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Motorcycle Insurance Costs: How to Lower Your Premiums

by Purva Jagtap
Motorcycle Insurance Costs: How to Lower Your Premiums

Did you know there are over eight million registered motorcyclists in the United States? Since motorcycles tend to be more dangerous and prone to crashes than cars, insurance providers usually charge high premiums on your policy.

Sadly this can make it difficult to pay for your bike, especially if you have multiple vehicles you need to pay for. So, is there any way that you can lower your motorcycle insurance costs?

If you want to learn the answer to this answer and more, then you’re in the right place. In this article, we’ll teach you everything you need to know about lowering your premiums. Let’s get started!

How Does the Insurance Company Determine Your Premium?

Before we explore how to lower your premium for motorcycle insurance it’s important that you first understand how it’s determined. That way you know what aspects of it you can change, and what parts you can’t.

When setting your premium, whatever company you’re with will look at five distinct factors. These include:

1. Your Age

Your age is the first factor that insurance providers look at when determining your premiums. Right or wrong, statistics show that younger individuals get into more accidents. As such, the older you get the less you can expect to pay on motorcycle insurance.

Unfortunately, this factor doesn’t just apply to motorcycle insurance. It also applies to auto insurance. 

2. Your Motorcycle

You should also pay attention to your bike itself. The newer and flashier your motorcycle is, the more you can expect to pay for it. This is because the insurance company will need to pay more whenever you file a claim on it.

So, if you have an older bike with a small engine, then you can expect to pay a lot less on your monthly or annual premiums. 

3. Your Address

Where you live can also determine how much you pay for motorcycle insurance. For example, if you live in an area with frequent accidents or auto thefts, then you can expect to pay more.

This is the insurance company’s way of compensating for the fact that you’re statistically more likely to file a claim. That’s why people in California pay an average annual insurance premium of $1360, which is the highest amount in the country.

4. Your Driving History

Your driving history is also an important factor in determining your premiums. A clean driving record means lower insurance costs plain and simple. Unfortunately, it’s important to note that every type of accident counts here.

So, if you’ve been in a past auto accident in a car, then it will affect your motorcycle insurance. 

5. Your Job

Your job is important for two reasons when determining insurance costs: it determines how much you can pay and where your bike will be parked. Some jobs are more dangerous for motorcycles than others.

For example, if you park your motorcycle at a construction site every day, then it has a higher chance of being damaged by the environment. As such, you can expect to pay more. 

Tips For Lowering Your Motorcycle Insurance Costs

Now that we know what goes into determining your motorcycle insurance costs we can find out how to lower them. Some factors, like your age and address, obviously can’t be changed.

However, the good news is that there are some proactive steps you can take to reduce your monthly or annual costs. Let’s explore how

1. Take a Motorcycle Training Class

Insurance companies are more likely to trust a motorcycle rider that has training with proper safety techniques. So how do you prove this? By taking a motorcycle training or safety class.

Many insurance companies will lower your premiums if you can prove that you have a certificate from a legitimate course. Plus, the training you receive will help you avoid accidents in the future. 

2. Change Certain Aspects of Your Motorcycle

There are things you can change about your motorcycle that will result in lower premiums. For one thing, if you can help it, look for an affordable, smaller bike. Preferably, it should also have an engine that isn’t too powerful.

These types of bikes tend to get fewer accidents, so there’s a good chance you can find more affordable coverage for them. Additionally, avoid motorcycles that come with lots of modifications.

Most of the time, insurance providers will view these mods as an unnecessary hazard and charge you more for them. However, some additions can lower your insurance costs.

One example is modern anti-theft systems like smart track tech and a dependable alarm system. These additions lower your fees because they make it less likely for your vehicle to get stolen. 

3. Select the Coverage That Works Best For Your Needs

One common mistake many riders make is paying for coverage that they don’t need. Many insurance providers will try to upsell their clients on full comprehensive coverage. In some cases, this might be the right call.

However, if you ride a bike that’s over a decade old, then more often than not it’s simply not needed. Instead, look for options that allow you to pick and choose certain aspects, like liability insurance and medical coverage. That way, you aren’t wasting money on parts of car insurance that you don’t need. 

4. If You Only Drive In Warm Weather, Then Consider Part-time Insurance

Most motorcycle riders only use their bikes during the warm months. That means that during the winter their bikes go completely unused. There’s no sense in paying for insurance that you don’t use.

So, if you fall in this category, then consider selecting part-time insurance. Some providers offer storage insurance for these cold-weather months when you aren’t riding. Alternatively, you can try canceling your insurance during the months you aren’t using it, then reinstating it once you feel like riding again. 

5. Find a Biker Club That Offers Insurance Discounts

Biker clubs are organizations that offer certain perks to their members. Some popular national options include the Motorcycle Safety Foundation and American Motorcycle Association.

There are likely also local options available in the specific area that you live. These clubs are ideal because many of them offer discounts on your insurance policies. The larger clubs often offer savings of up to 10% on your premium. While this might not sound like a ton, any savings count. 

6. Raise the Deductible On Your Insurance

A deductible refers to the amount of money that you pay for your motorcycle before the coverage kicks in. The higher your deductible is, the lower you can expect insurance costs to be.

This is because the insurance provider likely won’t need to pay your claim unless the accident is incredibly serious. So, talk to your provider about what your options are in terms of raising your deductible.

7. Try and Drive Safer

This one might sound a bit obvious. But, it can make a serious difference if you decide to take it seriously. A clean driving record goes a long way toward lowering your premiums.

While there are some accidents you can’t avoid, others you can. Drive more safely by avoiding dangerous tricks, or reckless maneuvers like weaving between traffic. 

8. Search Around For the Best Deal

When it comes to finding the best motorcycle insurance it’s important to not fall for the first good deal that you see. Oftentimes, insurance companies will dangle a good deal to lasso you into a policy with high premiums.

Instead, don’t be afraid to shop around for the perfect supplier for your needs. This means looking for smaller options that offer motorcycle insurance, like My Insurance Doctor. Since these businesses aren’t run by faceless corporations they can often provide you with more custom and specialized services. 

9. Multi-Bike Coverage

If you own multiple motorcycles, then you can waste a lot of money by insuring them separately. Luckily, many insurance providers offer bundled services that allow you to cover multiple bikes on your policy.

However, keep in mind that this might not be worth it if each bike has more than one rider on the policy. In these cases, it can be more expensive. 

Want More Content? Keep Exploring

We hope this article helped you find some ways to lower your motorcycle insurance costs. Sadly, there are some things (like your age) that you can’t change when trying to lower these costs.

However, the good news is that if you follow the advice in this article, then you should be able to pay less. Just don’t be afraid to change insurance providers if they aren’t working for you.

After all, your insurance provider works for you, not the other way around. Did you enjoy this article? If the answer is yes, then you’re in the right place. Keep reading to find more topics that you’re sure to love. 

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