Do you prefer two wheels to four? Compare motorcycle insurance to stay safe on the roads
There’s nothing like the feeling of riding a motorcycle, and the joy of seeing a good empty road stretched out in front of you. But behind this there are always risks and dangers ... the edge. Only the people who have gone over it at some point really know where it is.
While this danger is part of a motorbike's allure, it is also why you should have good motorcycle insurance in place before hitting the road. Compare motorbike insurance policies, or read on for tips on finding the right policy, and what you need to know before buying.
Comprehensive motorcycle insurance. This type of policy offers the broadest level of motorbike insurance cover available. It allows you to claim for a wide variety of incidents involving including:
Motorbike third party fire and theft insurance. Third party motorcycle fire and theft (TPD F&T) insurance is less thorough than comprehensive, but has more protection than third party alone. It offers:
- Third party liability coverage in event that you damage someone else’s vehicle or property while driving
- Fire cover to pay out if your motorcycle is damaged or destroyed by fire
- Theft cover in the event of your motorbike being stolen
Motorcycle third party property damage insurance. Third party property damage (TPPD) motorbike insurance is the cheapest and most basic form of cover available. It covers:
- Third party liability for damage to other vehicles and property while driving
- It does not cover anything else
Specialist Motorcycle Insurance Policies. You can also find tailored policies for niche areas, such as moped insurance or vintage and classic motorcycle insurance. These usually resemble comprehensive insurance, but may also be TPPD or TPPD F&T motorcycle insurance policies with additional options.Back to top
You should be looking into third party property damage as a minimum level of cover. When looking at comprehensive motorcycle insurance you will also need to decide on optional extras which may include:Back to top
Doing a motorbike insurance comparison is easier than ever. Simply check different products online and then compare motorcycle and scooter insurance quotes. Before you start, you just need the following:Back to top
- How does my bike affect my costs? Newer, more expensive and more powerful bikes cost more to insure than older, cheaper and less powerful models. Consider how much your bike will cost to insure before you lay down your hard earned cash to buy your motorcycle insurance.
- Can my driving history help me pay less? Yes. The longer you have a policy without making a claim, the greater the no claim discount you will receive from your motorcycle insurance provider.
- I'm under 25, is there any way I can pay less? Not really. Riders under the age of 25 are much more costly than older drivers. So, if you're over 25 you may wish to consider whether it’s worth adding an under 25 rider to your motorcycle insurance policy. Specifying that no one under 25 will be riding your bike might save you a lot of money.
- How do the modifications on my bike affect my premiums? In some cases, modifications to your bike can help you save on premiums, such as if you add a security system to deter thieves. However, if your bike undergoes performance enhancements to make it faster or more powerful, you can expect your premiums to go up.
- If I ride less can I pay less? You can save money by finding motorcycle insurance that allows you to only pay for cover for the kilometres you ride. Make sure not to over or underestimate your annual mileage when purchasing cover.
- I keep my bike in a garage, does that help? Keeping your bike in a secure, locked garage (or car hold) whenever it isn’t being ridden it will lower your premiums. If your bike is left parked on the street you can expect to pay more for your motorcycle insurance.
- What if I choose the higher excess option? Motorbike insurers allow you to do this in return for paying a lower premium as you pose less of a risk to them.
- Can I choose a lower level of cover? If comprehensive motorcycle insurance doesn’t offer value for money for your bike, consider choosing a lower and more affordable level of cover.
Luke and his Light Blue SabreLuke bought his light blue Honda Sabre when he was 17 and the bike was already older than he was. While he loved his bike it's value was dwindling, so Luke chose not to take out any bike insurance on top of his CTP. This decision would come back to haunt him. A few months down the track, he hit a brand new BMW, which needed $35,000 worth of repairs. Because Luke was had not taken out TPPD, he had to get a personal loan to pay off the repairs.
There are some circumstances where you may have difficulty deciding whether or not to lodge a claim. For example, if the damage to your bike is quite minor, you may be able to get the bike repaired yourself for cheaper than it would cost to pay the policy excess that comes with lodging a claim.. Also remember that making a claim will cause you to lose any ‘no claims’ discount, and also lead to an increase in the cost of your motorcycle insurance premiums. You’ll need to weigh up all the pros and cons of claiming before you decide on the right course of action.
Quick tips for what to do after an accident
- Make sure everyone is okay and contact the relevant authorities
- Record relevant information including date, location and time of the accident
- Record the other driver’s information including contact details, driver licence, insurance details, name, rego, and the vehicle's make and model
- Record contact details and names of any witnesses
- Create a rough diagram of the vehicle involved and the damage
- Write down the details of the incident while they are still fresh in your mind
- Contact your insurer
What do I need to make sure my claim is successful?
Do I need to report the incident to the police?
Not all accidents have to be reported to the police, but some do. You should report incidents to the police when:
- A person is either injured or killed
- If a driver involved in the incident refused to give their details
- One of the vehicles requires towing.
Do I need exchange details with other drivers?
If you're involved in an accident, details to collect include:
- The driver's address, licence details and name
- The driver's number
- Registration details
- The cars colour, make and model
- Who the car is insured with
If the other driver will not exchange details, take note of their rego and call the police.
What kind of evidence do I need?
Evidence that will help your claim include:
How do I go about getting quotes?
After the accident, you'll want to know what the cost is going to be for your repairs. It is pretty common for people to get at least two or three quotes so they have a fair idea of the market. A quote should include:
Is it time to call my insurer?
