Your initial insurance rate can vary, depending on several things. For example, if you have a high-performance street bike, your rate may be higher than if you have a cruiser. Also, the more expensive your bike is, the more you will have to pay to insure it. Certain things can help you get a lower insurance rate too, such as if you have a clean, accident-free driving record. Additionally, younger motorcyclists usually have higher rates than older motorcyclists because they are statistically more likely to become involved in accidents and collisions. However, there are factors that can change your rate after you purchase a policy, which you can keep in mind to help yourself secure the lowest rate possible.
What can lower my rate?
Some insurance companies offer discounts that, in a way, award their customers with lower rates. The types of discounts available and the amount of money they’ll save you depend on your insurance provider. For example, if you purchase a second motorcycle and add it to your existing policy, many companies will award you with a multi-vehicle discount, which means you won’t have to pay full price to cover both motorcycles. Many insurance companies also offer multiple policy discounts for customers who, for example, purchase auto insurance and motorcycle insurance through the same carrier.
In addition, your insurance carrier may lower your rates if you go a certain amount of time without having an accident or without needing to file a claim. Some insurance providers offer unique discounts. For example, Progressive will lower your rate if you install LoJack on your motorcycle. Allstate offers a discount for joining certain motorcycle organizations, such as the American Motorcycle Association, the Honda Riders Club of America, or the Harley Owners Group. You can also see if your carrier will offer you a discount for completing a motorcycle safety course. Finally, some insurance carriers may offer you a discount simply for renewing your policy.
What can cause my rate to go up?
The main thing that will raise your rate is having an accident. Your insurance company has to pay for the damages, medical bills, etc. from that accident, so to make that money back, they’ll charge you more. Also, having an accident makes you a higher risk to insure and to compensate for the risk, they charge you higher rates.
Certain modifications can also cause your rate to increase. For example, if you modify your bike in a way that makes it faster, you become more of a liability because your chances of having a wreck increase. Therefore, your rate will increase accordingly. Finally, replacing your bike can raise your rate as well, depending on what you replace it with. For example, if you have an existing policy and then trade in your old bike for another one, and your new bike is more expensive or is more of a high-performance bike than your last one, you will have to pay more to cover it.