CTC bike insurance

cntl

I will be insuring my bike against theft with CTC. Does anybody have any experience with them? Did you make any claims and were you satisified with the payout?
The bike is rather cheap but fairly new, and there are quite a few lights and a computer (which I will be removing when leaving the bike in public places, but once the cradles and brackets are gone, the lamps and computer are rather useless). I understand the cover include extras like these(?). Also, I have expensive tires (over £50 for a pair). Would they be covered? I guess I will call them anyway, but just curious of other people's experiences with them.

RufusA

I believe the CTC insurance is via Butterworths. Policy wording here:

http://www.butterworthinsurance.co.uk/policy.shtml

However for me, the insurance was unsuitable as it won't pay out for Loss or damage:-
a) To any pedal cycle used for trade, business or professional purposes.

As my cycle is often used for business purposes - to visit a client site etc. It wouldn't be covered. Also IMHO anyone buying a cycle through a cycle to work scheme wouldn't be covered!

In answer to your specific question is also excludes:

Loss or Damage....c) To tyres and accessories unless the pedal cycle is lost or damaged at the same time.

So your light fittings and tyres wont be covered unless the whole bike is stolen!

For me, a combination of my home insurance and a "home office" insurance policy covered my cycle for effectively for less.

YMMV - Rufus.

Totalnewbie

Why would anyone buying through cycle to work not be covered?

I've got the LCC insurance which is the same and got my bike through the scheme, there didn't seem to be a problem?

Gambatte

Totalnewbie wrote:

Why would anyone buying through cycle to work not be covered?

Probably because its essentially your companys bike till the end of paying it off, not yours. Those payments apart from the last are more hire or lease payments.

RufusA

Totalnewbie wrote:

Why would anyone buying through cycle to work not be covered?

I've got the LCC insurance which is the same and got my bike through the scheme, there didn't seem to be a problem?

Essentially because the policy seems not to cover the cycle whilst used for business purposes, and a cycle to work scheme requires the majority of a cycle's use to be on business or travelling to work.

Also there is the added complication of the cycle belonging to the employer, rather than you. Did you declare them as an interested party when taking out the insurance?

Rufus.

whome

But traveling to work is not business use surely!

For car insurance - social, domestic & pleasure covers trips to your normal place of work i.e. commuting. So an office worker using their bike to ride to their normal office would not be doing business use AFAICS.

Totalnewbie

Travelling to work is not business use or you would be able to claim tax back for it (as you are for true business use such as going to see clients etc). You do it in your own time.

I didn't declare them as an interested party, but there was just no option to when form filling, I did it all online. According to the scheme, for insurance purposes it is me who is to all intents and purposes 'responsible' for the bike, as if it was stolen my employer would not be replacing it, but I would have to carry on making the payments.

I'm wondering if I should give them a call now!

RufusA

I agree that travelling to / from a fixed place of work is not usually classed as business use.

However if you carry samples or work equipment (laptop?), or visit other client sites, that may be classed as business use - depends on the underwriters. The policy wording was sufficiently vague to put me off using them!

I emailed them this morning specifically asking what they classed as business use, and if they insured bikes being rented via a company cycle to work scheme. Waiting on an answer, but will update the thread as/when I get one.

TBH I doubt they would refuse to pay out, and you'd have the CTC backing you if they did!

Wouldn't do any harm to call them though if you are worried.

Rufus.

RufusA

I got a prompt and full reply from Butterworths. In essence it's fine to use the bike in the course of business but not for the business of the insured. Also Cycle to Work bikes are covered, but they need to be flagged as such, and the beneficiary will be the employer until ownership is transferred. IMHO all very reasonable. Reply posted below:

Please note cover for business use is excluded if the cycle is used for the business of the insured ie.,cycle courier etc.

The cycle can be used to commute to work, and between offices/meetings and clients premises. Once you have arrived at your destination, the cycle must be secured to a solid immovable object with a good quality lock at the location to ensure cover is in force.

The Cyclecover policy covers the insured cycle only and although accessories can be included in the policy, the accessories are for the cycle only. The laptop or samples would not be covered if they are carried in a cycle pannier.

We have several 'cycle to work' policies in force and we would confirm cover will be in force. The policy should be taken out in your name but the address should be shown as C/o and your employers address.

A note will be made on the policy as to where the insured cycle is kept overnight between Midnight and 0700am and we will also note the name of your employer as the owner of the cycle until ownership is transferred to yourself.

Should a claim occur, settlement advices would be made directly with the owner ie., your employer until further advices are received to amend our records regarding ownership of the insured machine.

HTH - Rufus

Totalnewbie

Thanks Rufus. I suppose I had better tell them, then! This was not made obvious when I took out the policy at all.