Cut Your Motorcycle Insurance Costs in Half: 7 Savvy Tips
Saving money on motorcycle insurance premiums is an important goal for many riders. With insurance costs rising, it’s crucial to find ways to keep your premiums affordable without sacrificing necessary coverage.
This guide will provide 10 tips to help you save money on your motorcycle insurance. We’ll cover strategies like shopping around for quotes, taking safety courses, increasing deductibles, picking the right bike, and more. By the end, you’ll have actionable steps to start reducing your premiums while still protecting yourself on the road. Whether you’re insuring your first bike or looking to lower payments on your current policy, you’re sure to find valuable advice here.
Getting quotes from multiple providers is essential to finding the best rate for motorcycle insurance. Don’t just automatically renew your current policy without checking what else is available. You may be able to significantly lower your rates by shopping around and comparing quotes.
Contact at least 3-5 different insurers and have them provide you with quotes for the same coverage. This allows you to see who offers the lowest price. Local agents, national insurers, online insurance companies – cast a wide net and get quotes from different sources.
Make sure the quotes you are comparing have the same coverage limits and deductibles. Comparing quotes apples to apples is important to identifying the best deal. Pay attention to more than just the premium price – also consider the insurer’s reputation, customer service, and claims handling process.
Spending an hour or two shopping your motorcycle policy to different insurers can end up saving you hundreds of dollars per year. Don’t leave savings on the table by sticking with the status quo. Regularly shop around before renewal to ensure your motorcycle insurance rate continues to be competitive.
Bundling your motorcycle insurance policy with other insurance policies you have with the same provider, like home or auto insurance, can help you save money on motorcycle insurance premiums. Many insurance companies offer multi-policy or multi-line discounts, which give a percentage discount off your total premium if you have more than one policy with them.
The discounts for bundling will vary by insurance company, but generally range from 5% to 15% savings for bundling two policies and up to 20% or more for bundling three or more. The more policies you combine together, the larger the discount you can potentially receive.
When getting quotes for motorcycle insurance, make sure to ask each provider about discounts for bundling. Then compare the bundled pricing options to see which gives you the biggest savings overall. Bundling your motorcycle insurance with your existing car insurance is one of the easiest ways to lower your rates.
Some insurers may even allow you to bundle renters or life insurance for additional discounts. If you have home insurance too, you may want to consider getting quotes for bundling all three – auto, motorcycle, and homeowners policies together. That will maximize your savings opportunities. Just keep in mind you’ll need to weigh any potential savings against the quality of coverage offered by each insurer.
Take Safety Course
Completing a motorcycle safety or riding course can help lower your insurance premiums. Most states require new riders to complete a basic rider course before getting a motorcycle license. Even experienced riders can benefit from taking an advanced riding course every few years as a refresher.
Insurers view riders who have formal training as lower risks. By showing you have the proper skills and knowledge to operate your motorcycle safely, you demonstrate responsibility and commitment to reducing accidents. This makes insurers more willing to offer you lower rates. Some insurers even provide discounts of up to 10-15% for completing a certified course.
Look for state-approved courses offered by organizations like the Motorcycle Safety Foundation or Harley-Davidson Riding Academy. Make sure to show proof of course completion to your insurer. Consider taking additional courses over time too, as periodic training helps sharpen skills and the discounts can add up. Investing in proper rider education is one of the smartest ways to save on motorcycle insurance over the long run.
One way to lower your motorcycle insurance premium is to increase your deductible, which is the amount you pay out-of-pocket before insurance covers the remaining cost.
Higher deductibles generally lead to lower premiums. However, you’ll want to consider how much you can realistically afford to pay in the event of a claim before raising your deductible.
If you can handle $500 or $1,000 out-of-pocket instead of $250 or $500, you may be able to reduce your premiums significantly just by increasing your deductible to that amount. But don’t raise it so high that you wouldn’t be able to cover the costs in the case of an accident.
Run the numbers with your insurance agent or use an online tool to estimate how much you’ll save by increasing deductibles. In some cases, it can be hundreds of dollars per year. Just make sure you have savings to draw from if you do need to pay the higher deductible after a claim.
Drop Unnecessary Coverage
Most motorcycle insurance policies include additional coverages beyond liability and comprehensive/collision. While nice to have, these extras increase your premium. Carefully review your policy to see what’s included. Removing extras like roadside assistance, rental reimbursement, and accessory coverage can reduce costs substantially.
