Motorcycle Insurance Articles
Should You Remove The Coverage On Your Motorbike At The End Of Riding Season
2010-03-15
For motorcycle enthusiasts, there's nothing like a summer ride - the wind in your hair and the sunshine streaming down. There's a sense of freedom and independence that car owners just can't understand. Sadly, especially for those in northern climates, this comes to an abrupt end every fall as the first flakes of snow drift down and the roads become far more of a hazard than a playground. With motorcycle insurance standing out as one of the most expensive types of vehicle insurance, owing to the higher than average chance of a motorcycle accident resulting in serious injury or death, many riders look to maximize their savings on their motorcycle coverage, while still enjoying their bike to the fullest. As a result, some motorbike owners choose to un-insure their motorcycle at the end of each riding season. But does this really save money?
In a word, no.
At first blush, this seems like a really good idea. Put the bike away, drop the insurance coverage, and then pick it up again when riding season starts. There are several problems here, however. First, dropping all insurance coverage on the bike is a bad idea. Without fire and theft insurance, when the bike is re-insured, the insurance provider will treat it as if it is a new policy, and your motorcycle insurance premium will reflect this. In addition, you may need to have your bike re-inspected before your company will insure you again. Even leaving minimal coverage on your bike may not be enough. Some insurance companies charge a fee to alter your policy substantially, so the money that you save from lower premiums may be offset by the fee you will suddenly owe your provider. Lastly, even with minimal coverage in place and no fee from your provider, you may still be out of luck. Many companies set their customers' premium rates on a seasonal, not annual, basis. This means that your premiums will be deliberately higher in the summer because you will be riding more often, and lower in the winter when your bike is in storage. You will not get any refunds for removing your current insurance, and the amount you pay in winter to keep the bike properly insured will be minimal compared to what you had been paying during the summer.
Certainly, it pays to shop around for the best motorcycle insurance quote, because not all companies are equal. There may be options for a better rate, more usable coverage, or simply better service with another company. However, in both the long run and the short run, cancelling or changing your motorcycle insurance policy during winter will not result in any significant savings, and may end up costing more.