Many people buy a bike for easy commutationbut many buy it for their craze and passion. Most often these bike buffs like to jazz things up and modify the bike in various ways to make it more stylish and even improve its performance. But what most people are unaware of is that each bike modification impacts the two-wheeler insurance in various ways. Here, we discuss some of the most popular bike modifications that people do and its impact on bike insurance. Stay hooked!
- Performance Modifications
This is one of the most popular modifications undertaken by any bike aficionado. These modifications are meant to increase the speed of the bike, increase the fuel economy and to enhance the riding convenience. All these modifications are perceived as high-risk factors since performance modifications often lead to a much higher speed and thus a higher risk of an accident. It also leads to more wear and tears in a bike thereby leading to more frequent repairs. Thus, inevitably, these modifications lead to a hike in the premium that will vary from insurer to insurer and the extent of the performance modification undertaken.
- Visual Modifications
Many bike buffs want to go the extra mile to make it look more stylish and eye-catching. People often fit various kinds of accessories to give it a sportier look. These are also considered in the bracket of the high-risk. Foremost, most of the accessories used are expensive and you need to purchase an accessories rider to get them insured.
Again, the sporty look increases the probability of the bike and its accessories being stolen. This increased risk of theft increases your base premium and hence you find the premium amount of your bike insurance increasing.
- Security Modifications
These are taken by both sensible and passionate bikers. It aims to increase the security of the bike. It includes an anti-theft device, GPS tracker, etc. Since these installed units increase the security of the bike, they tend to lower the premium of the bike insurance provided you meet the conditions.
Foremost, the security devices that you install must be certified by the Automotive Research Association of India (ARAI). The second thing is to inform the insurer and obtain their approval. Only then your premium will get lowered. Many preinstall the devices while purchasing the bike. If they are installed at the time of purchase of the bike, you get an instant discount on the premium.
- Modifications Made For the Disabled
Sometimes a modification is needed in a bike or any other two-wheeler so that any differently disabled person can use it more conveniently and with higher security. In such instances, no Insurance Company asks for any extra premium. On the contrary, most insurers go ahead and offer an extra discount. The purpose of the discount is to encourage the disabled to feel more confident and take definitive stride ahead towards leading an independent life that resembles as much as possible to a normal person’s life.
- External Fittings
Sometimes people add fittings like luggage carrier or a sidecar to increase their convenience while using the bike. These are deemed as increasing the value of the bike and thus hike the premium amount. Different insurers charge a different premium amount and hence one must always compare quotes before opting for a particular bike insurance plan.
- Color Change
The color change is something that most bike owners undertake. Here again, the stance is ambiguous. Few insurance companies do not give any importance to it while other insurance companies see a color change as making the bike more attractive and more susceptible to theft. They will thus lead to an increase in premiums.
Things to Keep in Mind Before Undertaking Bike Modifications
There is no hard and fast rule laid down on modifications of the bike on the insurance premium. It varies from one insurer to another. However, there are a few rules that you must always keep in mind.
- Before undertaking any modification, you must always inquire about its impact on the premium from different insurers. You must always compare quotes and then choose the best policy.
- You must never do modification without prior approval from the insurance company. If the insurance company finds a modification at the time of claim; it will be considered as a fraud and can lead to the rejection of a claim and even cancellation of your policy. Hence, you must always exercise extra precautions with it.
- If you are purchasing online bike insurance; you do not get an option to declare the modifications. You also do not get the exact quote. In this scenario, it’s best to talk to a representative and know the exact amount of the premium and the impact of the modification on the rate.
- Because of the lack of any proper rule on modifications, every insurance company has their take on modifications. Few might not charge anything extra for a modification while another company might ask for a hike in premium amount. Thus, you must always research well.
No matter what type of bike modification you intend to do; you must always keep your insurance company in the loop and then proceed ahead with care and knowledge.