Is there a rule to follow with insurance vs bike value?

[igell]

so i am new to the motorcycle scene. Just purchased my first bike 02 f4i and would like to get it insured. i paid roughly 2500 and its worth around 3300 according to kbb.
Full coverage ins with 500 deductible will cost around $1000 vs about $300 for liability only. At which point is it even worth getting full coverage if i would only use it at full total of the bike?

is there a general rule to follow in such cases?

 

[dkcwenge]

besides liability, collision is the most expensive thing you will buy in insurance if it's fully insured. ask the insurance agent to break down the different parts. if the collision premium you pay each year adds up to something close to the value of your bike, you might as well remove it from your policy

 

[Flying Pig]

If you are worried about bike theft, definitely carry comprehensive coverage on it....

 

[discoganya]

I would never pay a $1000 annual insurance premium for a motorcycle worth $2500.

$300 for liability sounds high too. Do you not have auto insurance?

 

[dkcwenge]

If you are worried about bike theft, definitely carry comprehensive coverage on it....

+1 .. and comp should not be THAT significant compared to the cost of the entire policy as a whole.

 

[LikeWaah]

I understand where you're coming from. This is how I figured I would cover my ass.

I only bought medical and liability, no comprehensive. Why? Well, I figure, if I crash into someone else, I shouldn't be riding, and I want to make sure I don't get bankrupted in the process. If I should crash, whether it's my fault or not, I may get hurt. That makes medical a priority. Lastly, comprehensive was not taken because as I said, if I crash it or lay it down, I wasn't being careful enough. If someone crashed into me, their insurance will take care of it.

So rather than pay about $1500/year, I paid about $900/year. Is the $600 savings worth it for my $2700 bike? Hmm, well that's a judgment call. I'm betting that I won't be at fault in an accident for 5 years. However, well before my 5 years are up, my insurance rates may drop, especially if I really am accident free to that point. When I get to that cross road, I may decide to include comprehensive if I am paying the same amount, but because of my reduced rates, have better coverage. Then, well, why not?

I guess what I'm saying is, it can be a measured risk if you decide to forego comprehensive, as long as you have plans to mitigate risk (such as having a garage to store your bike in to reduce risk of theft)

 

[igell]

I would never pay a $1000 annual insurance premium for a motorcycle worth $2500.

$300 for liability sounds high too. Do you not have auto insurance?

I do have auto ins, but my existing company does not cover motorcycles.
Geico quote shows:
~300 liab
~292 compreh
~625 collision

progressive quote shows similar numbers... does anyone have any experience with CULVER INSURANCE SERVICES? they seem to have the best rates by far.

 

[dkcwenge]

I understand where you're coming from. This is how I figured I would cover my ass.

I only bought medical and liability, no comprehensive. Why? Well, I figure, if I crash into someone else, I shouldn't be riding, and I want to make sure I don't get bankrupted in the process. If I should crash, whether it's my fault or not, I may get hurt. That makes medical a priority. Lastly, comprehensive was not taken because as I said, if I crash it or lay it down, I wasn't being careful enough. If someone crashed into me, their insurance will take care of it.

So rather than pay about $1500/year, I paid about $900/year. Is the $600 savings worth it for my $2700 bike? Hmm, well that's a judgment call. I'm betting that I won't be at fault in an accident for 5 years. However, well before my 5 years are up, my insurance rates may drop, especially if I really am accident free to that point. When I get to that cross road, I may decide to include comprehensive if I am paying the same amount, but because of my reduced rates, have better coverage. Then, well, why not?

I guess what I'm saying is, it can be a measured risk if you decide to forego comprehensive, as long as you have plans to mitigate risk (such as having a garage to store your bike in to reduce risk of theft)

comprehensive is coverage to your bike when you are not riding it. do you mean collision? i think weighing the value of your bike is a better gauge at determining if you need collision is better than reasoning if you should be riding at all. because in the end, if you decide riding isnt for you, you'd still like to recoup the cost by selling the bike or collecting ins money, right?

