electric two wheeler

Can an Electric Two Wheeler Get Covered Under Two Wheeler Insurance Policy?

Two wheeler insurance policy is a financial product that offers coverage against damages caused to your vehicle, theft of the vehicle, third-party liabilities, and more. Therefore, it is essential for any type of two wheelers, whether electric or using conventional fuel, having two wheeler insurance that covers a variety of damages and losses is a smart decision. The industrial revolution and technological advancements have taken our country to new horizons. However, this has come at a cost. The cost is the increase in the level of pollution and it is becoming a serious threat. Metro cities like Delhi, Mumbai, and Bengaluru are prime examples of this.

The Government of India has recently set up the aim of an 'all-electric' to control the rising pollution levels in the country. India is top among five countries that consume the highest conventional fuel energy source. The abundant consumption of crude oil poses a serious threat to the environment. Therefore, the promotion of electric bikes, also known as an e-bike, has become all the more important today.

The market for e-bikes opens up a huge percentage and the endless possibilities of making a profit. The major players in the market, like Honda, Yamaha, TVS, have already started working on different models of e-bikes and planning to launch them soon. There are also some new players who have ventured to manufacture e-bikes that can deliver the same level of performance as a fuel engine bike.

Importance of Two Wheeler Insurance

While it is a positive thing that the amount of risk associated with an electric bike is limited, they offer a comparatively controlled speed. Yet, it is impossible to predict the misfortune that may happen during the ride. Therefore, it is crucial for any type of two wheeler, whether fuel based or electric, to have a two wheeler insurance plan that provides coverage against a variety of losses and damages that may occur to the bike due to accident.

A majority of people in India do not consider two wheeler insurance to be significant as they don't get any returns from the same. While in reality, they can never predict when an unfortunate event may strike, and a two wheeler insurance policy saves them from burning a hole in their pocket. In the absence of a suitable two wheeler insurance plan, all such expenses will have to be taken care of by the owner of the bike. These expenses can sometimes go really high. An e-bike insurance plan will protect you against such risks. Moreover, a third-party two wheeler insurance policy is mandatory as per the Motor vehicles Act, 1988.

Two wheeler insurance for e-bikes

Since an e-bike comes with a certain speed limit, the two wheeler insurance policy for e-bikes are not really expensive. The primary advantage that a two wheeler insurance policy offers is, it protects you from almost every possible scenario, which results in damage or injury. Therefore, you need to pay from your pocket the expenses arising due to accidents and other covered scenarios.

If you want to buy an insurance policy for your e-bike, there are mainly two types of two wheeler insurance plans you should know about:

Third-party liability cover: A third-party liability insurance is a basic form of two wheeler insurance, mandatory in India. This type of insurance primarily protects the policyholder against financial and legal liabilities arising out of damages caused to a third-party person or property.

Comprehensive two wheeler insurance plan: A comprehensive insurance policy for your e-bike will offer a greater scope of protection. It provides coverage against a variety of natural and manmade calamities.

In case of an unfortunate event that causes damages or losses to third-party, you or your vehicle, an insurance policy can come at a rescue. A two wheeler insurance plan needs to be renewed every year. However, some insurance companies offer long-term insurance policies for a period of up to three to five years. Opting for a long-term two wheeler insurance policy can save you from the unwanted hassle of policy renewals, and you may also be eligible to avail certain discounts.

The following are some aspects why you should never escape a two-wheeler insurance policy for your electric bike.

  • E-bikes are expensive: Despite the Indian Government pushing hard to promote e-vehicles in India, the demand for the same has been low. The primary reason for this is electric two wheelers are not affordable for all. If you own an e-bike or planning to buy one, you might be aware that it is a significant investment. Electric bikes have their own set of advantages and limitations. Though they are environment friendly and affordable in terms of usage, the complex mechanical, electrical, and computer-driven technologies are prone to break down and damages. There is a specific amount of risk associated with electric bikes, just like any other motorbikes. - - - -

Therefore, it is crucial to pay due attention while insuring your e-bike and ride it stress-free.

The high degree of risk: Some of the high-end e-bikes comes with relatively higher speed limit than usual e-bikes and are heavier. This makes them more prone to risk. A two wheeler insurance policy can be a saviour in such unfortunate events. In the absence of which, the huge expenses on repairs of the bike and personal injuries will have to be borne by the owner of the vehicle.

Limited coverage: Since e-bikes have not seen mass adoption yet, they have the same procedure to be insured as other motorised two wheelers. It is advisable to analyse the available options and choose the plan that offers you maximum coverage at minimum cost.

In a country like India, where electric bikes are yet to become popular, most available e-bikes do not go beyond the speed of 60kmph.

This makes them viable for a city commute, where you may not need to go fast due to heavy traffic. Due to lower risk, e-bike insurance should be cheaper as compared to motorbikes. You may also customise your two wheeler insurance policy based on your specific requirements.

A comprehensive two wheeler insurance policy will provide coverage against a variety of risks such as damages and losses caused due to crash, fire, theft, or other manmade and natural calamities.

Recommended Link:India's Upcoming Electric Two Wheeler