Who can justify bike insurance?

Compared to most other insurance, bike insurance seems very expensive. I imagine theft is what drives the cost up, but for us enthusiasts theft is very unlikely.

Net result is that I don't bother with insurance and effectively self-insure as I reckon the risk is much less than insurance quotes suggest. Given there is a market for bike insurance, how do others justify it?
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Comments

  • Longshot
    Longshot Posts: 940
    It seems sensible to me. The third party element is as important to me as the theft or damage cover. Civil claims can be costly.

    I will generally not insure items that cost in the hundreds of pounds as I take the view that I can afford to replace such items in a relatively short time period. Once they get into four figures, I figure that insurance means I am likely to get any such items that's damaged or stolen replaced more quickly.
    You can fool some of the people all of the time. Concentrate on those people.
  • pblakeney
    pblakeney Posts: 26,533
    Depends on what bike insurance you are talking about. Mine are covered worldwide as part of my house contents. I'd agree that the risk is low but so was the extra premium.
    The above may be fact, or fiction, I may be serious, I may be jesting.
    I am not sure. You have no chance.
    Veronese68 wrote:
    PB is the most sensible person on here.
  • joeyhalloran
    joeyhalloran Posts: 1,080
    I had it to secure my 'town bikes' which are a higher risk of theft, I needed contents insurance so wrapped it all up with PedalCover. As it happens my bikes did get stolen but AXA, the underwriter, refused to pay out as they weren't not locked to a sufficient point despite the fact that the thieves cut MY lock to get to the bikes. PedalCover did SFA and didn't care at all. I have chased this through the ombudsman and they have recently come back with a final decision to back my decision and AXA are now looking into the value of the claim, 18 months after the theft. Given my experience, I think I'm gonna go to "self insure" route and I'm not touching pedal cover with a barge pole.
  • alihisgreat
    alihisgreat Posts: 3,872
    I used Laka until recently and their pricing is much more reasonable than other quotes i got. I insured approx £2k worth of kit with typical payments of <£10 a month. I likely didn't tick all the option though as have some third party cover through British Cycling.

    Never claimed so can't speak to that side of things, but having my bike covered when flying with it definitely reduced the stress of packing and waiting for it to be brought out by the baggage handlers on the other end!

    I can see why you wouldn't necessarily buy insurance for the bike itself if you had third party cover through British Cycling and cover though home insurance.. but i think everyone who's spending a reasonable amount of time cycling on the road should have at least some level of third party cover.
  • twotoebenny
    twotoebenny Posts: 1,508
    Yep, they are happy to take your money... not so keen to chat when you need to claim
  • fenix
    fenix Posts: 5,437
    I just have the bikes as part of my home insurance. Probably for 30 years now. Never claimed. The bike is hardly ever left out in public. Locked if i leave it but never at coffee stops. I just choose them well.
  • cookeeemonster
    cookeeemonster Posts: 1,991
    Definitely make sure you have 3rd party insurance...you could be bankrupted potentially without it even on a 50 50 blame (see the recent case in the news)

    Easiest way to get that would be british cycling membership or similar or check your home insurance for an option.

    Otherwise get theft insurance if you're locking it up outside or racing on your nice bike...that's where it gets expensive...
  • dannbodge
    dannbodge Posts: 1,152
    I have specific bike insurance as I commute 4/5 days a week on my nice bike (in summer and winter bike in winter)
    Covers both of them to retail value, all my accessories and there's personal cover, pothole cover etc built in.

    In the grand scheme of things it not important and will certainly pay off if I prang my 4.5k bike
  • Charlie_Croker
    Charlie_Croker Posts: 1,723
    rwoofer said:

    Compared to most other insurance, bike insurance seems very expensive.

    Agreed, you appear to get very little for a large outlay

    … PedalCover. As it happens my bikes did get stolen but AXA, the underwriter, refused to pay out as they weren't not locked to a sufficient point despite the fact that the thieves cut MY lock to get to the bikes… I think I'm gonna go to "self insure" route and I'm not touching pedal cover with a barge pole.

    There are so many ‘get out of jail free’ cards for the insurance companies can (and do) play you’ve almost got to be a lawyer not to get caught out – I’m glad you won in the end, if it were me, I’d also send the insurance Co an invoice for the time/hassle/worry incured, can’t hurt to try ;)

    The third party part of seperate insurance is well worth considering I believe, at a reasonable/fair price of course

  • david37
    david37 Posts: 1,313

    I had it to secure my 'town bikes' which are a higher risk of theft, I needed contents insurance so wrapped it all up with PedalCover. As it happens my bikes did get stolen but AXA, the underwriter, refused to pay out as they weren't not locked to a sufficient point despite the fact that the thieves cut MY lock to get to the bikes. PedalCover did SFA and didn't care at all. I have chased this through the ombudsman and they have recently come back with a final decision to back my decision and AXA are now looking into the value of the claim, 18 months after the theft. Given my experience, I think I'm gonna go to "self insure" route and I'm not touching pedal cover with a barge pole.