 

[dkcwenge]

I do have auto ins, but my existing company does not cover motorcycles.
Geico quote shows:
~300 liab
~292 compreh
~625 collision

progressive quote shows similar numbers... does anyone have any experience with CULVER INSURANCE SERVICES? they seem to have the best rates by far.

i would suggest checking out the companies you might think are the more expensive ones. they are not as cheap with the pay-out (if an incident does occur) and you can bundle different policies (car + moto) and get a discount that way

sent you a pm.

 

[ScottRNelson]

I drop full coverage when the value of a vehicle drops below about $5000. So I have full coverage on my KTM and minimum on my XR650.

I'm overdue to make the change on my wife's VW Beetle.

 

[shaun b]

I'm paying about $330 a year for my '03 DRZ400 for comp and collision with AAA..... but, i also have 4 other vehicles on the policy also and i'm 34yrs old.

for liability only it was gonna be $170/year. i figure i've got quite a few years for that extra $150 to pass the value of the bike.

it can pay to shop around.... be willing to move your car ins over to where you're getting the MC ins quote from also.... it will be cheaper.

 

[BlacKat]

I would get the state mandated minimum coverage for that bike.

 

[igell]

just talked to statefarm and got a pretty competitive quote form them. About $470 annual with both comp and collision.
I am 34 btw, so yes.. i was expecting lower rates in line with this last quote. To me $470/y would be worth it.. because if something happens with in the first year and the bike gets totaled, i will get my money out of it.. and get back whatever ins premium i haven't used, since i will cancel my ins right after the payout (assuming i don't get another bike)

 

[Yo!Joe!!!]

so i am new to the motorcycle scene. Just purchased my first bike 02 f4i and would like to get it insured. i paid roughly 2500 and its worth around 3300 according to kbb.
Full coverage ins with 500 deductible will cost around $1000 vs about $300 for liability only. At which point is it even worth getting full coverage if i would only use it at full total of the bike?

is there a general rule to follow in such cases?

If you've been riding it... Maybe you should read this..! :|

http://www.bayarearidersforum.com/forums/showthread.php?t=382548

 

[KTMKen]

Try McGraw ins....Pacific Specialty 1 800 303-5000...

 

[dkcwenge]

just talked to statefarm and got a pretty competitive quote form them. About $470 annual with both comp and collision.
I am 34 btw, so yes.. i was expecting lower rates in line with this last quote. To me $470/y would be worth it.. because if something happens with in the first year and the bike gets totaled, i will get my money out of it.. and get back whatever ins premium i haven't used, since i will cancel my ins right after the payout (assuming i don't get another bike)

that is an amazing rate!

 

[KTMKen]

Try McGraw ins....Pacific Specialty 1 800 303-5000...

Let me know how they quoted you...they are really reasonable for me, but I'm older and I havn't had to see how they pay out from a claim yet!

 

[igell]

Try McGraw ins....Pacific Specialty 1 800 303-5000...

Let me know how they quoted you...they are really reasonable for me, but I'm older and I havn't had to see how they pay out from a claim yet!

they came in at about 850/y for full coverage and 100/y for liability only

 

[SNsMoto]

Depends on the bike.

With my old bike, insurance was pretty cheap, but I still didn't get collision. The increase in premium from just adding collision would have had me pay more in insurance expenses than the actual value of the bike in just 12 months. I had the bike for two years so I say it definitely paid for itself in that sense.

You just gotta weigh out the pros/cons. Is your bike unique to your preferences? Was it a long wait for it? Is YOUR bike hard to come by? Will you be able to find another if something happens? These questions go beyond just the monetary value of the bike and whether or not you should get collision/comprehensive.

 

[angelsndevils]

Here's how I look at it. I tell the insurance guy that I want the cheapest insurance that will allow me to drive away if I get pulled over. He sets me up with the $300 a year policy instead of $1000 a year full coverage. So in the 9 years I've been riding street I've saved $6300. That's more than enough to replace my current bike.