Motorcycle insurance is sometimes tricky. Not only do you have to choose the right coverage, but you also have to figure out what type of motorcycle insurance is right for you. You can buy varying types of coverage with different features, including pay-per-mile (PPM) insurance.
Pay per mile insurance is a new option available to riders. Hence, you might have tons of questions about it. In this guide, we’ll go over everything you need to know about it and how it can help you save money.
Definition and Key Features of PPM Coverage
Pay per mile motorcycle insurance enables you to pay for each mile your bike goes. While still saving you money, the coverage adjusts to your riding experience. Unlike other motorcycle insurance policies, pay-per-mile insurance does not require you to pay while your motorbike is inactive in your garage or driveway. This coverage comes with the following features:
- Your insurance might be reduced by up to 60%. You no longer have to be concerned about pocket-draining flat prices because you just pay for the distance traveled each time you ride.
- The monthly rates you pay are modest even during active periods. Each mile traveled is only worth a few cents.
- This policy does not necessitate the installation of any hardware or tracking devices on your motorbike. All you have to do is send in a snapshot of your odometer once a month.
Reasons You Should Consider Pay Per Mile Insurance
If you commute less during the year, pay per mile motorcycle insurance is your best bet. As a low-mileage rider, you:
- Don’t bike during winter
- Seldom travel
- Work more from home and hardly commute
- Only commute with friends
- Take public transportation to work and ride only on weekends
If you belong to one of these groups, you should seek PPM motorcycle insurance, which has the following benefit.
1. Save More Money
A motorcycle insurance policy that can help you save money can come in the form of pay per mile motorcycle insurance. With this type of coverage, you pay an amount based on your mileage and not for the actual value of the bike.
You can also save money since this motorcycle insurance policy helps you lower the price of buying a bike or replacing one in case of theft or a collision.
2. Your Insurance, Your Freedom
You don’t have to give up your driving experience or behavior as PPM insurance only focuses on the miles you cover. Braking, speeding and other factors don’t affect your insurance fee. You could be a hardcore Harley-Davidson® stunt rider or a dispatch rider and still enjoy the best motorcycle insurance.
3. Purchase the Needful
Pay per mile insurance eliminates the hassle of having to pay for unneeded policies that add to your monthly cost, as is the case with traditional motorcycle insurance. It’s so flexible that you can find a policy that fits your lifestyle, needs, and budget, rather than conforming to the industry standards.
4. Get Maximum Protection
If you have ever experienced a motorcycle accident, you know that the cost of the repair is not the only expense. You have to take into account other costs such as lost work time, medical bills, and vehicle replacement.
Your PPM motorcycle insurance coverage could come with personal injury protection coverage, liability insurance coverage, and comprehensive or collision coverage. When you go for PPM insurance, you’ll have a policy that includes coverage for your motorcycle and your liability to another person if you are found at fault for an accident.
This means that if you are involved in an accident with another vehicle, this policy will help you to reduce the cost of your motorcycle repairs and the cost of property damage.
Other Notable Factors
Pay-per-mile insurance offers the same coverage as regular insurance but with more benefits. You don’t have to go through the bogus paperwork that comes with insurance. You can get coverage in as little as five minutes.
Since it provides comprehensive coverage on par with traditional motorcycle insurance, you can get specialized coverages. For example, if your bike requires a special type of insurance, PPM insurance will cover it.
How Much Can You Save?
Pay per mile can be a powerful tool to save money on motorcycle insurance, especially if you don’t cover much distance. For clarity sake, it doesn’t calculate the time spent on the bike, rather it calculates the distance.
For example, you may be trapped in traffic for three hours on a 20-mile drive that would have taken 30 minutes if you were traveling at 40 miles per hour. Your PPM insurance company will only consider the 20 miles driven, not the three hours spent on the road.
If the monthly based rate is $20 and the per-mile rate is 5 cents, you would only pay $21. PPM insurance can save you up to $700 per year on average. You may easily save over $1,000 per year if you travel 800 to 1,000 miles every week.
If you are looking for a motorcycle insurance plan that could save you money, it’s high time you considered pay-per-mile motorcycle insurance. With this insurance coverage, you can enjoy a cheap premium based on the distance you travel on your motorcycle.