Bikes are a common means of transportation in India. There are more than 100 million registered two-wheelers on the road! If you’re one of the millions who rely on your bike to get around, then it’s crucial to have a bike insurance policy.
But what happens if you decide to sell your bike? How do you transfer the insurance policy to the new owner? This blog post will walk you through the process of transferring a bike insurance policy to a new owner.
Let’s get started.
Steps to Transfer the Two-Wheeler Insurance Policy
Step 1: Within 14 days following the transfer of vehicle ownership, submit a two-wheeler insurance transfer application. As quickly as possible, let the insurer know about the change in ownership.
Step 2: Send in the required information, including the Registration Certificate (RC), insurance records, records of transfers of ownership of the vehicle, history of premium payments, and the selling deed for the two-wheeler.
Step 3: The driver’s license, Aadhaar card, and PAN card are examples of the KYC documents that the buyer and seller will be required to provide.
Step 4: Certain insurance providers could check the two-wheeler before transferring ownership.
Step 5: The insurance provider gives the insurance coverage to the new owner after verification.
Important Documents for Bike Transfer Policy
1. Form 28, 29 and 30
These forms are to be filled out by the previous owner of the vehicle and the new owner. The documents certify the transfer of ownership has been made.
2. Vehicle’s registration certificate
The registration certificate is an important document as it has your bike’s chassis and engine number. This needs to be submitted to the insurance company to change their records.
3. Vehicle’s sale deed
The most crucial document you need is the sale deed of the vehicle. This document must be presented to the insurance company as it is proof that the ownership of the vehicle has been transferred.
4. Ownership transfer documents
To initiate the ownership transfer process, you will need to submit the following documents:
- The original Registration Certificate (RC) of the vehicle
- A duly filled and signed Transfer of Ownership form
- A valid Pollution Under Control (PUC) certificate
5. Address proof of buyer and seller
The address proof is required for both the buyer and the seller. The common documents accepted as address proof are Passport, Voter’s ID card, Ration card, Driving license, Electricity bill, and Landline telephone bill.
Benefits of Transferring Two Wheeler Insurance Policy
Here are the major benefits that you can avail by transferring your bike insurance policy to the new owner:
- The process is simple and hassle-free
- You get a No Claim Bonus (NCB) on your bike insurance policy
- It is a legal requirement as per the Motor Vehicles Act, 1988
- You can avoid paying penalties for riding without valid bike insurance
- It helps you to get a good resale value for your bike
Thus, transferring your bike insurance policy to the new owner is beneficial.
The Bottom Line
The process of transferring your bike insurance policy to a new owner is actually quite simple. It should take a few minutes to complete as long as you have all the necessary documentation. Be sure to keep your policy documents safe so you can easily find them when you need to.