Recent statistics show that more than 2.5 lakh two-wheelers are stolen annually in India. However, most policyholders are unaware that regular insurance only pays for the depreciated amount. RTI cover in bike insurance ensures you are not left footing the bill for a new bike when the old one is lost.
A standard insurance policy may not cover the full financial loss incurred due to theft or total damage when insuring your two-wheeler. That's where RTI coverage under bike insurance comes in. Underestimated by many, RTI or return-to-invoice coverage can be a lifesaver for new bike buyers.
In this article, we'll explain everything you need to know about RTI, what is RTI in bike insurance, the benefits of RTI cover, when is RTI cover applicable, and how to add RTI cover in bike insurance.
What is RTI (Return to Invoice) Cover?
RTI, or Return to Invoice cover, is an add-on feature with comprehensive bike insurance policies. Suppose your two-wheeler is stolen or damaged beyond repair. In that case, the insurance provider reimburses the bike's on-road price, including registration fees and road tax, instead of just the Insured Declared Value (IDV).
Simply put, while regular insurance considers depreciation, RTI cover in bike insurance ensures you get the vehicle's invoice price when you buy two-wheeler insurance.
Key Benefits of RTI Cover
Complete Invoice Value Repayment
The largest benefit of RTI (Return to Invoice) cover is that it provides you with the full on-road price of your two-wheeler in case of complete loss or theft. While standard insurance gives you the depreciated value (IDV), RTI fills the gap between the insured amount and the original invoice amount, along with registration fees and road tax.
Covers Financial Depreciation
Vehicles begin depreciating as soon as they leave the showroom. The value may decline drastically in a year, leading to smaller claim payments. RTI cover offsets this loss and enables you to return the initial purchase price, saving your financial outlay.
Suitable for New or High-End Motorcycles
RTI is especially beneficial if you’ve bought a brand-new or premium bike. For costly bikes, even a small depreciation results in substantial loss. RTI ensures that owners don’t suffer this blow.
Peace of Mind Against Theft and Total Loss
Theft or permanent destruction can be financially and emotionally stressful. With RTI cover, what you paid for the bike will return to you, bringing peace of mind.
Who Should Choose RTI Cover?
RTI cover in bike insurance in India is not for everybody, but some policyholders will benefit significantly. Below is the list of who should opt for RTI cover:
- New bike owners: Perfect for those who have just bought a new two-wheeler.
- Owners of luxury or high-performance bikes: Prevents huge financial loss from high depreciation value.
- Residents of high-risk zones: Ideal for occupants in areas that are most likely to be burgled, flooded, or involved in frequent accidents.
- First-time bike buyers: Provides extra assurance and full financial cover.
- Individuals with financed cars: Guarantees that the insurance payment will cover the amount remaining on the loan in the event of a total loss.
- Anyone seeking maximum protection: Provides complete reimbursement of the bike’s invoice value rather than just the depreciated market value.
When is RTI Cover Applicable?
It is essential to understand the specific scenarios in which it is not applicable in all claims but comes into play in the following critical situations:
Total Loss of the Vehicle
RTI comes into play when your two-wheeler gets irreparably damaged in a serious accident or natural disaster such as a flood, earthquake, or fire. If repair costs exceed the vehicle's Insured Declared Value (IDV), the insurer considers it a total loss. Here, RTI compensates you with the entire invoice price of the vehicle rather than the market value after depreciation.
Theft of the Bike
If your two-wheeler is stolen and cannot be recovered by the police, RTI cover provides monetary compensation. Rather than getting the current market value (considering depreciation), you receive a full reimbursement equivalent to the bike's original invoice price and road tax and registration fees (if covered under your policy).
When the Vehicle is Relatively New
If you're wondering about the return-to-invoice cover for how many years it's valid, most insurers offer it for bikes under 2–3 years of age. It's most helpful in the initial years of vehicle ownership when depreciation is high, and a routine insurance claim would leave the owner with substantial out-of-pocket expenses.
When You Have Comprehensive Insurance
RTI coverage is only available with a comprehensive two-wheeler policy and cannot be added to a third-party policy. Both comprehensive policies and RTI cover protect against unexpected loss or damage risks.
What Does RTI Cover Not Include?
While return-to-invoice (RTI) cover provides a nice cost cushion during occurrences such as the total theft or loss of a two-wheeler, it's also necessary to know its limitations and exclusions.
Awareness of what RTI doesn't cover prevents claim rejection and allows for more effective financial planning.
Partial Damage or Repairs
RTI cover is unavailable if your two-wheeler is partially damaged, such as dents, scratches, or minor mechanical damage. Your normal comprehensive policy will then pay for the repair amount but not the vehicle's invoice value.
Theft of the Bike
If your two-wheeler is stolen and cannot be recovered by the police, RTI cover provides monetary compensation. Rather than getting the current market value (considering depreciation), you receive a full reimbursement equivalent to the bike's original invoice price and road tax and registration fees (if covered under your policy).
