There are many motorcycle insurance providers and policies on the market, and it can be hard to know how to wade through them to find what would be most suitable for you. That’s why we compiled the above list, helping you to see key features of a range of different policies that all rank well for Australians.
But there’s still a lot more you can consider. The following explains what you may want to look for when shopping around, and when reading through the product disclosure statements (PDS) of different policies.
Theft and Damage Cover
Theft and damage cover is a key feature of a comprehensive motorcycle insurance policy, as these events are unfortunately common occurrences. When looking at policies, you should find out whether you’ll be covered if your bike is stolen or damaged—whether by the weather or accidentally.
Some policies include accidental loss and damage cover, including due to weather events such as hail, storm, floods and fire, as well as collisions and incidents. They may also cover attempted theft, malicious damage and vandalism depending on the policy.
As always, policies will have limits to what can and cannot be covered, including exclusions for when they will not accept claims even if one of the above circumstances has occurred. To know what you’re covered for, it’s essential to read the policy’s product disclosure statement (PDS).
Theft and damage cover also usually includes any damage caused by the use of your motorcycle. The industry standard is a legal liability of $20 million, however, some policies we reviewed had higher limits. For example, CGU’s liability cover was up to $30 million.
Along with your motorbike itself, you’ll also want theft and damage cover for your riding gear in your policy if it’s stolen or damaged in an accident. Sometimes this is an optional add-on to policies, rather than being included in the standard policy.
Commonly, policies will have sub-limits for individual items and protective gear, as well as a total limit for any one claim. Additionally, some policies may only cover your riding gear due to accidents rather than for theft.
Roadside Assistance
If you break down on the side of the road, you’re going to want some help. Roadside assistance is a common feature for car insurance, however, it’s unfortunately not as common in motorcycle policies.
While some policies offer roadside assistance as a standard in their policy, others will make you pay an additional premium to include it. Some policies don’t offer roadside assistance at all, which Forbes Advisor Australia then ranked lower due to this lack of an important feature.
After Accident Care
Being in an accident is a daunting enough experience, and your motorcycle insurance provider should offer optimal after-accident care so that you can be reassured you won’t be stuck without transportation or accommodation costs if far away from home.
Commonly, policies offer hire cars for a certain period of days or up to a maximum benefit amount—though this ranges from each policy to policy. Some may be for seven days, while others can be up to 21 days or until the motorcycle is repaired.
Other after-accident care options include emergency transportation from the site of the incident to either accommodation or your own home. Some policies will cover accommodation for an incident of loss of damage that occurs more than a certain distance from home (such as 100km), up to a certain value like $1000, for example.
Emergency repairs are also often offered with after accident care, with most policies covering reasonable costs for the emergency repairs to make your motorcycle roadworthy again and safe to get to your destination or home.
No Claims Bonuses
A no claims bonus is a great feature of motorbike insurance, as it provides a discount off your comprehensive premium.
Often, this is renewed each year (or the length of your policy) and the discount will increase if you have not made any claims in that period. If you never make a claim, your no claims bonus will continue to increase until you reach the maximum discount that the insurer offers—which can range between 20%-60%.
Further Discounts
Insurance isn’t cheaper, so it’s always worth shopping around for further discounts that you may be able to find. It’s hard to find an average cost across a range of policies, and considerations such as no claims bonuses, age of the bike and motorcycle model. Some providers also consider the location your motorbike is kept in (such as the suburb), whether it’s in a garage overnight, how long you’ve had your motorcycle licence for, your average annual kilometres and what you predominantly use the bike for.
However, Forbes Advisor Australia did some research of some of our leading motorcycle insurance policies above and found through a variety of quotes that the average cost can range anywhere between $150 to $1500 annually depending on the above factors.
To find further discounts, you may consider taking out a motorcycle insurance policy with an insurance provider you already have a policy with, if they offer a multi-policy discount. If you own more than one motorcycle, or have a partner or other family member with one, it may also be worth insuring them together in order to receive a multi-vehicle discount.
Lastly, it’s always worth looking around online for special deals and discount codes. Some providers will offer online discounts, while others will offer you discounts if you are part of certain motorcycle associations.
Remember: The cheapest policy isn’t always the best. It’s important to make sure your policy has everything you need in order to stay protected on the road, even if it means paying slightly more.
