With more and more people travelling intercity and within the city boundaries for work, rental bikes have become popular. People no longer want to rely on public transportation for their daily commute. Instead, they prefer the independence of a rental bike, which saves them time and money.
However, did you know that rental bikes need to be insured, much like privately owned bikes? Obtaining insurance for rental bikes is a straightforward process that can save you from potential financial setbacks in case of accidents or theft.
In this blog, we will walk you through the simple steps to secure rental bike insurance for your bike to ensure a worry-free and enjoyable riding experience for the rider.
Steps to Buy Two-Wheeler Rental Cover Insurance
If you own a bike that you plan to rent out, you must secure it with an appropriate insurance plan. For this, you can insure them similarly to private vehicles to cover damages to rented bikes and ensure maximum protection against accidents and third-party liabilities.
The steps to obtain two-wheeler insurance for a rental bike are mentioned below.
Assess your Needs
The first step to obtaining valid two-wheeler insurance for your rental bikes is to understand the type of coverage you need to safeguard the bike. You need to assess the condition of the rented bike to evaluate the potential risks it is prone to.
Choose Policy Type
Third-party two-wheeler insurance is mandatory by law, and rental bikes can only be taken on the roads of India with this insurance. A comprehensive plan offers combination coverage for third-party liabilities and own damage.
You can choose between any of these plans to customise your rental bike coverage as required.
Collect Necessary Documentation
Once you have all the information, collect the necessary documents for the rental bike to apply for a two-wheeler insurance policy online or offline. The list of documents include -
Registration certificate for the rental bike
Proof of identity - Aadhaar card, PAN card, etc.
Proof of address - Utility bills, Aadhaar card, etc.
A valid driving licence
Compare Prices
For the next step, compare premiums offered by different insurers to choose the one that best aligns with the kind of rental cover you need within your budget. Moreover, assess the different inclusions and exclusions offered by various plans to know the scope of coverage and potential limitations.
Fill the Application Form
After shortlisting an insurer:
Go to their website and start the application process.
Fill out the application form with the requested personal and vehicle information.
Explore the wide range of add-ons available with the two-wheeler insurance you have chosen.
Combine as many as required based on specific coverage needs in addition to the base coverage. Do remember add-ons increase the total premium value.
Pay the Premium
For the final step, review the final policy quotation, inclusions, exclusions, terms and conditions. Once satisfied, pay the required premium online using one of the payment methods available and collect the receipt for future reference. Your new two-wheeler insurance for the rental bike will be shared on your email address.
Essential Coverage for Rental Bike Insurance
When insuring rental bikes, it is crucial to plan carefully and determine the appropriate levels of coverage to meet your needs. Here are the key coverages you should consider under your insurance for bikes -
Bodily Injury or Death Liability
The government-mandated Third-Party Insurance secures your vehicle against claims for third-party injury or death, ensuring you comply with legal requirements.
Property Damage Liability
If your bike causes damage to someone else’s property, Third-Party Insurance will compensate for the damages.
Own Damage Cover
Comprehensive Insurance includes
Own Damage two-wheeler insurance cover, which compensates you for accidental damages or theft of the insured bike to protect you against losses resulting from accidents, theft or other unforeseen events. You can also opt for an own-damage plan separately if you already have third-party insurance for your bike.
Include Add-Ons
Enhance your policy coverage by including add-ons such as:
Zero Depreciation: Covers the total cost of repairs or replacements without considering depreciation.
Bike Engine Protect: Provides coverage for engine damage due to non-accidental causes.
Consumables Cover: This covers the cost of consumable items like engine oil, nuts, bolts, etc., that are typically not included in standard policies.
By considering these coverages and add-ons, you can ensure that your rental bikes are comprehensively insured, providing maximum protection and peace of mind.
How to Pick the Right Insurance for Bike Rental Business?
As a rental bike owner, it is essential to protect your vehicle with the right two-wheeler insurance policy.
Whether you manage a fleet or rent out a single bike, you can secure your vehicle with a Comprehensive Two-Wheeler Insurance policy, which includes both Third-Party Insurance and Own Damage Cover.
Here are some key points to consider when obtaining insurance for rental bikes:
- Decide on the Extent of Coverage
Rental bikes require the same level of protection as personal bikes. Thus, a comprehensive insurance plan is necessary, covering both third-party liabilities and damages to the insured vehicle.
Consider purchasing additional add-ons to enhance your coverage and protect against specific risks. With the right coverage, you can
prepare your bikes for adventure rides.
Find the Right Plan
While you can insure your rental bike with the government-mandated Third-Party Bike Insurance plan, a Comprehensive Insurance plan offers broader benefits. It covers third-party liabilities and own damage with the option to include add-ons for specific losses not covered by the standard plan.
Buy Online
The insurance industry is now transformed, making it easier to buy, renew and file claims online. At Reliance General Insurance, for instance, you can complete all these processes without physical documentation or paperwork. With a digital infrastructure and no-commission model, you can insure your rental bikes affordably and conveniently.
Conclusion
Securing insurance for rental bikes or two-wheelers is a straightforward yet essential process to protect against potential risks. By choosing the right coverage, including third-party liability and comprehensive insurance with relevant add-ons, you can ensure financial security and peace of mind.
With the convenience of Reliance General Insurance’s online platform, you can easily buy, renew and manage
insurance for bikes, ensuring that your two-wheelers are always protected and you remain stress-free.
Frequently Asked Questions (FAQs)
Third-party insurance covers liabilities for injury or damage caused to third parties, whereas comprehensive insurance includes both.
Yes, it is possible to get rental cover for a rented two-wheeler in India. Most reputed insurance companies offer policies specifically designed for rental two-wheelers. These policies provide coverage against theft, damage, and third-party liabilities.
It is, however, important to check the policy details, including coverage limits and exclusions, to ensure you have adequate protection. With the right insurance, you can ride confidently, knowing you are safeguarded against unexpected incidents.
The bike rental insurance rates depend on the kind of coverage you choose for your bike. A basic policy with limited coverage won’t cost much. However, a plan with comprehensive coverage may cost relatively more.