Bicycle insurance. Is it worth it? Expensive? Any suggested insurance providers (I’m in California)?
Never had it before, but took plunge and upgraded road bike. It was expensive. Thinking now might be the time to get coverage.
Thanks
No. Coming from a former officer at one of the world’s largest insurance companies. Never buy any consumer product insurance/extended warranty. Bike insurance included.
Last time I looked, there’s a company called Velosurance (pretty sure it’s just a regular insurance company with a particular product for recreational cyclist).
I went through the process. If the bike is selected as being used for competition, annual premium is ~7.5% of purchase price of bike. If the bike is indicated as used for fitness only, it is ~3.5%. I should note that both is less expensive than the quote for specific coverage riders I received from my insurance company (Geico), and the annual premium for those riders are at 10% of cost. In other words, the rider from Geico is even worse.
My renter’s insurance covers for theft of my bikes (with a $500 deductible) and pays out at full-replacement value (as opposed to residual). For that, I pay ~$150/year.
The base level insurance offered by Velosurance really doesn’t do anything for me, and it is of “value” only for those not paying home owner’s or renter’s insurance. If I want to insure my least expensive bike for crashes during competition, I need to fork out $210/yr for that privilege. Granted, cheaper than paying $280/yr, but this is in the territory of where self-insuring would be cheaper in the long term.
I got Velosurance before we went to Punta Cana in case something happened and I didn’t cancel the plan when we got home. I ended up crashing and breaking my bike not long ago and they paid me out after giving me to option for a costly repair or to be paid out. I will absolutely be a returning customer when I get a replacement.
I got specific bike insurance riders on my homeowners insurance for my TT and Road bike
I stupidly ran my beloved cannondale super six evo2 hm team (the ugly green one) into a parking garage roof and destroyed it
I called my insurance guys and asked if my homeowners would cover it. He reminded me I had bought the insurance. I said it was my fault though. He said that’s what insurance is for. They replaced the entire bike with a new one
It cost I think 140/ yr for both bikes
You may not be as dumb as me though so you may not need it but I certainly was glad I had it
I got specific bike insurance riders on my homeowners insurance for my TT and Road bike
I stupidly ran my beloved cannondale super six evo2 hm team (the ugly green one) into a parking garage roof and destroyed it
I called my insurance guys and asked if my homeowners would cover it. He reminded me I had bought the insurance. I said it was my fault though. He said that’s what insurance is for. They replaced the entire bike with a new one
It cost I think 140/ yr for both bikes
You may not be as dumb as me though so you may not need it but I certainly was glad I had it
Wouldn’t your auto insurance cover that?
I got specific bike insurance riders on my homeowners insurance for my TT and Road bike
I stupidly ran my beloved cannondale super six evo2 hm team (the ugly green one) into a parking garage roof and destroyed it
I called my insurance guys and asked if my homeowners would cover it. He reminded me I had bought the insurance. I said it was my fault though. He said that’s what insurance is for. They replaced the entire bike with a new one
It cost I think 140/ yr for both bikes
You may not be as dumb as me though so you may not need it but I certainly was glad I had it
Wouldn’t your auto insurance cover that?
I don’t know. The bike was in top rack. The bike insurance did though
Did you buy an extended warranty on your car?
No. Do you think that’s equivalent to insuring my bike?
Yes.
If you can afford a replacement, you’re financially better off without insurance on average. Insurance companies make money, and a good percentage on something like a bike.
For some people the peace of mind is worth the extra cost to get insurance. For others, the hassle of making a claim overrides any peace of mind.
The basic rule is that you don’t buy insurance for anything you can afford to cover yourself. I can afford my bike, so I don’t have insurance on it. Insurance is never a “good buy.” Sort of like gambling at a casino . . .statistically you can’t win. And, just because you do doesn’t mean it was a wise financial decision.
~$12k bike was about $600 a year with Veloinsurance.
It’s about $300 a year with current homeowner’s policy (with with a $1k deductible).
I felt it was worth it, so I went for it. Some peace of mind. Depends on your risk tolerance.
Seems like the insurance company thinks I have less than a 3% chance of totaling my bike per year (300/11000 = 2.7%). I think they have more confidence in my triathlete bike handling skills than I do…
Interesting perspectives. Regarding never buying insurance, in general I’d rather have too much than not enough. The bike in question that led me to consider insurance was very pricey, far more than I’ve ever spent on a bike. Been years since I’ve had a new bike, so thought I’d consider my options.