Buying a motorcycle is an exciting decision, but before you put down that deposit, there’s one important step you shouldn’t skip, and that is getting an insurance quote. Many riders are surprised to find that insurance premiums can vary drastically based on several factors. Understanding these differences before committing to a bike can save you from unexpected costs and financial headaches. Please ignore what the seller, your neighbour, your friend, etc. has to say about what insurance “May” cost. Simply call a broker and shop around to get an idea.
What Affects Motorcycle Insurance Rates?
Motorcycle insurance isn’t one-size-fits-all. Several factors determine your premium, some of the major factors are:
- Location – Where you live plays a big role. Urban areas with higher theft and accident rates generally have higher premiums than rural locations.
- Age and Experience – Younger riders and those with less experience tend to pay more, while seasoned riders with a clean record usually get better rates. It still depends on when they acquired their license.
- License Class – Having an M2 license versus an M license can significantly impact your premium. Fully licensed riders often see lower costs.
- Class of Bike – A sportbike will almost always cost more to insure than a cruiser or touring bike, even if they have similar engine sizes. Insurance companies consider the horsepower, theft risk, safety, and repair costs.
- Convictions – That “minor” speeding or moving violation ticket you received on your vehicle has an impact on your motorcycle insurance as well!
- Accident Benefit – This mandatory coverage is included in every policy. However, the cost of standard accident benefit coverage differs depending on the bike. Ever wondered how much worse an accident could be on a bike that goes 0-100 km/h in 3 seconds vs one that takes 10 sec?
The Costly Mistake of Not Checking Insurance First
Imagine putting down a deposit on your dream bike, only to find out later that the insurance is double what you expected—or even worse, that no company will insure you at a reasonable rate. This happens more often than you think. Some motorcycles, especially high-performance or rare models, may come with sky-high insurance costs that make ownership impractical.
How to Avoid Insurance Surprises
Before you commit to buying a motorcycle, follow these steps:
- Get a Quote First – Call an insurance broker or use online tools to get an estimate based on your personal details and the bike you’re considering.
- Compare Different Models – If one bike’s insurance is too high, look into similar models that might be cheaper to insure. Ask the insurance agent if they can offer some help and give you a few recommendations.
- Consider Upgrading Your License – Moving from an M2 to an M can lower your premium. In some cases, it’ll be right away, and in other cases, it may only happen upon your renewal. It may be worth completing the necessary steps before purchasing a bike.
- Ask About Discounts – Some insurers offer lower rates for safety courses, multi-bike policies, or bundling with auto/home insurance.
Motorcycle insurance premiums can be unpredictable, but you can avoid surprises by getting a quote before buying. Whether it’s your first bike or an upgrade, knowing what to expect in terms of insurance costs will help you make a more informed decision. A little planning can save you money instead of forcing you to sell the bike you just purchased, just because you can’t afford the insurance. We’ve seen premiums around $20,000 per year!! Do your research!
