With each passing day, a growing number of electric vehicles are being launched by renowned vehicle manufacturers. EVs are becoming growingly popular. Also, India’s central government aims to make the country the world’s largest producer of electric vehicles by 2030. (Source: IBEF).
Thus, the relevance of EV insurance is increasing as well. Usually, an electric bike in India can cost up to Rs. 3 lakhs. As a result, the insurance price is also slightly higher than for standard petrol and diesel, especially that of electric two wheeler insurance. Before purchasing, one should consider a few crucial factors. Soon, there might be an insurance plan designed exclusively for electric vehicles. But, at the moment, regular insurance plans cover electric vehicles. Insurers provide these plans under the norms for conventional vehicle insurance.
What is Electric Bike Insurance?
Electric bike insurance is a form of comprehensive insurance for two wheelers that safeguards two-wheelers from possible losses and damages in the event of an accident, a natural disaster, or a fire. Electric bikes, often known as e-bikes or electric two-wheelers, are steadily gaining popularity as eco-friendly and noise-free alternatives to traditional bikes.
Also, please note that in order to incentivise and promote the adoption of EV usage in India, with effect from June 16th, 2019, third-party insurance for privately owned electric vehicles in India is now 15% less expensive than it is for similarly equipped regular private vehicles. (Source: IRDAI)
Is Electric Bike Insurance Mandatory in India?
You can ride your bike without insurance if you have a vehicle with a 250-watt electric motor and a maximum speed of 25 kph. You might be surprised to learn that these electric bikes don’t even need to be registered or licensed. While wearing a helmet always keeps you safe, it is not mandatory when driving an electric bike.
The choice to purchase an insurance policy for an electric bike is entirely up to the owner. However, insurance is mandatory for electric bikes that can go faster than 25 kmph.
Factors to Keep in Mind While Buying Electric Two-Wheeler Insurance
When deciding on comprehensive insurance for two wheelers, there are certain things to keep in mind. These are as follows:
- Buying an Insurance Policy Online: The initial step is to purchase your electric two wheeler insurance online rather than in person. This is because while buying a policy offline, you must visit the insurance provider’s office or count on their insurance agents. However, if you purchase e-bike insurance online, you will have a wider selection of options without relying solely on a third party.
- Insured Declared Value (IDV): Insurance companies offer a wide range of plans with various coverage options and prices. The IDV that you decide on when buying the two-wheeler insurance policy is the maximal financial assistance you will receive when filing a claim. Among the various available options, choose the electric insurance provider that offers the highest IDV and the broadest coverage.
- Add-ons & Covers: Be sure to carefully review the plan’s inclusions and exclusions before acquiring insurance for your electric bike. It is crucial to comprehend the diverse coverage provided by the insurance provider under that particular plan, including, but not limited to, own damage, personal accident cover, and theft. Additionally, it’s important to understand what the plan does not cover so that you are aware of the risks that the insurer will not provide for.
- Battery Add-ons: Modern technology is used to manufacture e-bikes, which necessitates the usage of professional mechanics. As batteries and certain special parts are pretty expensive, it is essential to have separate add-on covers for them. Although engine protectors are a must with a comprehensive insurance plan, they might differ due to the variances between battery-powered vehicles and ordinary fuel cars. Additionally, the following add-on covers should be opted for: loss due to battery leaks, on-the-spot road assistance, battery charger, and more.
- Zero Depreciation Add-on: As these cars are expensive to maintain and buy, it is advantageous to get zero depreciation add-on coverage. During a claim, the insurance company determines the car’s depreciation value, deducted from the total claim amount. By purchasing a zero depreciation add-on cover, you can avoid having the insurance provider deduct any amount for depreciation from your final claim amount.
- Coverage for Unique Characteristics of E-Bike: Vehicles that run on electricity operate differently from those that do not. As a result, consider these unique attributes before acquiring an insurance policy for your electric two-wheeler. When it comes to battery capacity, standard electric vehicles can go between 160 and 241 kilometres. The majority of electric vehicles require between five and ten hours to fully charge. According to experts, malfunctions of the battery, power supply unit, etc., can be covered the right way by getting the right warranty tools.
- Exceptional Service: When deciding on an insurance provider for your electric two-wheeler, always consider the kind of service the insurance provider offers. Observe how patient the insurer is with you when you have a query. Can you contact them whenever you want, and will they respond? These are some company details that you need to be acquainted with. These are a few considerations when selecting the ideal insurance.
Electric bicycles are costly yet environmentally friendly. This could serve as an effective catalyst for putting an end to environmental degradation practices. Even though there aren’t many options available in the market, you can still buy one of them.
While investing in an e-bike is a smart move, it’s equally critical to maintain it in top condition. To protect yourself and your bike against financial distress, choose to buy electric two wheeler insurance right away! To grab the right coverage, you must choose the right insurer. When making this decision, keep the above-mentioned factors in mind.
Disclaimer: The above information is for illustrative purposes only. For more details, please refer to policy wordings and prospectus before concluding the sales.
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