For example, roadside assistance runs $20-30 per year on average. But you can get this separately from an auto club or roadside provider for less. And most motorcyclists can handle basic roadside repairs themselves or have a pickup truck they can use.
Rental reimbursement also often costs $30+ per year. However, you can rent a motorcycle if needed for much less per day. And repairs usually take just a few days. So this coverage doesn’t make financial sense for most riders.
Assess each additional coverage to see if it’s worth the premium increase. In most cases, you can save significantly by dropping these extras. But make sure you’re still adequately protected for your situation. Liability, collision, and comprehensive should remain to avoid large out-of-pocket costs.
Maintain Good Credit
Insurance companies often look at your credit score and credit history when determining your premiums. This is because they view a good credit score as an indication that you are financially responsible.
Individuals with poor credit are seen as higher risk and more likely to file claims. This means that keeping your credit score high can help lower your rates. You’ll want to regularly check your credit report and work to correct any errors. Pay all your bills on time and avoid having too much available credit compared to your income.
Reducing your debt burden and not taking on new loans right before getting a quote can also keep your premiums affordable. Maintaining good credit requires diligence, but it’s one of the biggest factors in controlling your motorcycle insurance costs over the long run.
Riding a motorcycle less often or only during certain seasons of the year can help lower your premiums with some insurance companies. Ask your provider if they offer usage-based discounts.
For example, you may be able to get a lower rate if you only ride your bike during warmer months instead of year-round. Some insurers provide discounts for customers who ride fewer than 3,000 or 5,000 miles annually. Keeping mileage low shows you use your motorcycle sparingly and reduces risk.
Consider tracking your mileage if you don’t ride often. This provides proof to the insurance company of your limited usage. Apps like Rever, TripLog, and Mileage Tracker can help log mileage. Or you can manually record odometer readings in a notebook.
When shopping for coverage, inform agents and insurers upfront about your seasonal or low annual usage. Supply documentation if required. This ensures you get quoted appropriate premiums based on actual motorcycle usage.
Riding minimally or seasonally requires discipline. But the insurance savings may motivate you to limit motorcycle trips. Carefully track and report mileage for maximum discounts. With some planning, you can keep premiums affordable while still enjoying rides during favorable weather and seasons.
Pick the Right Bike
The type of motorcycle you ride can have a big impact on insurance rates. Sport bikes, like crotch rockets, usually have much higher insurance premiums than cruisers or standards. This is because insurers view them as riskier to insure.
Sport bikes are built for speed and acceleration. They have high power-to-weight ratios and can reach incredibly fast speeds. Many sport bike riders drive aggressively or dangerously as well. All of these factors mean insurers see sport bikes as more likely to be involved in accidents. Thus, premiums are higher.
Cruisers and standards don’t have the same high performance capabilities. They also tend to attract more mature, safety-conscious riders. For these reasons, insurers charge lower premiums for them.
If possible, purchasing a standard or cruiser rather than a crotch rocket can result in significant savings on your premiums. Even within sport bikes, purchasing a model with a smaller engine can help lower your rates. While you don’t want to sacrifice the bike you really want just for lower insurance, it’s a factor worth considering as you shop for motorcycles. Even a few hundred dollars in savings per year on insurance can make a difference.
Maintain Good Driving Record
A clean driving record with no accidents, claims or traffic violations will help keep your motorcycle insurance premiums low. Insurance companies view drivers with spotless records as less risky to insure, and will reward them with lower rates. On the other hand, having an accident, claim or traffic ticket on your record can increase your rates substantially.
Here are some tips to keep your driving record clean:
- Drive defensively and focus on safety. Avoid distractions and risky maneuvers that could lead to an accident or ticket. Always obey traffic laws.
- Take a defensive driving course. These courses teach skills for avoiding accidents and reducing risk. Completing one can lower your premiums and improve your driving.
- Fight unjust tickets in court. If you receive an unfair traffic citation, contest it in court. Having the ticket dismissed preserves your clean record.
- Maintain proper insurance. Having adequate liability and collision coverage protects you financially if an accident does occur. Properly insuring your bike keeps premiums from spiking due to an uninsured loss.
- Appeal claims decisions if necessary. If your insurer incorrectly rules you at-fault for an accident, push back and provide evidence it was not your fault. Getting a claim overturned will keep it from driving up your premiums.
By driving safely, properly insuring your bike, and contesting unfair tickets and claims, you can protect your clean driving record. This will reward you with the lowest possible motorcycle insurance rates over the long run. A spotless record requires diligence, but pays dividends.