Are you a keen motorcyclist and want to get life insurance? Are you wondering whether your family will receive a payout if you have an accident and the worst happens?
According to the Insurance Information Institute, in the event of a traffic accident, fatality in motorbike riders is 29 times higher than for passenger car occupants. It is both a worrying statistic and a solid reason to doubt that insurance companies might turn down your application for life coverage.
So, do insurance companies offer life coverage to motorbike riders? The answer is yes. Life insurance companies offer coverage for motorbike riders. But it depends on the circumstances in which you ride.
Read on and learn more about life insurance cover for motorbike riders and the conditions which could cause the insurer to decline.
Life insurance coverage for motorbike riding
Fortunately, enjoying a ride on your motorbike over the weekend or using it as a means to commute does not compromise your life insurance plans. Neither does it automatically push your risk level to higher life insurance premium rates.
Riding your motorbike is just like any other hobby or commute. It bears its risks, but there is no foregone conclusion to disqualify you or push your premium rates up.
As long as you observe safety precautions and are keen on the traffic rules, you can get an excellent life insurance policy.
Make sure you include the appropriate riders and ensure the policy meets your goals. Consider including an accidental death rider, waiver of premium rider, and family income benefit rider (if you are a breadwinner).
Circumstances that could shift the insurer’s position
The only condition that can cause an insurer to change position about a motorbike rider’s life coverage is how you ride the motorbike.
Do you engage in riding competitions?
If the answer is a yes, the insurer can withdraw the offer for life coverage or change the terms. They will most likely offer a different product tailored for sports. It does not matter whether you are an amateur or professional. As long as you actively ride a motorbike in competitions or as a sport, insurers will not look at you as an ordinary or casual rider.
Thus participating in motocross races, speedway races, drag racing, ice racing, hill climbs, or any other type of motorcycle competition calls for a higher review. It does not automatically disqualify you from getting life coverage. However, you will not be eligible for an ordinary policy.
Wondering why? Motorcycle competitions are considered a type of extreme sport. Studies have revealed that participating in high-risk sports such as motocross races exposes you to severe head and spine injuries. Chances of fatality are also high. This is despite the sustained and proper use of special safety gear.
If you do not ride competitively, insurers will be more than happy to offer life coverage. Although motorbike riding has a high risk of fatality, underwriters consider casual use as an ordinary risk. What matters is how you ride, how often you are on the road, and whether you are keen on safety. Protecting yourself on a motorbike is not only important for you, but also for insurers.
If you are not a pro-biker, the insurer will treat you as an ordinary customer. So, expect to answer questions about:
- Your health.
- Your age.
- Your driving record.
Your age and health status are pretty straightforward. The younger you are, the lower the premium. The healthier you are (without any long term ailments or conditions), the lower the premium. Habits that significantly affect your health, such as consuming tobacco, will also affect your life coverage.
Your driving record, which is entirely in your hands, also matters a lot. If you are an irresponsible rider, you could face a higher premium. Insurance companies can access your driving record and use it to determine the risk, thus the rate.
The questions below can help you know what the insurance company will be checking:
- Do you have any DUI or DWI citations?
- Do you have traffic violations in your record?
- Have you ever been at fault in traffic accidents?
Also, check the frequency of citations and how long ago they happened. Each yes response, a high frequency, or recent endorsement is likely to increase your premium.
Motorbike riding and life insurance cover – the bottom line
Only when you participate in competitive motorbike sports (as a professional or amateur) could it affect your application for life coverage. If you are a casual rider, enjoying your motorbike might not affect your application. However, your behaviour while on the road can have some consequences.
Avoid high premiums by observing safety guidelines like wearing a helmet (no matter the jurisdiction), obeying traffic laws, and not riding under the influence. In addition, work with an insurance advisor to compare market rates. Make sure you include appropriate riders so that the life policy meets your objectives.
