I am often asked; “Does it pay to shop around for the best deal on motorcycle insurance”?
I decided to do some motorcycle accident insurance rates investigation, comparing my insurance costs against three of the leading motorcycle insurance carriers in Pennsylvania and New Jersey; Rider, GEICO and Progressive.
I gave all of my information to these companies and requested quotes for two coverage amounts;
- the minimum amounts required; and
- the amounts which I currently have, 250/500 in liability and 250/500 in uninsured and underinsured motorist benefits.
The results were as follows (In 2012):
- Rider quoted $272 a year for the 250/500 level, which was the least expensive quote for this amount of coverage. At 15/30, Rider quoted $185 but it included 15/30 in uninsured and underinsured motorist coverage.
What I found most interesting, was that the difference in coverage (15k v 250K) is extraordinary, however the price difference was under $100 a year.
- GEICO quoted $515 a year for the 250/500 level, and $136 a year for the state minimum but did not include any uninsured or underinsured motorist coverage.
- The next carrier was Progressive. Their results were presented in a slightly different fashion.
When I put in the 250/500 amounts, Progressive not only quoted me the price for those coverages, but also gave me the option to purchase three lesser amounts beginning with the minimum coverage. Progressive ranged from $75 to $590 per year.
When requesting quotes from Progressive, the website is designed in a manner that seems to suggest that purchasing uninsured/underinsured motorist coverage is not really important, as they fill in these option boxes with the words “No Coverage”.
This led me to believe that many people will simply skip over the uninsured and underinsured coverages and leave the defaulted “No Coverage” selection on their insurance application.
Additionally, although offering four separate choices, the only item that really changed was the amount of liability coverage with the exception of package number three which rose to $314 a year; that one did include some uninsured motorists coverage, but did not include any underinsured motorists coverage.
The coverage I have through State Farm at the 250/500 level, runs approximately $580 a year, pretty much in line with the quotes I received from GEICO and Progressive.
Although it appears that Rider is the most competitive in price, I choose to go with State Farm because only State Farm allows me to “stack” the uninsured and underinsured motorist coverage on my motorcycle on top of my other vehicles – effectively giving me 1,000,000/2,000,000 in um/uim coverage.
To me, this option is invaluable and worth the increased premium.
Most importantly, I learned that you must be very careful when buying your insurance on-line as there are many questions and you must make your selections very carefully.
Additionally, once you receive confirmation of your choices, print it out, and confirm every choice you made. If you are not sure as to the coverages, please feel free to call me at 888-292-5352 and I will be happy to discuss the coverage choices.
Don’t Blindly Trust Advertising
Last night I saw a somewhat shocking ad by Allstate. The ad showed several motorcycles accidents in progress and the tag line went something like “motorcycles don’t crash on their own, make sure you are protected” or something to that effect.
Allstate then indicated that they sell motorcycle policies for as little as $100. Obviously it is an attempt to grab your attention and convince you to buy your insurance from Allstate.
However, be forewarned, I can almost guarantee that the amount quoted is for a bare minimum policy which, contrary to what the commercial seems to indicate, will not provide any real protection.
It will merely allow you to legally operate your motorcycle. Keep in mind that with insurance, like everything else, you get what you pay for! The less you pay, the less you get.
So, Does it pay to shop around for the best deal on motorcycle insurance?
Yes, it does pay to compare prices, just be sure you know what you are buying, and that you are comparing apples to apples!
I hope this answers this commonly asked question. If you would like additional information on this topic, or any other, Pennsylvania motorcycle accident lawyer Lee D. Gaber, can always be reached at 888-292-5352 (1-888-CYCLE-LAW) for a free consultation.