Two-wheelers are undoubtedly vehicles that maintain a balance between two C’s — convenience and cost. Convenience comes by their way of being able to get you around traffic in quick spans and the same instance, being more affordable than steeply-priced cars. This is why many car owners also have a two-wheeler in their garage.
Manufacturers are aware that two-wheelers are an unparalleled purchase and hence, they keep up the innovation and introduce new models periodically. In this cycle of refreshed designs and engine upgrades, many two-wheeler owners replace their bikes with more advanced vehicles. At the same time, many buyers are just starting and prefer a pocket-friendly ride.
That’s why there is a strong demand for pre-owned bikes and scooters. Just as how registration and two wheeler insurance
are mandatory at the time of purchase, it is also essential to receive the ownership and its insurance at the time of its sale.
This article discusses why it is essential to receive the ownership as well as insurance transfer for pre-owned bikes. Continue reading to know more.
Ownership Transfer of the Bike
Ownership transfer is the process where the rights and other liabilities of the vehicle are transferred to the buyer of the vehicle and is mandatory for the buyer to get it transferred to their name. An ownership transfer is generally required in three situations — the sale of a vehicle, the demise of the owner, and a public auction. While the sale of the vehicle is the most common situation, the other two are rare.
Transfer of the ownership to the new buyer ensures any rights, as well as liabilities, are passed on to the rightful owner of the vehicle. In case of an accident or the vehicle being used for illegal purposes, the owner is held responsible in all such situations.
Transferring the ownership of a bike happens via the RTO. After scrutiny of all the documents and forms submitted, the RTO transfers them to the buyer and accordingly issues an amended registration certificate.
*Standard T&C Apply
Insurance Transfer of the Bike
Other than transferring the ownership, the transfer of insurance is also a crucial step that must not be missed. No benefits will be available to the new buyer in case the insurance is still in the name of the previous owner and may even lead to the rejection of the claim.
Transferring the insurance policy must be done within 14 days of the sale/purchase, along with submission of the amended registration certificate, sale deed, and the copies of forms submitted to the RTO by the seller. After verifying the documents, the insurance company will transfer the third-party coverage to the buyer’s name. At this time, the buyer has the option to even opt for comprehensive coverage that provides an all-around coverage but has a slightly higher bike insurance price
. To know how the different factors impact the policy premiums, a two wheeler insurance premium calculator
comes in handy.
*Standard T&C Apply
Without insurance, your ownership of the bike will be incomplete. So, make sure to receive the transfer of the insurance policy and the ownership on the purchase of the two-wheeler.
Insurance is the subject matter of solicitation. For more details on benefits, exclusions, limitations, terms and conditions, please read the sales brochure/policy wording carefully before concluding a sale.