Bikers alert! Personal accident claim may be rejected if bike is above 150cc? Details here

New Delhi: If you are a bike or two-wheeler enthusiast, this piece of news on personal accident insurance claim would be an important update for you. As per the details of your motor insurance policy once, if your bike's engine is more than 150cc, then the insurance company can reject the claim of personal accident cover in case of an accident.

A similar incident has come to light in Ludhiana. A biker in Ludhiana dies during a road accident, however the insurance company refused to pay the claim because the bike that the person was driving had more than 150cc engine.

The biker was driving a 346cc bike, and hence seem to be denied the insurance claim after he met with an accident. As per the terms and conditions of the policy, the claim under general Clause 8 shall not be payable for bodily injury resulting from riding or driving a motorcycle or motor scooter of more than 150cc.

The insurance company rejected the personal accident claim on the basis that it exceeded the engine specs which was above 150cc. The move by the company has led to a lot of uproar among insurers following which the company had to clarify its stand. 

HDFC ERGO, which is the insuring company in this case, however expressed regrets because a lapse in judgement. The company said that said that the clause as per Motor Insurance Policy terms was part of the insured person's old policy which was removed in October 2020. HDFC ERGO, expressing further remorse has said that the claim amount has now been paid to the family.

It is advisable that you read the fine prints of the insurance that you undertake because several companies are still continuing this old clause wherein no insurance cover is provided during personal accident claims if the bikes are above 150cc. Customers who take an accident cover in any form should check their respective policy documents carefully and change the product at the time of new policy and renewal if the fine prints are deceptive.