So what’s the spin on bicycle insurance?

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Considering bicycle insurance? It’s not a bad idea. Your bike is your baby, so it makes sense to want to protect it.

The first place to start your bike insurance journey is to check what coverage you might already have through your home or renters insurance. Many people aren’t aware those policies often cover bikes to some extent – but the extent can vary greatly.

Are you already covered?

Bicycles sometimes fall under what’s called ‘special limitations’ in your house insurance, where theft or damage coverage exists but only up to a certain dollar value limit. Some companies will cover replacement costs but only for the fair market value at the time of the theft. Some don’t cover anything. It differs from policy to policy.

Call your home or renters insurance company to find out what’s covered in your current policy. Keep in mind, however, that your insurance company’s goal is to sell you more insurance, so they won’t necessarily be keen to say ‘your current policy has good coverage already’. You’ll need to be proactive and dig into them a little:

Ask your insurance company specific questions

Do I have theft and/or damage coverage?: If so, ask if it only includes incidents from your home or if it includes incidents from anywhere.

Is there a limit on bicycle coverage?: Find out if your current policy has a limit on the amount your insurance policy will cover. This is especially important to know if you have a high-end bike or an e-bike. If it’s low, ask about costs for increasing the coverage.

Does it include accessories and equipment?: You may have additional expensive accessories on your bike such as GPS, high quality lights, and expensive locks. Ask what accessories your policy covers.

Is there a deductible?: Almost all policies have a deductible, meaning a base amount your insurance company won’t pay (ie – if your bike is worth $800 and your deductible is $500, you’ll only receive $300). Check what your deductible is. Also talk to your insurance broker about the effects of raising or lowering your deductible on your monthly premiums. A higher deductible can mean lower monthly rates, so it may be worth it to keep your deductible higher because in the long run it could save you money. Do some calculating.

Will my rates increase if I make a claim?: It is vitally important to find out from your broker whether your rates will increase, and by how much a month, in the event you make a claim. Know this so you can make an informed decision about whether or not it’s worth it to make a claim.

What liability coverage is included?: Find out if your home insurance covers damages if you hit someone or damage property or automobiles when riding your bike.

Does it include any personal injury protection coverage?: In the event you are injured while cycling, is there coverage for lost wages, medications, crutches or other medical aids, etc?

Here is a personal experience regarding theft coverage: My husband and I purchased ebikes and then contacted our insurance company to see if the bikes would be covered by our existing home insurance in the event they were stolen. So the answer was yes…BUT…only for the depreciated value of the bikes at the time of theft. For example, if our bikes were stolen 5 years after we purchased them, our insurance company would only pay out the amount the bikes are worth at that 5 year point (basically what our bikes would be worth on the used market).

If we wanted enough to cover an equivalent new ebike, we’d have to add ‘riders’ to our existing home insurance. If you aren’t familiar with ‘riders’, they are extra coverage for specific items you want to insure. The riders were fairly pricey (hundreds of extra dollars a year per bike), so it wasn’t a cut-and-dried decision. Over 5 years it would add up to thousands of dollars. You need to weigh out your needs against the extra costs.

Less common aspects of bicycle insurance to consider

If your bike habits extend beyond common usages, there are additional types of insurance to consider for these types of situations:

• Worldwide Coverage: Some bicycle insurance policies provide coverage for theft, damage, or liability even when you’re traveling internationally with your bike.
• Participating in events: If you participate in organized cycling events or races, some policies may offer liability coverage for incidents that occur during these events.
• Loss of use: Reimbursement for the cost of renting a bike or alternative transportation while your bike is being repaired or replaced.
• Legal Expenses: In case you need to defend yourself in a lawsuit related to a cycling accident.
• Damage in Transit: Coverage for damage that occurs while transporting your bike, such as during shipping or while attached to a vehicle rack.
• Breakdown Coverage: Protection against mechanical breakdowns or failures that occur outside of typical wear and tear.
• Income replacement: If you are temporarily incapacitated from an accident, coverage to provieance/de funds while you are unable to work.

If any of the above apply to you, ask your home or renters insurance about their coverage.

Dedicated Bike Insurance – USA

So maybe your home or renters insurance doesn’t cover what you need, or maybe you don’t have any home or renters insurance.

In the USA, there are several dedicated bicycle insurance providers. Here are a few:

Velosurance: Covers bikes and e-bikes. Different levels of coverage are available so you can choose a package that’s right for you. Their instant quote feature makes it easy to see prices and options.

BikeInsure: Their very simple pricing (ie – one price for all bikes) makes it easy. Offers coverage for damage (ie – when riding or when transporting your bike), and additional optional theft coverage. Also covers your bike when competing in races. Covers most pedal assist e-bikes as well as all kinds of ‘normal’ non-ebikes.

Sundays: https://sundaysinsurance.com/bicycle-insurance An international company in operation since 2008. Coverage available up to just over $20,000. Optional worldwide travel coverage. They partner with Project 529 bike registry to aid in the recovery of your bike in the event it’s stolen.

Dedicated Bike Insurance – Canada

Pedal Power Bike Insurance

Pedal Power is a company dedicated to just bicycle insurance for pedal bikes including pedal ebikes, and is available for all provinces in Canada except Quebec.

Pedal Power has options for damage and replacement coverage, liability and injury, and also options for income replacement and third party liability coverage related to people and property. They also offer extended coverage for competitive cyclists.

Coverage is available whether you are riding in Canada or the USA mainland. And they offer discounts for some provincial cycling association members.

A very useful feature on their website is their instant online quote function. It’s handy to instantly see costs, and you can easily change the parameters and see the price difference.

Live in Vancouver? Bikehub.ca HUB lifetime members get a 10% discount when purchasing Pedal Power bike insurance. HUB is a non-profit aiming to improve cycling conditions in Metro Vancouver and to get more people cycling.

Our research into Canadian bicycle insurance found limited other sources:

Velosurance:

Many biking articles on the web make it sound like Velosurance is available in Canada, however our research shows otherwise. It is only available in the USA, so don’t bother riding down that road (pardon the pun).

Bicycle Broker:

Although it’s name suggests bicycle insurance and they do deal with bicycle-specific insurance for bike shops, special events, clubs, associations, guides & coaches, they don’t deal with bike-specific insurance for ‘regular’ people. They are, however, providers of home insurance that includes bicycle related coverage (for houses, condos and townhouses), and tenant insurance that highlights bike coverage. If you are considering switching home insurance providers, it’s worth checking out their options.

TD: TD informed us that your bike is usually covered under their home insurance policy, but states that your contents limit needs to be sufficiently high to cover high-end bikes as well as all your other contents if total loss occurs. Extra protection is available: Personal Valuables Coverage or Enhanced Home Coverage (even more coverage and protection). Consider your deductible.

Gallagher Insurance provides insurance for cycling associations and clubs. “Our cycling insurance policies are specifically designed for Participating Provincial Associations (PPA) members, affiliated cycling clubs and members.” https://www.ajg.com/ca/insurance/programs-partnerships/cycling-provincial-collective-insurance-program/

Don’t forget to take some proactive steps to protect your bike such as registering your bike and properly locking it, which you can read more about in our article about bike theft prevention.