Posts Tagged motorcycle insurance coverage
Tips on Lowering the Premium Rates of Motorcycle Insurance Coverage
Most states require people to have motorcycle insurance coverage that will help them pay for any damages and injuries they sustain after a crash. This coverage will also help at-fault motorcycle riders to pay for the repair and hospital bills of their victims.
Meanwhile, many people think that motorcycle insurance is just another unnecessary expense. But contrary to this belief, such coverage may even lessen their expenses in the event of an accident, whether they are the at-fault driver or the victim.
FACTORS THAT AFFECT PREMIUM RATES
Insurance providers based the premium rates on several factors that will determine if a person is a high risk rider or not.
- Age. Insurance companies require higher premium rates for younger people who are more prone to crashes compared to middle-aged bikers. Experts attributed this disparity with the tendency of young people to underestimate a dangerous condition.
- The type of motorbike. The more expensive the bike is, the higher its premium rate. So for those who want to lower their premiums, it is better to stick with ordinary motor bicycles.
- Driving record. This record will show if a person is a high risk policyholder or not. According to insurance lawyers, tainted driving records will result to higher premium rates.
- The policyholder’s job. A person’s premium rates will be influenced by his job. For example, an office clerk will have lower premiums compared to a messenger who always need to travel from different places.
- The policyholder’s location. Insurance companies require higher rates for people who are living in areas with a high crime and accident rate.
LOWERING PREMUIM RATES
By knowing these basic factors used by insurance companies in computing the premium rates, it will be easier to adopt strategies that will lower the cost of insurance.
Meanwhile, here are some of the basic tips to reduce the premium rates:
- Shop around. People should call as many companies as possible and decide on which of these provide the best deal. According to Los Angeles lawyers, the most common mistake of people is assuming that their existing insurance providers for their properties, cars, and business establishments will also offer better deals.
- Do not over insure. Another wrong notion about insurance is that people can over insure their bikes thinking that they can receive higher claims in case of an accident. According to lawyers, people will only receive claims that will cover the exact amount of damages.
- Take special training. Taking safety motorcycle training can drastically decrease a person’s insurance rate. However, policyholders should keep their certifications to show these to the insurance companies.
- Secure the bike. Premium rates are lower for motorcycles with alarm and anti-theft system and if these are parked in a safe place (ideally in the policyholder’s garage).
- Travel less. The fewer miles traveled, the less likely a person will encounter accidents. With this, insurance companies demand lower premium rates for people who travel less.
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Which Motorcycle Insurance Coverage You Need and Which You Probably Don’t
With all the different types of motorcycle insurance out there, it can be hard to decide exactly what you need. It can get very expensive. However, in some situations you can probably skip certain types of coverage and save a lot of money on your insurance.
One of the most expensive parts of most motorcycle insurance policies is the comprehensive and collision coverage. However, if you are paying for the bike yourself and not financing it, you can probably forgo this type of coverage if you get an inexpensive bike. Find out what the savings would be compared to the price of the bike and it might just be worth it to go without this coverage.
Many people already have health coverage through their workplace. If this is the case with you, you probably don’t need to get the Med Pay coverage offered by motorcycle insurance companies. Your regular health insurance will cover any injuries you get while riding your motorcycle.
If you never carry passengers, you can also do without guest passenger coverage. This type of coverage is for anyone else that you carry on your bike, so as long as you are willing to commit to not carrying anyone else you don’t need this coverage unless it is mandated by the state where you live.
The categories of motorcycle insurance that are mentioned above can sometimes be left off of your policy. However, there are some types of insurance that are important to include. Many motorcycle riders frequently do not purchase enough coverage in the areas of medical liability and uninsured motorist insurance. You should get at least $100,000 of coverage, just like you would with your car because you will have the same liability as if you were driving a car.
You can lower the cost of your motorcycle insurance premiums in other ways besides eliminating certain types of coverage. Paying your bills on time will get you lower insurance rates, as will joining certain organizations, taking a motorcycle safety course, purchasing multiple types of insurance with the same company, storing your bike in a locked garage, and adding security devices to your motorcycle.
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Motorcycle Insurance – A Must Have Insurance Policy
It is hard to argue against the fact that any kind of insurance is not the most enjoyable expense we face every month. This is even truer when it comes to motorcycle insurance. With that said, it is imperative that you carry it on any motorcycle you own.
The statistics on bike accidents tell the truth. A serious injury occurs every 14 seconds in the U.S. as a result of a motorcycle accident. Add that up for a full day and you can see how frequent they happen.
Another strong reason for having insurance coverage is simply due to the theft risk. Insurance statistics show that 1 out of every 4 motorcycles that are stolen are ever found. Theft is much more easy of a bike than a car or other motor vehicle.
Next, there is another major reason for having an insurance policy on your bike…it is required by law in most all states. You must have liability coverage to protect others in the case you are at fault in any accident and there are injuries or property damage.
To save money on premiums there are some things you can do. First, shop around. Get some online rate quotes from several insurers. It takes very little time and hassle, not to mention that it may save you hundreds of dollars a year in premiums.
Ask about discounts. You may be entitled to discounts for having both your vehicles and motorcycle insured with the same company. In addition, you may qualify for safe driver discounts and more.
These are just three of the many factors that make having motorcycle insurance coverage a must have.
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The Do’s and Dont’s of Motorcycle Insurance
What is Motorcycle Insurance?
What is a fair price and how much is enough Motorcycle Insurance coverage for you?
A premium of $200 for insuring a small or mid size sport-type motorcycle can easily balloon to more than $1,000 for a high-horsepower, canyon-racer sport bike.
Motorcycle Insurance is legally required as well as offering financial protection, the proper levels of insurance will ensure that your motorcycle gets repaired in the case of a mishap. It will offers you medical protection and coverage in case of a crash. Getting insurance for a bike is not as bad as you think. Most people think that insurance applications are rigorous whole-day things which require you to spend a lot of time and money. But that is just a misconception. There are a couple of types of insurance available in the typical motorcycle policy. Motorcycle insurance cost like any other insurance cost is largely determined by the risks exposure.
Comprehensive coverage.
The foundation of any insurance policy protects the motorcycle from any damage that didn’t happen from an accident. Comprehensive motorcycle coverage will covers everything from damages caused by theft, fire, vandalism ext. Motorcycle Insurance is designed to pay for the repair or replacement of the policy owner’s motorcycle in the event of damage not resulting from an accident. Comprehensive coverage usually requires the payment of a deductible when a claim is made and may be required to secure a new car loan.
Bodily Injury Liability Insurance.
Bodily injury liability is another type of coverage that you are required by law to carry in most states. Legal minimum in many states is as little as $10,000 per person, per accident. Your coverage pays for injury to others when the accident is your fault.
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