How Much Bike Insurance Can I Claim For A Stolen Bike?

It becomes a very strenuous and stressful situation when there is a case of theft of your bike. If you do not have a bike insurance (comprehensive or stand alone own damage) that covers your bike along with covering for a third party insurance, then you are in trouble. It is always advisable to have a comprehensive bike insurance since it covers for the mandatory third party insurance as well as gives coverage for your bike. If you have a comprehensive or stand alone bike insurance and your bike gets stolen, then you don’t have to worry too much and your insurer will take care of the major financial losses you have undergone. It is important to note that this claim amount that will be given to you for a stolen bike will be as per the Insured Declared Value or IDV of your bike which is calculated right at the time of buying your bike insurance. Dive in to learn more about claiming bike insurance for a stolen bike.

What Is The Pay-Off Going To Be?

If a motorbike is stolen and not found, insurance will pay out an amount equivalent to the bike's market value. The part of the insurance which applies in this case is your comprehensive coverage. Your insurer will not pay anything if you don't have comprehensive coverage or if you only have third party coverage. 

What Is The Need For An Individual To Have  Bike Insurance?

If your bike is stolen, third party bike insurance will not cover the loss, leaving you without the funds to buy a new bike or replace the existing one.  However, having complete coverage might be quite beneficial since you can file a claim for bike theft and get reimbursement for it. You may breathe a sigh of relief if you have comprehensive coverage since you will be compensated if you simply complete a certain theft claim procedure. Thus, you may protect yourself against unforeseen financial difficulties by paying a small fee and purchasing comprehensive bike insurance.

How Can A Person Claim For Bike Insurance If Their Vehicle Is Stolen?

If your bike is stolen and you would like to claim your bike insurance for the vehicle then immediately do the following after keeping your bike insurance policy document handly:

• Register An FIR: Make sure you immediately register an FIR with your nearest police station stating that your bike has been stolen. Ensure to give all the details properly like the location from where the bike was stolen, when was the last time you saw the bike, the copy of your insurance policy document, your vehicle’s chassis and engine number details, bike serial number, make, model, variant of the bike and RTO details of where the bike was registered.

• Inform The RTO: As soon as the FIR is registered, inform your RTO where you have registered your vehicle. This is important to secure RTO transfer papers and any other documents that may be required to prove your ownership of the vehicle as well as to submit the details to your insurer.

• Inform Your Insurer: Once you have the FIR document, immediately inform your insurer about the bike being stolen and submit a copy of your FIR. Make sure to submit all the other documents required by your insurer like your address proof, vehicle registration details, policy document, etc.

• Submit All Documents: Once you have filed the FIR, informed your RTO and procured the documents from them and informed your insurer about the theft of the vehicle, make sure you submit your documents as required by the police, your RTO and your insurer. Failure to do so at any given step or time may result in less or no claim.

• Obtain NTC From The Police: An NTC is a non traceable certificate that you obtain from the police which states  that your vehicle cannot be traced or found. This is a crucial document which is required to be submitted as valid proof to your insurer. 

• Wait For Claim Approval: Once you have submitted your documents, wait to hear from your insurer. Your insurer will review all the documents and the status on the case will then be decided on whether or not you will be receiving the claim and what that claim amount will be.

What To Do In Case Your Claim Is Rejected?

In case your claim gets rejected even after submitting all the documents, make sure you check with your insurer on what the issue was due to which your claim did not get approved. You can choose to either directly contact your insurer or ask for a third party verification to check if the claim process was followed diligently. 

What Happens If Your Two-Wheeler Is Found?

In case your two wheeler is found by the Police then your insurer will not make any payment for the claim. Note that it is important to immediately inform your insurer in case your bike is found after submitting a request for claim. 

Conclusion

It is important to note that you must have a stand alone own damage or a comprehensive two wheeler insurance to safeguard yourself financially. Once you have an insurance in place you can easily make a claim for your stolen bike and stay stress free. It is also important to note that in case your bike is found, your insurer is not liable to give you any claim money and you must inform them on time regarding the same.

Frequently Asked Questions (FAQs)

Q1. Does 2 wheeler insurance cover theft?

Ans. Yes, if you have a stand alone own damage or a comprehensive two wheeler/ bike insurance. Your bike will be covered for theft. 

Q2. What happens if the bike I bought is stolen?

Ans. If the bike you bought is stolen you must immediately file for an FIR and inform your regional RTO where the bike was registered. In case you have a comprehensive or stand alone own damage bike insurance, you must also inform your insurer about the bike being stolen and submit all relevant document for your claim to be processed. 

Q3. What happens if a stolen bike is found after insurance payout?

Ans. In case your bike is found after the insurance payout, you will have to return the amount to your insurer. This is because your insurer is not liable for any additional payment once the two wheeler is found. 

Q4. How much does an insurance company pay for a stolen bike?

Ans. The payout for your stolen bike will depend on the insured declared value or IDV of your bike. The calculation for the same is IDV minus any depreciation and deductibles listed in your comprehensive or stand alone own damage bike insurance policy.

Q5. Which part of bike is not covered by insurance?

Ans. The parts of your bike that are not covered under bike insurance (comprehensive or stand alone own damage) are fibre glass, rubber parts, nylon or any plastic parts.

Also Read: Lost Your Two-Wheeler Insurance Policy? Learn What To Do Next