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Understanding Motor Bike insurance and the risks

2005 saw motorbikes account for 18% of all road deaths. When you consider that only 1% of road users are bike riders then you must agree that bikers contribute significantly towards road deaths. On this statistic alone you would truly understand why insurance companies need to apply significant premiums to motorbike insurance. Motorbike accidents have increased by 1% since 1998 but it isn’t all bad news; the Department for Transport reported that motorbike accidents for 2005 dropped by 2% from 2004. So why have bike insurance premiums become so competitive? If you compare the bike insurance premiums of the best insurance companies you will definitely see great rivalry but it’s the increase of traffic (40% increase in bike traffic since 1998) and the low cost web based insurance companies driving down motorbike insurance premiums lower.

Why are we crashing and how can it be stopped to reduce our insurance premiums?

As highlighted above its not the increase in the number of accidents that will contribute towards an increase in insurance premiums it’s a number of other factors.

As we desire better and better bikes then premiums will increase. If we buy a bike at double the price of 1998 then expect to pay twice the premium (less a little for economies of scale). It is common sense that if you write-off a bike costing on average twice as much as the average cost of a bike bought in 1998 then it will cost the insurance company twice as much.

It is a misconception that sports bike riders crash the most, just because you may have a moped or scooter does not give you any extra protection. The Government statistics clearly show that men are more likely to crash than women and bikers aged between 16-20 are most at risk of having an accident with the age group 31-35 close behind.

The severity of the crash increases as you move into the countryside but more opportunities for a crash occur in and around the towns. This is probably why couriers who use bikes are in a high-risk insurance occupation category and often need specialist motorbike insurance. This fact is amplified by the timing of crashes; most crashes occur between the rush hours but if you are a Sunday rider then expect to come off the bike more often. Whilst Couriers may have it bad pleasure riders collectively have it worst accounting for 44% of crashes.

A junction crash is king, so make sure you look left then right and left again, but don’t forget to slow down as you approach a junction.

It is no surprise that accidents occur going round a bend and is the second most likely accident, but one can presume this happens more in the wet than in the dry.

Surprisingly the biker isn’t always to blame. Whilst the accident may involve the motorbike the cause is only attributable to the rider in 50% of cases.

The risks in summary:-

Speed only accounts for 5% of accidents

Top 10 risks (top is number 1):-

1 Failing to look causes most accidents
2 Poor judgement of oncoming traffic
3 Reckless Driving
4 Poor skills when manoeuvring i.e. going round corners!
5 Losing control
6 Too fast for conditions
7 Wet roads
8 Pedestrians
9 Too close to vehicle in front
10 Breaking erratically

The biggest reason for the increased number of accidents; drivers encounter more and more traffic and therefore have to be many times more skilled than before. Add to this self-inflicted distractions such as; mobile phones, in car DVD and Sat Nav you end up with a cocktail of explosive ingredients. I must add the Government doesn’t help with an increasing number of signs and static and mobile speed cameras.

In summary, if you can’t bend it like Beckham then ease off the throttle when cornering.

To end on a serious note regarding the risk of accidents: Over 500 bikers died in 2005.

The thief that increases your Motorbike Insurance Premium

The recovery rate for stolen bikes is poor; around 40% of stolen bikes are recovered. If your bike is a super bike then the 40% recovery rate is wishful thinking. Such a poor recovery rate is bound to push up motorbike insurance premiums. Prevention is always better than cure but prevention starts with you. If you are a natural show off and like to leave you bike on your driveway or outside your favourite pub then you are bound to attract unwanted admirers, at the very least you should take action at home.

When you are at home your bike should be in its rightful home, i.e. not on your drive but locked away in your garage. Once away in your garage ensure you have adequate locks and bolts around the house and a garage door that can withstand repeated blows of a sledgehammer. When out and about make sure you chain the bike ensuring the chain is away from the floor.

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