-
The value of your bike. Newer, more expensive and more powerful bikes will usually 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.
-
Your claim history. The longer you have a policy without making a claim, the greater the no claim discount you will receive from your motorcycle insurance provider. This can help you save on your premiums.
-
Your age. 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.
-
Modifications. 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.
-
How much you ride. 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.
-
Where you keep your bike. 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.
-
Your level of cover. If you need to be covered for more risks under a comprehensive policy, your premiums will obviously be higher.
-
Engine capacity. More powerful engines typically come with higher premiums. This is because accidents at higher speeds often cause more damage, riders may be more likely to lose control of powerful motorcycles, and these types of motorbike might be statistically more likely to be ridden in an unsafe way.
-
Your excess option. You can opt to pay a higher excess in return for a lower premium.
It's natural to want cheap motorcycle insurance.
If you can adjust the factors that affect your premiums, you may be able to get lower premiums. Can you:
- Keep your motorcycle in a different place overnight? You'll often get lower premiums for keeping it in a secured garage rather than out in the open.
- Re-assess the value of your bike? For example, if you've insured a brand new motorcycle at agreed value then it might be over-insured two years later, and you might be paying too much for cover.
- Pay premiums annually? Many insurers will charge less overall for premiums paid annually rather than monthly.
- Get discounts? You may be entitled to a range of discounts, including loyalty bonuses, no claims bonuses, discounts for signing up online, multi-policy discounts and others.
- Adjust your cover? You might be paying extra for policy options that you don't feel strongly about.
The excess is the amount you will need to contribute towards a claim. The exact amount will often depend on the type of claim, the insurer, the policy and your chosen options. Sometimes there will be more than one excess payable, including:
-
Basic excess - Also known as the "standard excess." This basic excess will apply to most types of claims. When you get to choose your own excess for higher or lower premiums, you're typically adjusting the basic excess.
-
Age excess - Under 25s will often have to pay an additional age excess in the event of a claim.
-
Undisclosed rider excess - If the driver isn't listed as a user on the policy, an additional excess may need to be paid in the event of a claim.
-
License or experience excess - Inexperienced riders who have held their motorcycle license for less than 2 years may need to pay an inexperienced rider excess. Sometimes this will only apply to over 25s.
-
Special excess - Special excesses may be applied for individual circumstances. For example, if you have a history of traffic infringements then an insurer might only agree to cover you with a special excess. Often a special excess will apply to certain types of claim. For example, there might be a special "theft excess" with some policies.
How much should I choose for my basic excess?
The ideal amount depends on your circumstances and the policy. It may be worth opting for a higher excess to help reduce your premiums, especially if you're a particularly safe rider, or only intend to make claims in the event of a total loss.
However, it's generally a good idea to make sure the excess is affordable, so you can more easily make a claim if needed.
Different insurers will use different factors when determining premiums. Generally all of these factors might be considered to determine 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.
Hi, I own a 1996 FLHR Harley Davidson Road king this bike has been mine since new and has travelled 28,150 klm the bike is as new.
I have been calling numerous insurance companies regarding comprehensive insurance for the bike as my son would now like to take the bike he is also named as an owner on the rego papers.
But to get sense out of these companies is very difficult I’m finding out’ hence I decided to write to you for some professional advice.
I had my own HD mechanical workshop for 20 years and I’m a qualified registered automotive mechanical engineer’ but to try and get it through to these people the condition of the machine has been very difficult as they are of the opinion the condition of the bike is the same as another 20 year old bike’ This bike has been serviced and maintained as per the HD recommendations but the oil and oil filter have been changed every 4,000 km with Synthetic oil being used from 20,000km.
They even question my changing the standard front twin disc brakes which are single pot calipers to high performance twin pot calipers with an approved 3000 psi set of braided lines.
I won’t go on I think you get my point the bike is pristine but they look at it as a 20 year old piece of rubbish but still want a ridiculous premium with very high excess included and that is after having met all their over the top conditions to insure it.
Can you come up with a company thats actually more interested in good business other than money grabbers that source the policy out to another company anyway and don’t give a rats about more classic aged motor cycles.
Regards, Chris
Hi Chris,
Thanks for getting touch with finder.
Typically, insurers will only offer comprehensive bike insurance to vehicles less than 10 years old. Also, the insurance you get will usually depend on the type of bike you have. If ever you’re able to insure your classic bike, indeed the premium would be high and costly. You could be paying more to insure the vehicle than what it’s actually worth.
Nevertheless, it’s still worth doing your homework and you can choose to insure your bike for an agreed value or market value, that is:
– The agreed value is agreed upon when you first take out your insurance policy.
– The market value is determined by the insurer depending on the market value of your vehicle at the time of the accident.
On this page, you can find a helpful guide on motorcycle insurance. There’s also one insurer featured on that page which you may like to contact and see what options available for you.
I hope this helps.
Cheers,
May
what is lowest premium for my third party insurance for my eterno scooter
Hi Hanumant,
Thanks for getting in touch. finder.com.au is a comparison service and does not currently have the facilities in place to provide quotes for motorcycle insurance.
All the best,
Richard