On-road safety is very uncertain, so there’s a high probability that you could do everything right and still get into an accident. Sometimes, it’s the other driver’s fault and on other occasions, it’s plain bad luck. But this does not reduce the threats a serious crash imposes on the vehicle as well as the rider. And that’s why motorcycle insurance from reputed companies like Surex is vital.
But buying the minimum coverage required by the government might not provide enough security. Hence, looking at the available plans before investing in insurance is a wise choice. It will help you plan your insurance and avoid unnecessary coverages that’ll burden your wallet. To help you with that, today, we will discuss the average cost involved in buying motorcycle insurance.
What Is The Average Cost Of Motorcycle Insurance In Canada
Speaking specifically of Canada, the Canadian laws in each province require the riders to have minimum liability insurance worth $200,000. However, it is recommended that riders should at least buy insurance that can cover the replacement of their current bike model.
If you speak of annual cost, then the average annual cost for motorcycle insurance in Canada is $700. However, the exact value is highly dependent on your location, age, driving record, and various other factors.
For example, if you are from Ontario, your motorcycle insurance will cost more than neighbouring Canadian provinces. This is because the number of accidents in Ontario is higher than in all the other provinces. Hence, insurance policies are much more costly in Ontario than in any other Canadian province.
How The Insurance Rates Vary Depending Upon The Bike’s Model
When calculating your insurance rates, your insurance company will consider every factor that is a potential threat to your and your vehicle’s well-being. Hence, the model of your bike will have a huge say in the insurance premium you shell out.
Here is a list of factors that influence insurance rates:
1. Cost of the bike
If you own an expensive bike, its repair cost will be much higher than regular bikes. When calculating your premiums, the insurance company takes into account the expected cost of repairing your bike in case of an accident. Also, expensive bikes are likely to be limited edition. Hence, in case of a serious crash, the cost of getting an entire part replaced will be much higher.
2.Safety Features
The build of a bike has a huge impact on the safety it offers to the rider. This, in turn, influences your insurance cost. Bikes with more safety features like traction control and anti-lock brakes are supposed to be safer than those that do not have these features. This reduces the chances of accidents and the risk taken by the insurance company. Hence, you might qualify for cheaper rates.
3. Crash Rate
Crash rate here means the number of bikes with the same model as yours that have been involved in an accident in a given tenure. Although this isn’t your fault and it might sound unfair if your bike model has higher crashes that year, your insurance rates will rise. The reason here is that the crash rate increases your probability of filing a claim. Hence, you are viewed as a high-risk party.
4. Theft Rate
Comprehensive insurance policies also offer coverage in case of theft. Hence, if you own a bike that’s popular and expensive, it’s also at a higher risk of being a robber’s target. This will increase the risk taken by your insurer and hike your insurance rates.
Generally, sports bikes and superbikes have the most expensive insurance coverages. They check off almost all the factors mentioned above. Touring bikes are cheaper to insure than sports bikes. And cruisers are the least expensive when it comes to insurance coverage.
Also, the model has a more significant influence on the insurance rates than the CC of the engine for bikes. So if you have a sports bike with 750 ccs and a touring bike with a 1000 cc engine, the cost to insure the former will still be higher.
Other Factors Influencing The Rates Of Motorcycle Insurance
Apart from the model of the bike, several other factors influence the insurance rates you shell out. Here is a list of the other factors that you will be considered when calculating your insurance cost:
1. Age
Younger people have less driving experience. They are also known to exhibit dangerous driving habits and patterns which make them a high-risk party. Hence, people between 18 to 25 years are required to pay higher premiums than older people.
2. Gender
In certain Canadian provinces, women are considered safer drivers than men. Men are expected to have a higher probability of being involved in rash driving, leading to accidents. Hence, men have to pay slightly higher premiums than women.
3. Driving Record
Driving record plays a huge role in deciding your premium rate. If your driving record has a higher number of accidents or traffic rule violations, you will be considered a high-risk party. This will indicate a higher chance of you raising a claim and increasing the risk taken by the insurance company. Subsequently, your insurance premium rates rise.
4. Credit Score
A high credit score indicates that you adeptly manage your finances and pay all your bills on time. This builds trust in the insurance company that you will be paying your premiums on time. This reduces the risk on their part and they return the favour by offering you cheaper insurance.
Endnote
Car insurance costs are all about the risk your company is taking. The more the risk, the higher the premiums. Hence, if you are looking for a way to reduce the cost, make sure you don’t give them any reason to see you as a high-risk party. Also, before zeroing in on an insurance company, always compare the quotes online to get the best deal.