    Is this the bikes chained to another bike or chain chained to a tree that was on here a while ago? If so WELL DONE! for getting a result.
  • navrig2
    navrig2 Posts: 1,851
    I live in a low risk Postcode area and I find that adding to household insurance at the time of getting the quote adds diddly squat to the premium.

    I wouldn't buy specific bike insurance but would self insure.

    As to

    Who can justify bike insurance?


    Someone who has a bike nicked and made a successful claim. Isn't that how insurance works?
  • Yep, Four separate bikes covered under home policy. They were covered automatically whilst at home, but I paid a few extra quid to have them covered away from home too (excluding racing).

    Had to claim for first time cpl years ago after a collision, and was paid out £2.5k to replace the written-off frame without any quibble...
  • rwoofer
    rwoofer Posts: 222
    Curious which home insurance covers a bike up to £2.5k. Ones I've looked at tend to be £500/£1000 limit.
  • An extra £57 a year on Aviva home insurance to cover a £3500 bike.
  • pblakeney
    pblakeney Posts: 26,533
    rwoofer said:

    Curious which home insurance covers a bike up to £2.5k. Ones I've looked at tend to be £500/£1000 limit.

    Pedalcover. But they are not universally liked. As stated upthread.
    The above may be fact, or fiction, I may be serious, I may be jesting.
    I am not sure. You have no chance.
    Veronese68 wrote:
    PB is the most sensible person on here.
  • froze
    froze Posts: 207
    rwoofer said:

    Compared to most other insurance, bike insurance seems very expensive. I imagine theft is what drives the cost up, but for us enthusiasts theft is very unlikely.

    Net result is that I don't bother with insurance and effectively self-insure as I reckon the risk is much less than insurance quotes suggest. Given there is a market for bike insurance, how do others justify it?

    I don't have insurance on my bikes either. If the bikes are stolen at home or in the car I'm covered by my homeowners insurance, but because I own other property my deductible is real high ($2,500 ded) so I won't be getting any money back from even my most expensive bike!

    If that sort of thing worries some of you, you can get a floater, also known as a rider (there's a joke somewhere there), this type of coverage will cover your bike regardless what happens to it, even an accident, and there is no deductible. I never looked into it but I think they charge per $1,000 of coverage, and it should cost between $120 and $160 a year...well if you can do simple math, and depending on the value of the bike, you could easily exceed the value of the bike with the premiums around 10 years, of course the rate I quoted is for a bike worth $2,000, if your bike is a $15,000 bike than the insurance will cost more, and so once again you would have paid the cost of the bike in premiums over an estimated 10 year period.

    So that's why I wouldn't buy the insurance rider...unless I was always getting my bike stolen then I would probably buy it.
  • navrig2
    navrig2 Posts: 1,851
    edited March 2020
    froze said:



    So that's why I wouldn't buy the insurance rider...unless I was always getting my bike stolen then I would probably buy it.

    If that were the case then you would have to declare the previous losses (and claims) and/or your postcode would be marked as very high risk. In which case your rider premium would be increased and you would pay more than the cost of the bike in fewer years.

    Insurance companies are ignorant but they are not stupid.
  • I had house insurance which covered my bike. Luckily so. Fondriest TF0 frame broke at the seatstay and drop out. There was no apparent reason for this, didn't hit anything so just bad luck. Saga house insurance paid out in full within 10 days and did not load the renewal when the time came. 1st class service. Glad I had it.
  • Forgot to say, annual premium £200.00. Covered house contents and bike plus some of wife's jewellery. Premium guaranteed for 3 years. They even covered a week in Majorca at no extra charge.
  • dannbodge
    dannbodge Posts: 1,152
    I've got a claim going into Bikmo at the moment.
    Had an incident with another cyclist and so far the list is:
    Shifter
    Saddle
    Helmet
    Glasses
    Bar tape
    Cables
    Carbon handlebars
    And possibly front fork and frame.

    I'll see how it goes. Unless the frame is a definite write off then I've got to wait for Covid to be over before I can get it inspected/repaired 😭

    My LBS reckon that if the frame is written off (2017 Tarmac SL4) then specialized probably won't have another, so I'll end up with a SL6, but the I need new wheels and groupset because they are all disc now......
  • I'm with topic poster on how much insurance is given the costs involved, but then it's insurance and the whole industry is a joke.

    But on topic I have ETA, and they are expensive but I don't know any other insurer that does old for new, or will actually give you a cheque threw door for the value of your bike, I've claimed and they paid.

    Still it's expensive but then I'd rather pay for that then a silly mobile phone contract so swings and roundabouts
  • I had it to secure my 'town bikes' which are a higher risk of theft, I needed contents insurance so wrapped it all up with PedalCover. As it happens my bikes did get stolen but AXA, the underwriter, refused to pay out as they weren't not locked to a sufficient point despite the fact that the thieves cut MY lock to get to the bikes. PedalCover did SFA and didn't care at all. I have chased this through the ombudsman and they have recently come back with a final decision to back my decision and AXA are now looking into the value of the claim, 18 months after the theft. Given my experience, I think I'm gonna go to "self insure" route and I'm not touching pedal cover with a barge pole.

