One of the biggest fears when getting a new motorcycle is crashing it, or getting it stolen.
If you park your motorcycle outside, the threat of motorcycle theft is even more daunting. Here are the basics of what you need to know about motorcycle insurance coverage and theft.
Can Motorcycle Insurance Cover Theft?
The short answer is absolutely - but not every motorcycle insurance policy covers it.
And, even if you do have coverage that protects against motorcycle theft, you still may only be eligible for partial compensation.
To cover motorcycle theft, you need to have comprehensive motorcycle insurance. Without comprehensive insurance, you're not protected against theft and will be left hanging if someone steals your bike.
What Else Do I Need To Know About Comprehensive Coverage
First off, comprehensive coverage is not required by law. Its someone you get only if you want it (or if its part of your requirements for financing).
Make sure you talk to an insurance agent and read over exactly what your motorcycle policy covers before you get comfortable. Insurance companies make money by NOT paying out on claims, so sometimes the wording on a policy can be purposefully hazy.
Second, know your deductible. Your deductible is what you opt to have taken out of your payout, should you need it. A higher deductible means lower monthly payments, but ultimately a lower payout.
If you have a bike that's worth $10,000 with a $2,000 deductible on your policy, if the bike gets stolen, you can expect an $8,000 payout.
Do I Need To File a Police Report?
Yes, in order to get a payout for theft, in most cases, there needs to be a formal police report filed. If the bike is recovered, you may even have to pay back your insurance company if the bike is in the same condition.
Wrapping It Up
In short, some, but not all, insurance policies cover motorcycle theft. The amount of coverage you get ultimately depends on your policy, so make sure you go over it with an agent and talk about what would happen in different scenarios to see how much coverage you actually have.