Yes. You should contact your insurer as soon as possible. You should provide them with the information you have gathered in the previous steps (minus the quote information).Back to top
Moped insurance and scooter insurance are widely available. Motorbike insurance premiums are determined by the vehicle’s engine capacity, so as less powerful vehicles mopeds and motor scooters enjoy lower insurance premiums than higher end machines.
Is your scooter or moped less than 225cc?
Mopeds typically have a very low engine capacity, and are almost always less than 225cc, while most but not all scooters are.
225cc and under is the lightest class of motorcycles, and simply falling into this category as a moped or scooter will lower your insurance premiums with standard motorcycle insurance. Compare scooter insurance policies by knowing what kind of engine it has.
The pillion is a motorcycle’s passenger seat. Once upon a time, motorcycle insurance for pillion passengers used to be included as standard on all motorbike insurance policies, but not anymore. Times have changed, so you must check the fine print of your policy to see how passengers are protected. In fact, if you choose not to get pillion cover but are involved in an incident while carrying a passenger, you could risk voiding your policy altogether. The vast majority of insurers will offer pillion cover as an extra on their motorcycle insurance policies, with the price you’ll have to pay typically being influenced by factors such as your age, riding experience and the type of bike you own.Back to top
All of these factors are relevant if you want to compare motorbike insurance quotes.
- What is your claims history like? If you’ve made a claim on your motorcycle insurance in the past, insurers will classify you as posing an increased likelihood of making a future claim. This will drive your premiums up. On the flip-side, a no claims bonus can help lower the cost of cover significantly.
- Who rides your bike? If you’re an experienced rider with an unblemished claims history and you’re the only person riding your bike, the cost of your cover should stay low. But if you want your motorcycle insurance policy to also cover a 22-year-old rider with a speeding conviction and several previous insurance claims, expect your premiums to skyrocket.
- Do you have a clean riding history? If you’ve got a long string of speeding and traffic offences, insurers will see you as posing a high level of risk and will increase your motorcycle insurance premiums.
- Where do you live? If you live in a high crime area the likelihood of your bike being stolen increases. This will be reflected in the cost of your motorbike insurance premiums, as will whether or not you keep your bike safely garaged overnight.
- Are there any security systems installed on your bike? Bikes with alarm systems or immobilisers are less likely to be stolen, which means you can save on your motorcycle insurance premiums.
- What kind of bike do you ride? If your bike is expensive and/or high powered, expect it to cost more to insure than cheaper, less powerful models.
- How much do you ride? The fewer kilometres you ride, the lower your motorcycle insurance premiums.
Factors that affect your premiums
Ever wondered what affects your motorbike insurance premiums? Wonder no more:
|Factor||Comprehensive Motorcycle Insurance||Third Party Fire and Theft Motorcycle Insurance||Third Party Only Motorcycle Insurance|
|Address where you park|
|Age of rider(s)|
|Motorcycle options, accessories or modifications|
|Type of motorcycle|
|Whether the motorcycle is financed|
|Whether you choose a voluntary excess|
How does my bike's engine affect my premiums?
In 2010, there were changes to the way that bikes were classed, which broke the engine classes into five groups:
- Under 225cc
- 226cc to 725cc
- 726cc to 1,125cc
- 1,126cc to 1,325cc
- Over 1,325cc
This grouping dramatically changed to the cost of CTP insurance.
Average Change in Price
|Capacity||Sydney Metropolitan||Country NSW|
Similarly, you can expect your motorcycle insurance, be it comprehensive, TPP, or TPP F&T to be impacted by the size of your bike's engine.Back to top
Q. What are the main types of motorcycle insurance available?
- A. You can choose from Comprehensive, Third Party Fire and Theft, and Third Party Only motorcycle insurance. Specialist policies are also available for vintage bikes, mopeds and scooters.
Q. When will I have to pay an excess?
- A. You will usually have to pay an excess when you make a claim. While a standard excess applies, a range of other excesses may apply depending on your motorbike insurance policy and who is insured.
There are four different types of excess that may be available:
- Age – If a rider under 25 is riding your bike at the time of an incident.
- Inexperienced – If a rider who has had their license under one year is riding your bike at the time of the incident.
- Standard – All claims unless specified otherwise.
- Voluntary – If you choose voluntary excess reduction. This excess replaces the standard excess.
Q. Do I need to list all of the regular riders of my motorcycle insurance policy?
- A. Yes, this is crucial as it will impact your premium and could also influence an insurer’s decision on whether or not to offer you cover.
Q. How do I pay for my motorbike insurance?
- A. Most insurers will offer you payment options to suit your budget. You can typically pay for your cover with a lump sum, or spread payments out monthly or even fortnightly to make them more affordable.
Q. I’ve been in an accident – what should I do?
- A. First of all, make sure that everyone is safe and call 000 if required. Next, exchange details, registration and licence information with all other drivers involved. You should also get the details of any witnesses and take photos of the accident scene if possible. Never admit any liability and contact your motorcycle insurance provider as soon as possible, and inform them of what has happened.
Q. I use my motorcycle for business purposes – can I get cover?
- A. Yes you can, but you’ll need to inform your insurer exactly how your bike will be used before you can be approved for cover.
Q. What is a No Claim Bonus?
- A. A No Claim Bonus is a discount off your motorcycle insurance premium, which acts as a reward for your good driving. Each year when you renew your policy, your discount increases each year you don't make a claim that affects your No Claims Bonus. This bonus continues to increase until you hit the maximum bonus.