    Was considering them myself but I don't think I'll bother now.
  • pblakeney
    pblakeney Posts: 26,533
    I did a price comparison for full house and contents and all extras worldwide including bikes. Turns out Halifax gave a very, very competitive quote and cover. Less than £200 for the lot.
    The above may be fact, or fiction, I may be serious, I may be jesting.
    I am not sure. You have no chance.
    Veronese68 wrote:
    PB is the most sensible person on here.
  • Charlie_Croker
    Charlie_Croker Posts: 1,723
    pblakeney said:

    I did a price comparison for full house and contents and all extras worldwide including bikes. Turns out Halifax gave a very, very competitive quote and cover. Less than £200 for the lot.

    That looks impressive, I'll have to investigate…
  • mr_eddy
    mr_eddy Posts: 830
    edited May 2020
    I think its a very reasonable cost - I have a £2k bike and a £500 bike, I insure the expensive bike on its own policy for £9 a month , For this I get like old for new or similar as well as £30 excess, Theft from house and workplace and hijack cover so if someone holds me up at knifepoint etc then I am covered. On top of that I get £150k liability cover and personal injury insurance. Seems like a no brainer to me!

    The cheap bike I just leave on house insurance and except the fact that I will probably only get £300 back if it gets stolen.

    Normally you have to ensure you have the right locks i.e. Sold Secure Silver and at least 2 types etc.

    That being said I NEVER leave my nice bike outside unattended not even for a quick shop stop.
  • dannbodge
    dannbodge Posts: 1,152
    dannbodge said:

    I've got a claim going into Bikmo at the moment.
    Had an incident with another cyclist and so far the list is:
    Shifter
    Saddle
    Helmet
    Glasses
    Bar tape
    Cables
    Carbon handlebars
    And possibly front fork and frame.

    I'll see how it goes. Unless the frame is a definite write off then I've got to wait for Covid to be over before I can get it inspected/repaired 😭

    My LBS reckon that if the frame is written off (2017 Tarmac SL4) then specialized probably won't have another, so I'll end up with a SL6, but the I need new wheels and groupset because they are all disc now......

    Update to this. LBS inspected and spoke to specialized. Who advised to write it off so it got written off. Insurance agreed without needing extra investigation etc.

    Ended up with a £4550 payout to cover costs of a new equivalent bike, carbon clinchers, carbon bars, saddle, bar tape, helmet and glasses.

    Ended up getting a cash payment and put it towards an upgrade.

    Shame my payments will go up to over £50 a month once my new bike arrives (S-Works Tarmac on Dura ace)

    Well worth the money imo
  • steve1978
    steve1978 Posts: 30
    I have always used Pedal sure for my cover, I have been paying about £400 a year for 2 bikes, bikes valued at about 4k total.

    Today I called my home insurer (Halifax), I asked them if they could insure my bikes for me as, both bikes are now covered at home and away from home, both theft and accidental damage (accident etc) and the best bit, is my premium has gone up by .... £25 a year.
  • pblakeney
    pblakeney Posts: 26,533
    Yup! Halifax have come up trumps.
    We need someone to make a claim to find out how really good they are though.
    The above may be fact, or fiction, I may be serious, I may be jesting.
    I am not sure. You have no chance.
    Veronese68 wrote:
    PB is the most sensible person on here.
  • pilot_pete
    pilot_pete Posts: 2,120
    I’m with Pedal Cover, because I’ve got two bikes valued at £10k each, plus £4K of other bikes. Covered at home, out riding, UK and abroad for accidental damage, theft including all accessories and kit - from clothing, shoes, helmet, sunglasses to Garmin, lights, everything. Also covered in transit - so when I take a bike away on a flight or train etc.

    The cover also includes house buildings and contents, for about £200 pa more than we were previously paying just for house insurance. I also pay about £20pa for an excess policy - this means it covers any excess on ANY insurance policy I have. So now I take a high excess for my car insurance to get the price nice and low and the excess is covered if I have to claim. Same with the bike insurance. It also covers pet policies etc etc.

    You do have to read the small print, like any insurance, and I’m sure they will use any loophole to attempt to avoid paying out when you claim, but ce la vie.

    You do get 3rd party cover as well, but I am also a BC member so that’s covered along with the legal support. I’m happy with all the cover bearing in mind the value of all our bikes....

    PP
  • pblakeney
    pblakeney Posts: 26,533
    Pete, I was with PC too but decided to do a comparison at renewal time.
    I was very, very surprised in a good way with Halifax. I suggest you give it a go.
    Also, the excess changes only made an insignificant difference, for me.
    The above may be fact, or fiction, I may be serious, I may be jesting.
    I am not sure. You have no chance.
    Veronese68 wrote:
    PB is the most sensible person on here.