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Geared vs non-geared scooter insurance: does it change your cover?
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Introduction
The short answer is not much. Geared motorcycles and non-geared scooters follow the same 2-wheeler insurance framework. The plan types, Own Damage cover, optional covers and claims process are broadly the same.
The main difference is the riding licence required. Your licence must cover the type of 2-wheeler you are riding, and using the wrong licence can affect your Own Damage claim.
This blog explains how geared and non-geared 2-wheelers are treated for insurance, what determines the Third-Party premium, how your licence affects claims, how IDV differs between bikes, and what all 2-wheeler owners should know.
Keep in mind
Geared and non-geared 2-wheelers fall under the same insurance category.
Third-Party premiums are based on the bike's engine capacity (CC), not its gear configuration.
A geared and non-geared bike in the same CC band can have the same Third-Party premium.
An MCWOG licence permits you to ride non-geared 2-wheelers, while an MCWG licence permits both geared and non-geared 2-wheelers.
Own Damage cover and the available optional covers apply to both types of bikes.
IDV depends on the bike's value and age, not whether it has gears.
What geared and non-geared mean in insurance terms
A geared bike has a manual clutch and gear shifter, while a non-geared scooter uses an automatic or semi-automatic transmission. For insurance, both are treated as 2-wheelers. There is no separate insurance category or claims process based on whether the vehicle has gears.
The important distinction is the licence category. Your licence must authorise you to ride the specific type of 2-wheeler involved in an incident.
The licence category, MCWOG vs MCWG, and why it matters for claims
This is where the geared vs non-geared distinction has a real and direct effect on insurance cover.
Under Section 3 of the Motor Vehicles Act, every rider must hold a valid licence for the category of vehicle being ridden. For 2-wheelers, there are 2 relevant licence categories:
MCWOG, Motor Cycle Without Gear
This licence authorises the holder to ride non-geared 2-wheelers only, scooters such as the Honda Activa, TVS Jupiter, Yamaha Fascino, and similar automatic bikes. It does not authorise riding a geared motorcycle.
MCWG, Motor Cycle With Gear
This licence authorises the holder to ride both geared motorcycles and non-geared scooters. A rider with an MCWG licence can ride any conventional 2-wheeler.
If you have an MCWOG licence and are riding a geared motorcycle when an accident occurs, the policy's Own Damage cover can be affected and the insurer may not pay for damage to your bike.
A learner's MCWG licence also has specific supervision requirements. If those requirements are not met, the Own Damage cover can similarly be affected.
Before riding a different two-wheeler, check that your licence category covers it.
How Own Damage cover works the same way for both
The Own Damage component of a comprehensive 2-wheeler policy works identically for geared and non-geared bikes. The covered events are the same:
- Accidents while riding, collision, a fall, a skid
- Theft of the bike
- Fire damage from an electrical fault, fuel leak, or external source
- Natural calamities, floods, cyclones, earthquakes, and lightning
- Man-made events, riot damage, vandalism, and damage during a strike
- Transit damage, if the bike is damaged while being transported
The compulsory deductible of ₹100 also applies to OD claims for both types of two-wheelers.
Your OD premium is linked to the bike's IDV. This means two bikes in the same CC band can have different OD premiums if their values are different.
Exclusions such as riding without a valid licence for the vehicle, driving under the influence, mechanical breakdown and certain other circumstances also apply according to the policy terms.
How the IDV differs between a geared and non-geared bike of the same CC
IDV is the insured value of your bike and the maximum amount payable for a theft or total loss claim, subject to the policy terms. For bikes up to 5 years old, it follows the applicable depreciation schedule. For bikes older than 5 years, the IDV is generally agreed between the insurer and policyholder.
The important point is that IDV is not based on whether a bike has gears. It is influenced by the bike’s price, variant and age. This means two bikes in the same CC band can have the same Third-Party premium but different IDVs and Own Damage premiums.
