Riding on the success of long-term two-wheeler policy, SBI General has announced the launch of Long Term Two Wheeler Insurance policy. Earlier, insurance companies like ICICI Lombard, HDFC Ergo, Bajaj Allianz General Insurance and New India Assurance had launched similar products where premiums are paid upfront for two or three years.
It has been more than one and a half years since such long-term two-wheeler policies were launched after the Insurance Regulatory and Development Authority of India (Irdai) allowed insurers to bring out long-term two-wheeler policy (both liability alone and package) for a maximum of three years.
Commenting on the launch of the new policy, Puneet Sahni, head of product development at SBI General Insurance, said, “While the two-wheeler segment is set for growth and a large customer base with a break- in policy, it is extremely significant for us to introduce a comprehensive two-wheeler policy. This will inspire riders to not only buy insurance but also renew their policy regularly as the process is hassle-free. We are confident that our ‘Long Term Two-Wheeler Insurance’ policy will cater to all the needs of a rider, thus, creating a secure position for us within the two-wheeler insurance category.”
Other features of the SBI General Two Wheeler Policy include coverage for any third party permanent injury/ death caused by the insured vehicle and personal accident cover for the owner/ driver of the vehicle. Additionally, in case of third party liability any damage caused to the property (excluding vehicle) of some other individual by the insured vehicles covered up to Rs 1 lakh in case of Two-wheeler.
Senior officials in the industry claim that, this segment has seen premium in the range of Rs 300-500 crore. All motor vehicles running on Indian roads are required to compulsory have third-party insurance covers to protect against liability to third parties due to accident and damages. However, own damage insurance covers are optional.