How Does Modifying Your Bike Affect Your Insurance Premium?

Diversity in people has always given rise to uniqueness in taste. Some people prefer to keep their bikes simple while others may like to make a few changes to jazz up their bikes. Personalizing bikes has become a trend that has grown with the development of technology. bike Insurance companies have made it a point to keep up with the constantly developing world of the automobile industry. Having insurance is not just mandatory, but a necessity that helps you to battle against any financial liability.

Types of Modifications And Their Effect On Bike Insurance Premium

Bike modifications are categorized into 3 main types. Each of these types has affected the insurance premium in certain ways. Read on to understand how these categories of modifications affect the premium.

Modifications To Enhance Security

These modifications are the best way to protect your bike from theft. This involves equipping your bike with security devices such as locks, alarms, etc. These devices are usually certified by the automotive research association of India. (ARAI). These anti-theft or security devices protect your bike from theft and reduces the risks of getting damaged and reduce the liability of the insurer. Therefore, having ARAI-approved security devices fit into your bike reduces the cost of your bike insurance premium.

Modifications To Enhance Performance of Bike

Performance modifications have the sole purpose of enhancing your bike’s performance in terms of speed and handling by making it stronger and comparatively more potent. These include getting speed-enhancing mechanisms or fuel-efficient systems installed in the bike. The insurance companies perceive such modifications as ‘risky’ as increased speed and performance may increase the probability of getting involved in an accident. Thus, the bike insurance providers will increase the cost of the bike insurance premium for such modifications.

You may also like to read:- Things to Be Cautious About Before Modifying Your Two-wheeler

Modifications To Enhance Appearance of Bike

Modifications that enhance the visual appeal of your bike by giving it a garnished look are known as aesthetic modifications. These modifications range from changing the bike’s color to replacing a few auto parts. These modifications can make your bike look sporty by adding fiber parts or even modify the headlights to make it seem more attractive. But, the better your bike looks, the more thieves it attracts. Aesthetic modifications also increase the bike’s market value. Therefore, the bike insurance providers may increase the insurance policy premium amount for your bike in case of such modifications not only because of the increased risk of theft, but also the cost of the auto parts that are not fit by the factory.

Always Keep Your Insurance Provider Informed

Informing your bike insurance provider of the modifications that you have done to your bike is crucial. It is very likely for insurance companies to reject your insurance claim in case you have not informed them about the modifications that you have done to your bike. Therefore, always keep your insurance provider informed about the modifications for your bike.

Also Read

Must Read Facts Before Modifying A Two Wheeler

 Take Away

With the advancement in technology, personalizing your bike according to your preferences has become a simple task. While making modifications to your bike, ensure that it is ARAI-approved and worth your money. It is wise to make informed choices by understanding how the modifications for your bike affect your bike insurance premium.

Disclaimer: This article is issued in the general public interest and meant for general information purposes only. Readers are advised not to rely on the contents of the article as conclusive in nature and should research further or consult an expert in this regard.