Motorcycle Insurance, in simpler terms, is a security policy for your motorcycle or bike. It is a blueprint of the various options of reimbursements available to the owner in case of any accidents, natural calamities, theft, etc.
Further, it is a mutual agreement between you and the insurance company which explains how in any situation of damage, the company will financially assist you to cover the loss of your vehicle.
Apart from covering your own loss, motorcycle insurance companies aid to assist you in covering the expenses of the third party.
Therefore, it is important to consider a plethora of options to find the best motorcycle insurance for you.
Basic Components Of Motorcycle Insurance
Many of the best motorcycle insurance companies offer a wide range of options in terms of coverage. However, all of them are categorized into 5 basic categories. They are:
The first category explains how motorcycle insurance companies provide assistance when the rider causes the accident. For example, if a rider damages someone else’s property or vehicle, a motorcycle insurance company does provide coverage for that.
2. Personal Injury Protection
The next category explains how insurance companies provide financial help when the rider is the victim. It aids in covering the cost for doctor appointments, medications, etc. In simpler terms, it provides assistance for the treatment of the rider.
3. Comprehensive Insurance
Next up on the list is comprehensive insurance. As a major portion of damages is due to accidents, they are also due to natural disasters such as floods, earthquakes, etc. Therefore, most insurance companies do give help to their customers when their motorcycle or bike is damaged due to theft, fire, or any other natural disaster.
4. Collision Insurance
Further, motorcycle insurance companies cover the rider’s bike damage due to a collision attack irrespective of the source and the fault. They help to recover the damages in terms of parts, accessories, a biker himself, etc.
5. Uninsured Coverage
Finally, many insurance organizations offer policies that claim to cover the costs of the damage even in an accident caused by an uninsured biker.
Thus, having a motorcycle insurance policy is essential to enjoy the maximum of your vehicle and the journey itself.
Benefits Of A Motorcycle Insurance
Purchasing a two-wheeler is an exciting task. However, with it comes responsibilities, which are essential to having a safe and happy ride. Thus, finding the best motorcycle insurance companies is very important for your pleasant ride. Here are a few advantages of having a motorcycle insurance policy.
1. Easing Financial Burden
The first point is that an insurance policy relaxes the financial distress caused to the rider. It helps them to cover a maximum bandwidth of expenses in case of any fatal accident or natural calamity. Through insurance companies, the rider is allowed to recover from the after-effects of the accident and let the company take care of the financial and legal matters. This, in turn, reduces the burden on the rider.
2. Flexible And Affordable Policies
Many motorcycle insurance companies offer flexible and reasonable schemes that are within the interest of both parties. Therefore, this ensures the maximum benefit for the rider.
3. Protection Adjacent Liability
Motorcycle insurance companies offer protection even to the victims of an accident. They help the victim to cope with the damage caused to their vehicles, property, etc., due to the carelessness of other motorists.
Repercussions Of Not Having a Motorcycle Insurance
Like every coin has two sides, not having motorcycle insurance does tend to have its disadvantages.
1. Penalties And Fines
In many parts of the United States as well as other countries, not having motorcycle insurance does tend to have its fines and penalties. Depending upon the case, punishments may be in the form of imprisonment, heavy fines, and, in most severe cases, seizing the license of the rider.
2. Huge Financial Expenditure
Bikers and motorcyclists who don’t have motorcycle insurance have to face a fairly large financial burden in an accident. This is because the parts and the overall repair of the vehicle do cost a lot,especially if the bike is a vintage or an expensive one. Thus, this can lead to an inconvenience to the biker.
3. Third-Party Liability
One of the major disadvantages of not having a motorcycle insurance policy is that apart from paying for the biker’s own damage, they have to pay the damage of the third party as well. This can lead to a huge burden for the biker as well.
Factors That Determine The Cost Of Motorcycle Insurance
There are certain factors that affect the overall cost of motorcycle insurance. The primary factors are listed below.
1. Type Of Bike
The overall cost of your motorcycle insurance is dependent upon the style and type of bike. For example, if the bike is a branded one, then the cost of the insurance and the premium on the motorcycle is slightly higher as compared to the standardized bikes.
2. Driving History
Many insurance companies offer plus points to their customers who maintain a good driving history. A good rider can enjoy more perks as compared to the harsh ones.
3. Credit Score
A biker’s credit score does play an important role in determining the risk and advantages of motorcycle insurance policies. For example, if a biker has a low credit score, it reflects as a high risk, thus having an indirect impact on the premium of the policy.
4. Motorcycle Organisations
Being a part of a biking agency or motorcycle association does have its perks in terms of a motorcycle insurance policy. It adds bonus points to reducing the premium rate of your motorcycle insurance.
Gender does play a crucial role in determining the overall cost of a motorcycle insurance policy. In the world of insurance, young boys tend to have a higher rate than girls.
Factors To Decide The Best Motorcycle Insurance For You
In order to claim the best insurance for motorcycles, it is important to critically analyze several factors before the actual claim of the insurance policy.
