So you have caught the bug and have decided to buy your very own motorcycle and learn how to ride. While motorcycle riding can be a fun recreational activity, you always want to be sure you remain safe at all times. You also want to be sure your investment is protected in the unlikely event that you have an accident. This means shopping around and purchasing motorcycle insurance to protect your new ride.
At first glance, it may seem like motorcycle insurance functions just like protection for a car. However, while the two types of policies are very similar, there are a few differences that you should be aware of before you buy the first policy that you find.
1. Size matters
I’m sorry to be the one to break this to you, but the bigger the bike, the more you will pay. Insurance is, at the end of the day, a game of numbers and the more cc’s your bike has (meaning the larger the engine), the more you will pay for insurance. Why should it matter? Insurance companies assess risk as a part of their determination of how much you should pay. The more cc’s your motorcycle has, the more raw power you have at your fingertips. This means that you will be able to go faster much more quickly and for much longer, increasing your risk for some high-speed collisions.
When you are shopping for a new motorcycle, you need to keep in mind that your insurance rates will greatly depend upon the size of your bike. If this is your first bike, you probably shouldn’t buy the biggest bike available anyway, as you won’t have the riding experience necessary to handle it safely. Even if it isn’t, you have to be sure you can afford to insure the motorcycle if you ever want to ride it down the road. So before you buy, double-check with your insurance company to be sure you can afford not only to buy the bike, but also the insurance payments.
2. Increase your deductible
One of the easiest ways you can save money on your motorcycle insurance premiums is with the deductible. While it is true that if you raise the deductible you will be out more money in the event that something does happen, you can potentially save that much money and then some on your motorcycle insurance by raising it. Many experts suggest instead of the standard $500 deductible that comes with many policies, you raise the deductible to $1,000. That is double the money out of your pocket in case of an accident, but it could drastically reduce your monthly premiums on your insurance.
In this scenario you are betting that you won’t have an accident on your motorcycle. However, you need to prepare for the worst. If you do decide to increase your deductible to lower those monthly premiums, consider putting the difference in the premiums away in a savings account to increase your emergency fund so you are sure you have the money you need if something does happen while you are out on the road.
3. Get trained and certified
If you are looking to save a little money on your motorcycle insurance, you should consider taking a motorcycle safety class. These classes are relatively inexpensive and only take a weekend or two of your time. During the course, you will learn everything you will need to know about riding safety and will spend a great deal of time on a bike learning how to properly operate and control it in a wide variety of scenarios.
When you leave the course, you will receive a certificate that you can then show to both the local DMV when you get your motorcycle license and to your insurance company. Most insurance companies offer a discount to riders who take the time to take these courses as they assume you are better equipped to handle the dangers of the road compared to other new riders. A motorcycle safety class is a good idea for any new rider, but it is a must for anyone looking to save a little bit of money on their motorcycle insurance.
4. Consider club discounts
Did you know that you could save money on your insurance simply by joining a motorcycle club? No, I’m not talking about the Hell’s Angels. There are many legitimate riding clubs out there such as the Harley Owners Group and the Honda Riders Club of America that can help you find discounts on your motorcycle insurance and, of course, introduce you to the world of riding at the same time.
By joining one of these clubs, you can be put in touch with other riders in your area so you can find people to ride with whenever you want to take your new hog out for a spin. But one of the biggest bonuses of these clubs is the money you can save on your insurance. Before signing up for one of the clubs, you should check with your insurance provider to be sure they offer a discount for the club you are considering joining. The discounts often vary but it could be somewhere in the neighborhood of 10% on part of your insurance.
5. Bundle your insurance
In most cases, your insurance carrier that covers your vehicles, home, or other sports recreation vehicles will also offer motorcycle insurance. Often these insurance companies will offer bundle discounts on insurance if you purchase multiple policies from them. While this doesn’t mean you shouldn’t shop around, you could see significant savings on your motorcycle or even your home insurance if you bundle an extra policy into your existing coverage.
If you happen to already have your policies split up among multiple insurance companies, check with all of them to see where you can get a better rate. While you are shopping for motorcycle insurance, it might also be a good time to check the prices on your other policies as well. Who knows, you could end up saving quite a bit of money on more than just one policy simply because you need to sign up for motorcycle insurance.