garage.

However please note, the insurance provider will only settle claims which are covered under your insurance terms. If there are extra repairs, then you will have to take on those expenses yourself.

Why is cashless claim facility important in two-wheeler insurance?

There are significant benefits that this facility provides, which include but are not limited to:

  • Stress-relief: This is the biggest advantage as you don’t need to stress about the money when it comes to a repair for your two-wheeler. Any expense is borne by the insurance provider, and you only need to pay a small deductible.
  • Quick service: Insurance companies have tie ups with a lot of garages and even own many service centres. Thanks to that, it is easy to find a service centre for your two-wheeler when you need it. This makes the whole process from repair to insurance claim settlement quite effortless.
  • No money required: Normally having a bike or scooter repaired can burn a hole in your pocket and you need a solid amount of cash to get any repair work done. But with this facility, there is no money required.

Two-wheeler accidents or damages can happen anytime, so it is important to be insured at all times. But it is even better to have the cashless claim facility in your bike insurance policy, as it will provide more such benefits above the basic policy coverage.