1. Types Of Indemnity
Motorcycle insurance depends upon the type of policy offered by insurance companies. In bike insurance, there are mainly two types of coverage, i.e., Third- Party and Comprehensive Insurance policies.
a. Third-Party Insurance
In this type of motorcycle insurance, any loss and damage caused to any third party member by your vehicle are covered. These are listed in the terms and conditions of your insurance policy.
The advantage of this is that the legal aspect is covered. Thus, in case of any disputes or discrepancies, this insurance policy will help you to address them. Thus, it is crucial to thoroughly read and comprehend the rules and regulations, to find the best motorcycle insurance policy for you.
b. Comprehensive Bike Insurance
This type of motorcycle insurance policy is an amalgamation of both third-party bike policies as well as your own. In simpler terms, a comprehensive bike insurance policy enables your bike to be covered, alongside any damage occurred to the third party members. This can pertain to their home, vehicle or themselves.
2. Bike Features
Insurance policies are often dependent on the type and characteristics of your vehicle. Many insurance companies operate on a concept called Premiums. In simple terms, a premium is an interest paid to the insurer for covering your damages ad risks.
Thus, bike features and premiums are directly proportional to each other. For example, if your bike has a larger engine capacity, the higher the premium. Thus, it is important to understand the scalability of your bike, in order to decide the best rate of premium for you and the insurance company.
3. Price Of Your Motorcycle
Another crucial aspect of finding the best motorcycle insurance policy for you is the actual cost of your bike. The price of the bike and the rate of the premium go hand-in-hand. Therefore, it is important to note that the brand value for your bike plays a vital role in your bike insurance policy.
4. Modifications Of Your Bike
In order to improve the aesthetics and style of motorcycles, many riders often modify and customize their bikes according to their liking. Thus, it is important to remember that any damage incurred to these parts will add to the overall cost of the insurance policy.
5. Way Of Riding
In a motorcycle insurance policy, the way of riding the biker is an essential element to decide what benefits and premium rates they will receive. For example, if the biker rides carefully and consciously, then they have a better chance to receive higher advantages as compared to the harsh drivers.
Best Players In The Insurance Policy Market
Here are the best motorcycles insurance companies to be considered for your next scheme.
1. Markel Insurance
First up on the list is the Market Insurance Company. This is renowned for its wide variety of coverage options for the insured. Further, this company provides various discounts depending upon the biker’s requirements. Also, as the features of a motorcycle play a vital role in deciding the nature of the motorcycle insurance policy, Markel Insurance is a great choice for all types of bikes.
Further, Markel Insurance has had a good brand impression on consumers. The brand impression is essential for any product for a consumer as it increases their trust and reputation. Thus, this company is a reliable insurance company and is definitely worth a glance.
In addition to the above, Markel Insurance company offers something for everyone. In simpler terms, it provides benefits to both the parties i.e insurer and insured. Apart from the normal guidelines under the insurance scheme, Markel Insurance does offer certain perks to its customers. A classic example of this is that they offer financial assistance for the regular wear and tear of the bike. Further, the cost of the insurance schemes provided by Markel Insurance is user-friendly and affordable for all bikers.
Therefore, Markel Insurance is a good choice for those who are on the lookout for affordable, consumer-friendly, and reputed best motorcycle insurance companies.
As a motorcycle rider, it is essential to consider that insurance policy that offers maximum benefits to its users, at a fairly affordable price. Thus, if you are looking for a cheap motorcycle insurance policy, then Safeco is your next best bet.
Safeco Insurance Company provides its users with a plethora of discount options, which are beneficial for both the insurer as well as the insured. For those who are new into the market of insurance policies, Safeco is a good place to start.
Further, there is a brand value to the Safeco Insurance Company. This increases customer satisfaction and creates a sense of brand loyalty. Safeco is the sub-branch of a much larger company called Liberty Mutual. Thus, this one factor is enough to widen the target audience.
In addition to that, Safeco stands out from other motorcycle insurance companies, as it offers slight perks for the insured. A fine example of this is pet reimbursement in case of any accident or natural disaster.
Safeco provides a flexible and lenient coverage plan for its customers. It not only includes the projection of the individual itself, but also any medical expenses for the individual as well as other passengers on the damaged bike.
Another great feature of Safeco Insurance is its online system. In today’s tech world, people are able to file and collect their claims through the company’s online portal. Furthermore, Safeco Insurance is known for its relationships with its customers. Unlike other Insurance companies, Safeco connects with each and every customer and has an extensive reach through agents. Thus, with the above factors, Safeco is undoubtedly the best motorcycle insurance company for new riders.
3. Allstate Insurance
Another great motorcycle insurance company is Allstate Insurance. This is the perfect choice for young drivers, as it offers basic requirements to start with. Further, as young drivers, Allstate Insurance helps them to cope and enjoy the art of bike-riding in a safe and secure way.
