Motorcycle Insurance Deductibles: How to Choose the Right One

A deductible is the amount you pay out of pocket on a claim before your insurer pays the rest. It sounds simple. Then you get a quote with three deductible options, no clear way to choose, and a premium that moves every time you pick a different one. Here is how motorcycle insurance deductibles work and how to choose one that fits the way you ride.

How a motorcycle insurance deductible works

Your deductible applies to comprehensive and collision, the coverages that pay for damage to your own bike. Collision applies when you hit something or go down. Comprehensive applies to things like theft, fire or a tree limb landing on the seat. Liability does not use a deductible, because it pays for damage and injuries you cause to other people.

Say repairs after a low-side crash come to $3,000 and your deductible is $500. You cover the first $500, and your insurer handles the rest under the terms of your policy. Comprehensive and collision can carry separate deductibles, so check both on your declarations page.

Higher deductible or lower deductible

The trade-off is direct. A higher deductible lowers your premium and leaves you with more to pay if you file a claim. A lower deductible raises the premium and shrinks the bill after a claim. Our guide to lowering your motorcycle insurance rate covers the other levers that move price.

Bike value matters too. A claim pays out based on what the bike is worth, minus your deductible. On an older bike worth a few thousand dollars, a low deductible on comprehensive and collision may not be worth paying extra for. On a newer bike, a very high deductible can leave you with a repair bill you did not plan for.

Deductibles and pay per mile

With pay per mile motorcycle insurance, your price is a base rate plus a small charge for each mile you ride. Your deductible is one of the factors in that base rate, just like it is with any other policy. Riding fewer miles and choosing a higher deductible are two separate ways to bring the cost down, and you can use both.

Three questions to pick yours

First, could you pay the deductible tomorrow without stress? If a $1,000 deductible would hurt, choose a lower one. Second, what is the bike worth? The less it is worth, the less a low deductible buys you. Third, do you have a loan? Lenders usually require comprehensive and collision and may set a maximum deductible, so ask before you choose one.

Spend a few minutes on this before you renew or buy. When you are ready to compare options, get a motorcycle insurance quote at voominsurance.com and try a few deductible levels side by side.