Summary of this article
Unauthorized modifications or uncertified chargers can void two-wheeler fire claims.
EV owners need battery protect add-ons to cover short-circuit damage.
Electric scooters face exclusions as batteries form 35–40 per cent of vehicle cost.
Proper documentation and warranty refusal proof are essential for smooth EV claims.
Many riders are not aware of the specific exclusions written into their policies, and hence some claims get rejected; meanwhile, they think that they are insured.
“For example, 'fire damage' is always covered, but insurers actually look closely at the cause of the fire. If you have done unauthorized modifications to your two-wheeler or if a genuine charger is not being used for charging, then it comes under negligence by the policyholder,” says Rakesh Kaul, Chief Distribution Officer – retail business, Bajaj General Insurance.
The same goes for fires caused by poor maintenance or by faulty parts that were already in place. Insurers also won’t cover fires linked to batteries or chargers that aren’t certified by the manufacturer or don’t meet safety standards. This is a direct exclusion. Additionally, if a mechanical or electrical breakdown leads to a fire, it might not be covered, but fires from outside accidents usually are. These rules aren’t there to trip you up; they’re meant to keep you and your scooter safe.
How A Battery Add-On Helps
“The motor insurance policy coverage for two-wheelers, whether petrol or electric, is the same. The policy covers fire, self-ignition, and lightning. However, the policy excludes mechanical or electrical breakdown, including short circuits,” says Hari Radhakrishnan, expert, Insurance Brokers Association of India (IBAI).
If there is a short circuit in the battery that leads to fire and the scooter gets burned, then the cost of the battery that caused the fire is excluded, and the remainder has to be paid. It is not correct to totally not pay such claims.
It may be noted that the battery cost is around 35 to 40 per cent of the total cost of the electric scooter, which leaves the customer substantially out of pocket.
“It is possible to cover the battery also by opting for a battery protect add-on cover for EV. This add-on cover ensures that full protection is available for short circuit or other damage to the battery,” says Radhakrishnan.
What EV Owners Must
EV insurance differs from petrol two-wheeler insurance because of the parts it secures. As both kinds of two-wheelers come with different mechanisms, they need different kinds of protection. “For petrol two-wheelers, insurance may focus on the engine and other mechanical parts, whereas in EVs, the battery, motor, and charger are the primary components to be protected,” says Kaul.
You’ll usually find coverage for things like manufacturer-approved batteries and chargers, and you might also get help with battery replacement or theft. In EV, policyholders should know how to handle electrical faults and need to be aware of things they shouldn't do.
The insured must keep the vehicle documents, warranty, purchase invoice, photos, videos, police reports, repair estimates, and such other evidence of accident or fire to support the claim. “If there is a possibility of claiming under the warranty, that option should be exercised first. If the manufacturer is refusing to entertain a claim under warranty, such refusal should be obtained in writing to support the insurance claim,” says Radhakrishnan.
If something ever happens, snapping a few photos or taking a quick video of the damage can really speed things up with your insurer. A fire brigade report is great to have as official proof, too. Keeping records of your scooter’s service and maintenance shows you’re looking after it, and saving receipts for any accessories means your upgrades are protected. “With all these documents in hand, your claim process will be much smoother and your insurance will be there when you need it,” says Kaul.
