Steps to Change the Nominee’s Name in Bike Insurance Policy

As a bike owner, you must be aware of the requirement to purchase a two wheeler insurance policy. Failing to do so attracts hefty fines. The Motor Vehicles Act of 1988 makes it a regulatory requirement to have at least a third-party policy. Apart from legal compliance, a bike insurance plan comes in handy in providing financial coverage for its repair costs. But to get the needed financial protection, you need to consider buying a comprehensive plan. A third-party plan is limited in coverage, by offering protection only for legal liabilities arising from the policyholder. However, a comprehensive plan includes third-party coverage along with compensation for repair costs. Thus, protection for your bike is also available along with the mandatory third-party cover when you buy a comprehensive policy. A two-wheeler policy, be it a third-party plan or a comprehensive cover, compulsorily requires a policyholder to have a personal accident cover. This personal accident cover provides compensation up to ₹15 lakhs in the event of unfortunate death or disability of the owner-driver due to an accident. In these situations, the compensation is paid to the dependents of the policyholder (known as nominees). Hence, it is essential to name the nominees in your bike insurance policy at the time of two-wheeler purchase as well as two wheeler insurance renewal.

Who Can be a Nominee in a Policy?

The nominee is an individual appointed by the policyholder to receive any compensation in their absence. Thus, a nominee can also be termed as the beneficiary of an insurance policy. A nominee can not only be appointed when you buy your bike insurance plan but also can be modified subsequently. Generally, the nominee is the legal heir of the policyholder unless specified. But it isn’t mandatory to appoint the legal heir. Such a nominee can be any person the policyholder wishes to appoint. The nominee isn’t the person appointed only to receive compensation, but also to carry out the necessary proceedings on behalf of the policyholder. A nominee exists so that the insurance company need not look for a legal heir in the event of an unfortunate demise. Hence, policyholders are required to appoint one. *Standard T&C Apply

Steps to Change the Name of the Nominee in Your Bike Insurance Policy

If you are someone who wishes to amend the nominee in your insurance plan, it is a simple process. You can make use of the endorsement facility offered by the insurance company to make the necessary change as follows:

1. File an application with the insurance company (endorsement) notifying of your intention to change the nominee in your insurance plan.
2. The detailed application form must mention the name of the nominee to be appointed.
3. Depending on the insurance company’s terms, this application can either be made online or offline.
4. No additional documents are required, other than filling out the endorsement form. Also, no approval from the existing nominee is required during such a change.

*Standard T&C Apply Since the nominee is an important person who receives the compensation, it is essential to keep it updated at all times. Apart from re-evaluating the policy coverage and premium at every renewal using a two wheeler insurance premium calculator, you can also make any amendments to the nominee at this time.   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.