Motorcycle Insurance Articles
The Problems Insurance Companies Have With Custom Motorbikes
2010-11-14
It can be hard to find a good motorcycle insurance policy for custom motorbikes. Most customer motorbikes are created using unusual parts that do not carry a standard value that is easy to work with. Custom bikes are also more expensive to repair because of their unique qualities.
Difficult to Assess Fair Value
The most difficult thing about insuring a custom motorbike is that there is no standard value listed for the bike because it is one of a kind. A motorcycle insurance policy is usually based on the established value of the motorcycle. If the bike was custom made, it will not be accurately listed in any established documents. An insurance agent usually has to visit the customer motorbikes in order to assess a fair value that the insurance company and the customer can agree upon. The process of insuring a custom bike can take longer and be more complicated than insuring a standard motorcycle.
Repair Can be Specialized
When a custom motorcycle is damaged, it cannot be taken to any regular repair shop to be fixed. Most custom bikes need to be repaired by special shops that deal with custom materials. This can be extremely expensive for the insurance agency to cover. Most insurance companies establish working relationships with the auto and motorcycle repair shops so that they can receive reduced rates on repair work. A custom bike that needs to be fixed by a specialist will not take advantage of those discount rates.
More Powerful Engines
When someone customizes a motorcycle, they tend to increase the engine's power as well as the overall design of the bike. Motorcycles with stronger engines are more likely to be driven faster, which can lead to more serious injury accidents. Since the bikes have been altered to have more power, their owners will be more tempted to drive in a reckless manner. Insurance companies view more powerful engines as an increased risk for being involved in an accident. Custom bikes can cost a great deal more to insure because they have such a high risk of being damaged in a high speed collision.
Unique Accessories
Some of the parts built into custom motorcycles are one of a kind and not replaceable. The value of those parts makes the motorcycle much more expensive for an insurance company to cover. When someone owns a custom bike, they must keep track of all of the modifications that have been made and make sure that the insurance company is willing to cover the value of those modifications if the bike is damaged. It can be tough to find an insurance company that will offer reimbursing motorcycle owners for the full value of custom parts.