Factors That Make Your Motorcycle Insurance Premiums Go Up

So you say you’ve got your license, your bike, and all the necessary gear… You’re good to go, right?

Not so fast. Do you have motorcycle insurance? In case you weren’t aware, it’s a legal requirement in most states – typically requiring liability coverage for bodily injury and property damage at minimum with some states taking it even further. 

And even if you live in one of the very few states that don’t require it, it’s still the safe, sensible, and socially responsible way to go. 

Of course, like pretty much every other step along the way to joining the two-wheeled brigade, it’s going to cost you. Just how much, however, depends on a number of factors, including – and to a significant degree – your age.

Types of Insurance

Motorcyclists can choose from a wide range of insurance coverage. And as one would expect, the better and more comprehensive the insurance, the more expensive the premium.

Here’s a breakdown of the basic types:

Liability Coverage covers bodily injury and property damage to others when you are at fault. This essentially insures others from you. 

Collision Coverage will pay for repairs to your own motorcycle in the event of an accident, regardless of fault. 

Comprehensive Coverage protests against unforeseen, non-collision related damages, including those caused by theft or weather.

Uninsured/Underinsured Motorist Coverage protects you from those who lack sufficient insurance and resources to reimburse you for the damage they have caused.

Personal Injury Coverage helps cover your (and your passenger’s) medical expenses in the event of an accident.

Accessories and Custom Parts Coverage protects the additional investments you have made in your ride.

The Factors The Determine Your Premium Beyond Types of Coverage

Typically, a rider selects their coverage depending on their appetite for risk. However, it is not the only factor that determines the premium you pay.

The other factors are based on the risk the insurance company takes on as a result of you and your particular situation.

The following rank as the most important factors an insurance company will consider when determining the premium they will be willing to offer you:

Your driving record is your track record. The cleaner and more extensive it is, the more you have proven yourself to be a worthy investment. 

The type of motorcycle you own will also impact your rates. A sportbike offers extreme performance, and with it, the potential for extreme risks. As a result, it could be as much as a third more expensive to insure compared with a similarly sized cruiser or standard bike. A touring bike might be even more expensive to insure as a result of the cost of replacement and the numerous opportunities for incidents associated with long-distance treks.

Your location has an impact as well. If you live in a city, your rates will be higher than if you lived in a rural area due to the increased incident and theft rates.

And of course, your age will play a huge role in how much you’ll pay due to its relationship to experience and propensity to engage in risky behavior. 

The Impact of Age

Just how much of an effect does your age have on your rates? Consider the following average rates, using Californian as an example:

The average rate for a 16-year-old rider is approximately $2500.

The average rate for an 18-year-old rider is approximately $2000.

Meanwhile, the average rate for a 30-year-old rider is approximately $1400.

In other words, age makes a massive difference. Younger riders tend to be less experienced, less skilled, and more likely to ride in an unsafe manner – and thus, riskier to insure.

However, the premium savings level out after 30, with a 50-year-old rider paying effectively the same rates as a 30-year-od, despite a couple decades of additional wisdom and experience.

How to Lower Your Motorcycle Insurance Premiums

Even though you can’t speed up the clock, there are other ways to lower your insurance premiums. 

Here’s a few you might want to look into:

Significant savings may be available by bundling your motorcycle insurance with your home and/or auto policies.

Building and demonstrating your skills by taking a motorcycle safety course can lower your rates.

Anti-theft security devices will help lower the risk of theft and associated premiums.

And finally, if you stick it out with a particular insurance company, they may offer reduced rates due to your loyalty and track record.