If you own a bike, then it’s likely that you already understand the significance of having insurance. Whether you ride for leisure or sport, it’s always wise to get coverage.
Unfortunately, many homeowners insurance policies don’t provide enough protection for serious cyclists. Fortunately, there are options out there tailored specifically towards bike owners.
Liability Coverage
If you’re a biker who rides for leisure and exercise, there are various coverage options to protect you financially in case of loss. One of the most essential types of protection is liability insurance.
This coverage shields you from liability for damages caused to others in an accident, including legal expenses if someone files a lawsuit against you for injuries or property damage caused by your actions.
Liability coverage is usually mandated in most states, making it wise to purchase this type of policy. Furthermore, your state may require you to carry personal injury protection (PIP), which helps cover medical bills if an accident occurs.
Collision and comprehensive insurance are highly recommended for bikes of high value. These policies will cover repairs in the event that your motorcycle is stolen or damaged in an accident.
Collision Coverage
Collision insurance policies cover the repair costs for damaged bikes in case they’re involved in an accident. This is essential for all motorcycle owners, especially those with more costly models.
Collision coverage will also safeguard your bike in case it’s stolen or damaged due to fire or flood. This means you can get back on the road quickly.
If your motorcycle is custom-built, collision insurance can help cover repair costs. Some insurers provide agreed-value coverage which will pay to replace your bike with a comparable model in case it’s totaled in an accident.
Under New York state law, riders must carry at least $10,000 in property damage liability coverage on their policies. But this amount of money may not be enough for a new or custom bike that could be worth more than what would need to fix it – making repairs expensive.
Theft Coverage
If your bike gets stolen, having a comprehensive policy can help replace it. Whether you’re on a tight budget or have an expensive model, having adequate insurance in place can be invaluable if things go awry.
Your state may require you to have motorcycle insurance. It’s worth researching your state’s requirements and comparing them with your individual situation.
Most homeowners and renters policies include personal property coverage to safeguard your bicycles against theft, vandalism, and fire. If your bike is stolen, your policy will pay you its market value minus any deductible payments you made.
There are also insurers who specialize in bike insurance. These businesses typically provide more comprehensive coverage and boast excellent customer service reputations.
Personal Property Coverage
Personal property coverage is a component of your homeowners insurance policy that safeguards items like your bike against theft or damage. Depending on the policy you have, it may even cover injuries caused to another person while riding your bicycle.
Personal property typically consists of two categories: actual cash value (ACV) and replacement cost value (RCC). With ACV, an insurer pays out only what an item is worth at the time of loss – often much less than its original cost.
RCV provides you with the full amount needed to replace your item at its current market value. This option may be ideal for people who own expensive items like wedding rings or sports equipment.
When selecting personal property coverage, one important thing to keep in mind is that most policies have a limit of liability – meaning they will pay out only an agreed-upon amount for covered losses. Some items, like jewelry, have sublimits which could reduce what your insurer pays out.
