What Policy Type is Best For Me?
There are two types of motorcycle insurance policy. The most common of these covers the rider specifically, and allows you to ride any motorcycle up to a particular size. The other type of policy insures a certain bike, not a rider. What you shouldn’t hold out much hope for is a decent discount should you avoid accidents, or more specifically for not claiming for them.
The bare minimum now is third party only insurance. Should you hit someone else you can claim on your insurance to recompense any damage to vehicles, property, people that are caused in the accident. The reason its called third party is that you and your insurer are first and second parties – with the other people being party three. After this is third party fire and theft insurance – then there is fully comprehensive insurance. This covers third party, fire and theft insurance plus damage caused to your own bike, and it doesn’t matter if the accident is your fault and there isn’t anyone else involved.
The motorbike insurance market is mainly third party, fire and theft; comprehensive cover is not always financially viable. It can cost almost as much as the bike itself, and for riders under 25 is ridiculously expensive. However, motorcyclists can cut premiums by taking a few simple steps. One is to do an advanced training course. Other ways to cut costs include garaging your bike, and fitting approved alarms/immobilisers. These can mean a 5-15 per cent drop in premiums. Older riders generally pay less, while some insurers offer discounts for women riders, and for certain occupations.
You could cut premiums even further by agreeing not to take pillion passengers, and by limiting your mileage, and increasing your excess. If you are not going to ride abroad, make sure you are not paying for it. Many insurers include 45 days’ continental cover. Similarly, check that breakdown cover is not already included in your car insurance, and if it isn’t, ask yourself whether you really need it.
The best way to bring down your insurance premium is to keep you nose clean and earn some ‘No Claims Bonus’, even if it means a year or two on a lower cc bike. If you look carefully you may find a company who will give you a no claims bonus, and protection for that no claims bonus. Most companies will want you to pay them a small fee in addition to secure the protection. This enables you to still get a discount on your insurance policy even though you might claim. It’s important though that you understand that not many insurance companies actually offer no claims bonuses for motorcycle insurance. Protecting your no-claims bonus, which could slash your premium by up to 65 per cent, is another consideration, especially if you do a lot of miles.
A motorcycle insurance broker can help you to find the right insurance for you. You explain your needs to them, and they should attempt to arrange the lowest cost insurance that fully covers your needs. They help you get a fuller overview of the market, and can save you time too.