Third-Party Insurance Policies
RTI is available only as an add-on with full-fledged insurance. If you have a third-party insurance-only policy, you cannot avail of RTI benefits since third-party policies do not cover damages or loss to your vehicle.
Older Vehicles
If your two-wheeler is past this age limit, you might not be able to buy or renew the RTI cover since the depreciation value is too high.
Loss Due to Illegal Activities
Suppose your vehicle is used for illegal purposes (e.g., driven without a valid license, under the influence of alcohol, or used in illicit activities such as street racing), leading to a total loss or theft. In that case, the RTI cover is null and void. Insurance companies exclude such claims strictly.
Unapproved Accessories
RTI only insures the factory-fitted accessories and items appearing in the initial invoice. All aftermarket accessories or post-purchase modifications will not be accounted for under RTI unless stated and covered as part of the policy when buying.
Depreciated Claims Already Settled
If the claim has already been paid for the vehicle at its depreciated market value, you cannot choose an RTI reimbursement for the same accident later.
RTI vs Other Add-Ons: What’s the Difference?
Many two-wheeler owners confuse Return to Invoice (RTI) with popular add-ons like Zero Depreciation, Engine Protection, or Consumables Cover. Each has a distinct role, and understanding these differences helps you choose the right coverage for your needs.
Here’s a quick comparison:
| Add-On Type | What It Covers | Best For |
|---|---|---|
| RTI Cover | Full invoice value (bike price + taxes + registration) in case of total loss or theft | New or premium bikes, financed vehicles |
| Zero Depreciation | Replaces damaged bike parts without depreciation deductions | Costly repairs for new or slightly used bikes |
| Engine Protection | Covers engine and gearbox damage due to water/oil seepage | Flood-prone areas or during the monsoon season |
| Consumables Cover | Pays for nuts, bolts, lubricants, filters, etc. in repairs | Reducing out-of-pocket expenses during claims |
Why it matters
RTI offers full reimbursement, whereas other add-ons cover repair-related costs. Including the right mix of add-ons ensures comprehensive protection.
How to Add RTI Cover to Your Policy?
Adding a Return to Invoice (RTI) cover to your two-wheeler insurance policy is smart if you want full financial protection in case of total loss or theft. This add-on bridges the gap between the insured declared value (IDV) and the original invoice amount of your vehicle, giving you peace of mind.
Here's how you can include it in your policy:
Opt for a Comprehensive Insurance Policy
RTI coverage is only available as an add-on to a comprehensive insurance plan. If you currently have a third-party policy, you must upgrade to a comprehensive policy to be eligible for RTI.
Check Vehicle Eligibility
Most insurers allow the RTI add-on only for vehicles under 2 to 3 years old. Before opting in, confirm that your two-wheeler falls within the insurer's eligibility window.
Select RTI Cover While Buying or Renewing Insurance
You can add RTI cover:
- During policy purchase :
whether online or through an agent, simply select RTI as an add-on before finalising the premium
- At the time of renewal :
If you didn’t include RTI earlier, you can add it when renewing your policy (if your vehicle is still eligible).
Calculate the Additional Premium
RTI cover comes at a slightly higher premium, typically around 10–15% extra on your base premium. Use an RTI cover in bike insurance calculator available on most insurer websites to estimate the additional premium and compare options.
Review the Terms and Conditions
Before purchasing the add-on:
- Check what is covered (invoice price, registration charges, road tax).
- Understand what is not covered (partial damage, old vehicles, undeclared accessories).
- Verify the validity period and ensure the add-on is renewed along with your base policy.
Complete the Purchase and Documentation
Once you’ve selected the RTI cover and agreed to the premium, purchase the policy. You’ll receive:
- An updated policy document reflecting the RTI add-on.
- A detailed breakdown of premium charges, including the cost of RTI.
Renew RTI Cover Annually
Make sure to renew RTI coverage annually as part of your insurance renewal. Check out the information on how to renew your bike insurance. If your vehicle crosses the eligibility age or you switch to a third-party plan, RTI may no longer be available.
Conclusion
RTI coverage helps you recover the entire on-road price of your bike and gives you peace of mind against unpredictable events like theft or total damage. When combined with a robust, comprehensive policy, RTI serves as a financial safety net, particularly during the initial years of bike ownership.
Check out this bike insurance paper lost guide if you’ve lost your insurance copy. Also, if you're curious whether bike insurance is mandatory for five years, check out our blog post!
Ready to protect your ride from unforeseen losses? Visit Universal Sompo today and find a two-wheeler insurance plan that fits your needs—with the added security of RTI cover.
FAQ
RTI cover can only be added to a bike insurance policy at purchase or renewal.
RTI cover is generally not offered for pre-owned or second-hand bikes as it is designed for new vehicles.
You’ll need your original invoice, FIR copy (in case of theft), registration certificate, and insurance policy copy.
Zero depreciation covers the cost of parts replacement without accounting for depreciation, while RTI refunds the full invoice value of the bike in case of total loss or theft.
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