Allstate is a prominent and well-established company in many parts of the United States. Due to this, it does have a brand image created for many citizens.
Further, as young drivers step into the world of bikes and motorcycles, Allstate’s unique selling point is that apart from providing insurance, it instills the knowledge of safety into the youth drivers. It provides them access to specialized training programs wherein they can learn about the protocols in case of any emergency.
In addition to that, Allstate is known for its diverse coverage options such as individual protection, medical expenditure, property damage, etc. Further, it offers various discount options. Two of the fine examples include a good biker discount as well as being part of an authentic motorcycle association discount. These discounts benefit the insured as they provide cuts on the premium rate.
Therefore, Allstate is considered to be one of the best motorcycle insurance schemes, as it has something for everyone, and provides a clear and direct claim to its customers.
4. Farmers Insurance
Farmers Insurance is one of America’s renowned and well-established insurance companies. It has a diverse range of policies regarding businesses, housing and accommodation, and most importantly, vehicles. Amongst the well-reputed policies, Farmers Insurance is also known for its motorcycle insurance.
As we know, the style and design of your bike is a crucial factor when deciding the benefits acquired, Farmers Insurance is one of the best motorcycle insurance companies in terms of appealing to the classic and designer bikes. It offers a variety of policy clusters for everyone.
The best part of the Farmers Insurance motorcycle schemes is that it has agents in all 50 states of the United States of America. This proves that no matter where you are, Farmers Insurance is always by your side.
Farmers Insurance is an ideal choice for any rider, as it provides numerous discounts and claim options for them. However, in order to attain the true benefits of the policy, a rider must critically analyze and negotiate all the available options to find the perfect deal for both the insurer and the insured.
5. Progressive Insurance
In the United States of America, Progressive is another best motorcycle insurance company. It offers broad coverage for its customers. Some of them include complete reimbursement on parts that have decreased in terms of their value.
If you are an owner of an antique model of a motorcycle, Progressive may be a suitable choice for you in terms of the best motorcycle insurance. This is because its main motive is to focus on the classic and vintage models of bikes and motorcycles.
Furthermore, Progressive Insurance offers a loyalty program for its customers. Through this, they are able to attain discounts and many more benefits. Therefore, Progressive Insurance is an ideal option for a motorcycle collector.
6. Harley- Davidson Insurance
Harley- Davidson is a renowned brand for its bikes and motorcycles. Further, today, it is known for its insurance policies for its consumers. As a well-established brand, it offers a grand variety of coverage options for its customers. Further, the plus point of having this insurance is that a majority of its coverage policies do include maintenance costs as well as warranty preferences.
In addition to that, Harley Davidson offers a great accident forgiveness policy to its clients. With a broad target market, Harley Davidson provides excellent features and extra perks for its clientele. Therefore, this policy is the best motorcycle insurance policy for young riders and bike enthusiasts.
7. USAA: Military Motorcycle Insurance
USAA is another classic example of ofthe best motorcycle insurance companies. It is known for its brand image and loyalty to its customer base across the spectrum. As a motorcycle insurance company, it is essential to maintain customer relationships for the growth and betterment of the company. Thus, USAA is a fine example of that.
As the leading motorcycle insurance company, USAA provides affordable yet unique policies to its consumers. Further, it extends its insurance schemes for all types of bikes, no matter whether they are sport bikes or scooters. It covers it all.
In addition to that, the major target market for this is military personnel. This is because of its cheap rates and attractive perks. Some of them include family discount plans, providing educational training on the safety and security of bike riding, etc.
Therefore, this company provides its customers with easy-going policies that are beneficial for both parties.
Best Motorcycle Insurance – Conclusion
From the above, it can be understood that motorcycle insurance policies are crucial for a biker’s long and safe survival. There are different types of policies in the vast world of insurance policies.
Thus, choosing the best motorcycle insurance policy is a tough and time-consuming job for many users. An easier tool is to make use of the SWOT analysis, as it helps you to narrow down your options.
A SWOT Analysis helps you to understand a policy’s strengths, weaknesses, opportunities, and threats. Strengths can be in the form of advantages or benefits of the policy. Further, weaknesses are related to the disadvantages of the policy.
Lastly, opportunities and threats cover information regarding any potential risks which may impact the overall policy.
Therefore, through the analysis, it makes it easier for you to decide which policy has the maximum benefits for you. However, it must be noted that the price does play a vital role in the determination of the insurance policy scheme.
In addition to that, it is also important to get quotes from well-known players in the insurance industry and evaluate them to find the best motorcycle insurance policy for you. Another great way is to speak to financial agents and your vehicle company for further guidance and suggestions regarding the best policy. This way, you and the insurance company procure the maximum benefits.
Furthermore, motorcycle insurance policies depend upon a plethora of factors. Thus, if interested in a policy, the above-mentioned factors should be considered before making a decision.
In short, deciding the best motorcycle insurance companies for you requires an ideal amount of communication and negotiation skills to find the right fit for you.