For example
Take two 125cc two-wheelers:
- Honda Activa 125, a non-geared scooter
- Honda CB Shine 125, a geared motorcycle
Both fall in the 75-150cc Third-Party premium band, so their TP premium is based on the same CC band. However, their IDVs can differ because their purchase prices, variants and depreciation may differ. Their OD premiums can therefore be different as well.
The same principle applies when comparing two bikes with a larger difference in purchase price. A more expensive motorcycle will generally have a higher starting IDV than a lower-priced scooter, even if both are being compared at a similar stage of ownership.
What happens as the bike gets older?
The IDV reduces as depreciation is applied during the first five years. So, the same bike can have a different IDV at each renewal.
For bikes older than five years, the IDV is agreed between the insurer and policyholder. At this stage, it is useful to compare the proposed IDV with the current used-market value of your specific bike before renewing.
What this means for your insurance
A geared bike does not automatically have a higher IDV or premium than a non-geared scooter. The better comparison is between the specific bikes, their purchase prices, variants and ages.
When renewing, check the IDV for your make, model, variant and year rather than assuming that the bike’s gear configuration or CC alone determines its value.
Optional covers, what is available for scooters and geared bikes
The optional covers available for a non-geared scooter and a geared motorcycle are identical. IRDAI does not restrict any optional cover to one type of 2-wheeler.
Optional covers available for both geared and non-geared bikes at Kiwi bike insurance:
Pillion Rider Cover
Extends Personal Accident protection to the pillion rider for death or permanent disability, the compulsory PA cover of ₹15 lakhs for the owner-rider does not cover the pillion under the standard plan
₹15 lakhsHelmet Cover
Covers damage to or loss of your helmet up to a specified limit, equally relevant for both scooter and motorcycle riders
Rider Gear Cover
Covers riding gloves, jacket, and boots, more commonly used by geared motorcycle riders who invest more heavily in protective gear, but available for scooter riders too
Emergency Medical Expenses OPD
Covers out-of-pocket medical costs after a bike accident without hospitalisation, relevant for both
Return to Invoice
If the bike is stolen or damaged beyond repair, pays the full on-road price including registration and road tax rather than the depreciated IDV, available for both geared and non-geared bikes
The following optional covers are not available for any 2-wheeler: Key Secure and Tyre Secure.
Check your policy document to confirm which optional covers are active on your specific plan before raising a claim that depends on them.
What Kiwi Insurance does differently
Whether you ride a Honda Activa or a Bajaj Pulsar, what matters when you make a claim is knowing what your policy covers and what to do next. Only with Kiwi Insurance, a dedicated Claims Specialist to guide you through this process.
One point of contact
Once you register your claim, a dedicated Claims Specialist is assigned to you. They explain the process and required documents in simple terms, from claim registration to completion.
Support throughout the claim
Your Claims Specialist remains available through the Kiwi app, so you have one person to contact instead of explaining your situation to different people every time.
Clear explanation of your cover
The specialist helps you understand whether your claim falls under Own Damage, Third-Party or an applicable optional cover, and explains the next steps.
Conclusion
Geared and non-geared two-wheelers follow the same insurance framework. Your CC determines the Third-Party premium, while the bike's value and age influence its IDV and Own Damage premium.
The main difference to keep in mind is your riding licence. An MCWOG licence does not authorise you to ride a geared motorcycle, which can affect an Own Damage claim. Whether you ride an Activa, a commuter bike or a larger motorcycle, choose your cover based on your bike's value, usage and the risks you actually face.
Riding a scooter or a geared bike and want to make sure the cover is right?
Head to Kiwi Insurance to explore your bike insurance options and get the cover your 2-wheeler actually needs.
Frequently asked questions
No. Geared and non-geared two-wheelers follow the same insurance framework. The Third-Party premium is based on the bike’s CC, not whether it has gears. You can confirm this in your policy document or premium details.