Do you have a motorbike you plan to ride on public roads? You need some form of financial protection. This way, should you cause an accident leading to damage or injuries, you can pay the expenses.
Most bikers ensure this protection by buying a motor insurance policy. But before you start shopping around for motor insurance in Singapore, you need to understand how this insurance works to get the best deals. Learn more from this guide about motor insurance.
What is Motorcycle Insurance?
It covers damages to your motorcycle, other property, and injuries in case of an accident. The claims process is similar to car insurance; when you are involved in an accident or someone steals your vehicle, you let your insurance know and file a claim. Your provider will then review the incident and payout the amount if eligible.
What Types of Motorcycle Insurance Can You Buy?
Coverage options for motorcycles are the same as for cars. Liability insurance is mandatory in many places. This insurance pays for the damages and injuries you cause to others. Apart from that, you can also buy a guest passenger liability that caters to your passenger’s medical cause if an accident is your fault.
Other options you can buy include;
- Uninsured/Underinsured Motorist Coverage- caters to costs you incur if someone that doesn’t carry any liability or enough liability hits you.
- Collision- this caters to damages on your motorcycle should you hit objects like fences and guardians.
- Comprehensive- it pays you if someone steals your motorcycle or gets damaged by something else that isn’t from a collision with another vehicle, including fire, floods, and vandalism.
- Personal Injury Protection- this protects you and your passengers from the injuries sustained regardless of who was at fault. You also get compensated for lost wages and other repairs that you can’t pay for.
Other coverage options include road assistance, trip interruption coverage, transport trailer, and total loss coverage.
What Factors Affect Your Motorcycle Insurance Costs?
Motorcycle insurance costs vary from provider to provider. But certain things will determine how much you pay for your insurance. These include your:
Your Bike’s Make and Model
Generally, expensive or powerful motorbikes are charged higher premiums than their counterparts. That’s because the cost of repair or replacement is high. So, the insurer will pay more money to have your bike fixed.
If you usually are in the public eye, you may be offered higher premiums to cover theft and vandalism. Additionally, if your work requires you to spend much of your time on your motorbike, expect to pay higher amounts.
When filing for motorcycle insurance, your provider will need you to fill in your home address even if you store your bike in a different location. Your insurer uses this information to determine your threat of vandalism, theft, and other damages. If your risk is high, expect to pay more for your insurance.
Additionally, your age, bike’s age, and how many miles you ride affect how much you spend on your insurance.
Tips to Reduce Your Motorcycle Insurance
Like car insurance, having a good driving record is essential to lower your premiums. Other than that, the following tips will help you save some money when buying a policy;
- Take advantage of multi-bike discounts if buying insurance for more than one motorcycle.
- Tell your insurer if you have completed an advanced training course. You might get discounts if the provider thinks you are a safe driver.
- Join a motorcycle club or other associations to get discounted.
Conclusion: How Much Coverage Do You Need?
Well, this depends on several factors. Of course, you have to buy the minimum liability coverage, as that is mandatory. However, you may want to buy more than the minimum to protect your assets if you are sued for causing an accident. Again, depending on your bike’s value, you may want to get collision or comprehensive coverage. But uninsured or underinsured coverage is crucial to all drivers because you never know when accidents will occur. But if the person at fault doesn’t have any or enough insurance, this coverage will cater to the financial burden.