FRIDAY, APRIL 30, 2021
Your motorcycle insurance policy’s deductible is how much it will cost out of pocket in order to receive compensation from a claim. If you get in an accident worth $2,000 in damage and your deductible is $500, for example, you will have to pay $500 toward repairs before receiving compensation for the remaining $1,500.
Deductibles can vary depending on your needs, however. It is important to consider the cost of your motorcycle insurance and the risk of an accident when deciding on your motorcycle insurance deductible. 
How Much Does Motorcycle Insurance Cost?
Motorcycle insurance premiums vary depending on many factors. Consider the several influences to your motorcycle insurance rates, including:
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Age
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Gender
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Location
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Cost of the motorcycle
These items are all considered as part of your risk factor. Insurance companies consider the possibility that an insured will file a claim. Those who seem more likely to file a claim tend to pay more in insurance. Younger drivers with expensive vehicles and bad credit will pay a lot more in motorcycle insurance than experienced older drivers. With motorcycles, insurance agencies also consider the use of the motorcycle and the expected annual mileage.
On average, motorcycle insurance costs $702 a year. This also depends on the amount of insurance and type of insurance. North Dakota has the lowest motorcycle insurance rates with an average of $382 a year while California has the most expensive at an average of $1,360 per year. Motorcyclists that are 18 years old pay the highest in motorcycle insurance, paying an average of $2,628 a year.
If you have a poor driving record, your insurance premiums increase dramatically depending on the violations you’ve committed.
Changes in Motorcycle Insurance Premiums by Traffic Violation
| Violation |
% Increase in Premiums |
Average $ Increase in Premiums |
| DUI |
80%-100% |
$498+ |
| At-Fault Accident |
40% |
$281 |
| Multiple At-Fault Accidents |
93% |
$652+ |
| Speeding Ticket |
22%-30% |
$301+ |
| Average Increase |
62.25% |
$433 |
Depending on the state, certain violations will only affect insurance premiums for a few years while others remain for a longer period of time. DUIs, for example, tend to remain on someone’s driving record for 10 years or more in Texas.
How to Lower Motorcycle Insurance Premiums
With or without committing traffic violations or being considered a “high-risk” driver, motorcyclists can find ways to save money on motorcycle insurance. Ways you can save money on motorcycle insurance include:
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Searching for discounts, such as motorcycle safety class discounts and multi-policy discounts
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Paying higher deductibles
Each biker is different and has unique needs for their motorcycle. Some need extra coverage for their motorcycle while others may only require the minimum coverage. In Texas, all motorcycles must have:
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Bodily Injury Coverage: $60,000 per accident
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Property Damage Coverage: $25,000
What Part of Motorcycle Insurance Has Deductibles?
Each type of coverage can have its own deductible depending on your needs. Areas of coverage aside from liability that may require a deductible include:
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Comprehensive Coverage: Comprehensive coverage provides compensation for damages to your motorcycle caused by fire, wind, hail, lightning, smoke, theft, vandalism and other incidents not involving collision.
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Collision Coverage: Collision coverage provides compensation for damages to your motorcycle caused by a collision with another vehicle or object.
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Medical Payments Coverage: Medical payments coverage provides compensation for injuries you and your passengers may sustain after an accident, no matter who caused the accident.
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Uninsured/Underinsured Motorist Coverage: This insurance covers damages incurred in an accident involving another driver who is not carrying insurance.
Discounts to Offer Motorcycle Riders
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Safety Course Discounts. There are specific courses for motorcycles that can be completed for an insurance discount.
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Multi-Policy Discounts. If the rider has multiple policies with an insurance agency, they may qualify for a discount.
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Multiple Motorcycle Discounts. A rider may qualify for a discount for insuring multiple motorcycles with the same agency.
Can You Save Money with a Motorcycle Insurance Deductible?
Lowering or raising your deductible can actually affect your monthly premiums. As a rule, a higher deductible has a chance of lowering your monthly premiums. However, this means paying more out of pocket after an accident.
Be sure to consider your budget and coverage needs when it comes to setting your motorcycle insurance deductible. Setting it to high can leave you with an expensive out of pocket cost while setting it too low can affect how much compensation you can receive after a claim.
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