In this article, you will get to know everything about How To Reduce Your Motorbike Insurance Premium. Keep reading this blog for more info.
Use a Reputable Broker
You wouldn’t buy a new £20,000 Rolex watch from a hoodie-clad, knife-toting kid on the street corner (or you could expect it to be real or nothing less than the temperature of hell) and you wouldn’t be able to get away from anyone. Don’t buy insurance. Insurance brokers are good at specialist areas, so a major car broker is not necessarily the best option for your bike or home insurance.
Motorcycle insurance is quite specialist in nature as it is a niche market with only 1.6 million bikes compared to 30+ million cars in the UK. You should do your homework by reading expert press such as Motorcycle News (MCN), Fast Bikes, Bike Magazine, etc., or search online for motorcycle brokers and then select at least two brokers that you prefer. This means you have a good chance of talking to someone who understands your bike and can gain access to plans and rates from underwriters specifically for the motorcycle business.
A word of caution on price comparison sites
There are a lot of price comparison sites that promise to reduce the cost of your insurance policy – Money Supermarket, Go Compare, Confusing, etc. They certainly help in reducing the cost of insurance as most of the major players are fighting for the business. same platform. Where these price comparison sites don’t do so well is actually advising you on the kind of policy that’s best for you or your motorcycle. Would widespread be cheaper and more appropriate than third party fire and theft? The point is that you can’t just ask a price comparison site for any advice, this is where motorcycle specialist brokers have the edge. Compare this to buying a new home, would you buy one without a survey? Maybe and then when it hits the sea you’ll be praying that your insurance will cover it… The point is, you shouldn’t buy insurance without talking to an expert.
Web price vs Phone price
Web prices aren’t always the lowest – and the same is true for price comparison sites. Large brokers operate by using delegated authority and schemes provided by large underwriters. Using general information found online and by price comparison sites allows them to print screen rates, but if you call a broker they may ask further lifestyle questions and this will cost them an insurance policy. Might help to reduce It’s a golden rule – call the broker, don’t go with the online price only. You can’t tell a website that you have a private army of ex-SAS soldiers guarding your motorbike around the clock in a nuclear bunker, but if you tell a broker it can help reduce the risk of theft. (Okay, maybe this one is a little extreme, but it illustrates the point well).
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Play Brokers against each other
By having at least two brokers to compare your needs, you will have a better chance of getting a lower price. A broker’s dream is to know what price his competition has set because then he will decide whether to compete and beat him. You will have the best chance possible by going to two specialist motorcycle insurance brokers for the same client. For a bigger price call the first big broker. Then call the smaller broker who can do the deal. It can lower the price on the phone if the business wants it and you can rest assured that you’ve pushed the envelope. By checking the premiums with a larger broker first, you will give the smaller broker a chance to get the best deal for you, if it can possibly be done – it will reduce your insurance cost and you will enjoy doing it too.
Go to a Good Postcode
No one is getting away from the place. If you live in Beirut the cost of your insurance is likely to be higher than on Wisteria Lane. To put it in British terms, anything within the country is more expensive than the country itself.
Got a garage?
Many people have garages and they fill them up with garbage that they don’t think they can live without and then periodically – every two or three years – they throw the trash out to store the new garbage. To create more space to do what they can’t throw out. It’s a valuable tool in terms of what the purpose of the garage was and what a terrible waste it is in terms of reducing your bike insurance. To be out of sight is far from the mind and away from the opportunistic thief. Better than that, bikes can be carried in a van, so anything that gets them off the road, sidewalk, or driveway is a winner with insurers. It also means that your garage can help you save money, a good idea.
Security Devices
Many motorcycles come with safety as standard and these will be taken into consideration by the brokers and insurers. If you have additional security equipment, you should tell the broker about them when asking for a price for your insurance. Generally, if you have a Thatcham-approved alarm, immobilizer, ground anchor, or lock, you can attract further discounts. Tracker and SmartWater are two more deterrents for thieves. This means that the more secure you make your bike, the less likely it is to be stolen and therefore your insurance will reflect this. The added security will also give you peace of mind.
Mileage and Usage
There is a reason why couriers will pay more for their insurance than casual weekend riders and it is down to use and mileage. If you do 4000 miles a year for the pleasure it will generally cost less than insuring 100,000 miles a year for work. It’s simple math, a low number compared to a high is less likely to cause anything bad, although every day rider’s expertise will also be taken into account. Using your bike as a workhorse will also increase the cost of the policy, although commuting should be encouraged to reduce time on the road and pressure on parking spaces.
No Claim Bonus
As long as it comes to the cost of the policy, you hold an insurance policy without any claims. If you have five years with no claims and everything else being equal, you should pay less for your insurance than someone who has no claims.
Bike Type
Depending on the bike you choose, your insurance will cost more or less. The latest £20,000 Ducati will insure more than the standard Suzuki Bandit. For starters, the Ducati will cost more to fix, repair or replace if it suffers from misfortune. Secondly, because it is sold in small numbers, there are fewer of them and this makes them rarer and therefore more expensive for spare parts, etc. Obviously, there are other benefits to owning a Ducati, but just don’t expect it to be on the bottom. End of the insurance cost scale.
You can generally look at the capacity of any bike and find that the bigger the engine and the higher the price, the higher the cost of insurance. However, with scooters and mopeds, the opposite may be true as this class of bikes has such a high claim rate with no thefts or accidents because they are urban-based, easy to steal, and are ridden by youngsters. Check bike insurance ratings with most new bikes and you’ll have the best idea – the lower the number the better, using the Norwich Union (soon Aviva) scale.
Your Personal Details
If you’re over 25-30 that helps a lot – the theory is that you’ve developed a sense of proportion that you were lacking when you were young and have more road experience, hence the risk of having an accident or doing something stupid. Likely to leave your bike with the engine running while taking a dip in the chippy in the middle of the Brixton estate.
Being married with kids also means you have a good reason to live and therefore will be careful while riding. A good job is a similar indicator, although some occupations should be avoided if possible – motorcycle journalists, for example.
Tells The Truth
Whether it is about any modifications to your bike, claims, or your annual mileage, you should always speak the truth. If you don’t you could be denied in the event of a claim and left high and dry – and if you’re denied insurance because of lying then trouble is set in and costs go up. If you can find someone to cover. It may not reduce your premiums immediately but is the best policy for the long term to keep the cost down and keep the insurance alive.