2nd bike insurance | GTAMotorcycle.com

2nd bike insurance

MarioRRR

Well-known member
Hi Everyone,

I am not sure if I am repeating this topic:

I am thinking to insure 2nd motorcycle. Is it possible to insure it for short period of time and cancel it after 1-2 months? I will still keep my 1st motorcycle all year around to have continues record. If possible, is it going to affect my record?
Thanks for any suggestions.
 

GreyGhost

Well-known member
Site Supporter
It may cost more than you expect (maybe up to 40% of your yearly premium) but otherwise I don't see a downside. Have fun and ride safe.
 

MarioRRR

Well-known member
It may cost more than you expect (maybe up to 40% of your yearly premium) but otherwise I don't see a downside. Have fun and ride safe.
I checked already and second bike cost is additional $100/month.
Can you explain 40% increase methodology?
 

GreyGhost

Well-known member
Site Supporter
I checked already and second bike cost is additional $100/month.
Can you explain 40% increase methodology?
In Ontario, summer months cost more than off-season months (IIRC up to ~15% of yearly premium for each of July and August). The 100/mo may actually be 1200/yr so if you cancelled in two months you would have used up $400 and paid $200 so you would owe another $200. There can also be a penalty for minimum retained premium as they need to collect enough money to cover the admin for starting the policy. I am not sure what level that triggers at (eg. is minimum retained premium 10% or 50% of the yearly policy) nor am I sure how that is affected by multiple vehicles on the same policy.
 

Evoex

The God
Site Supporter
Will not effect your record, may not save that much vs just keeping it insured.
 

Trials

Well-known member
I checked already and second bike cost is additional $100/month.
Can you explain 40% increase methodology?
Nobody can explain motorcycle increase methodology,
there is no logic applied.
2 street bikes has always cost me twice as much, ymmv.
 

MarioRRR

Well-known member
In Ontario, summer months cost more than off-season months (IIRC up to ~15% of yearly premium for each of July and August). The 100/mo may actually be 1200/yr so if you cancelled in two months you would have used up $400 and paid $200 so you would owe another $200. There can also be a penalty for minimum retained premium as they need to collect enough money to cover the admin for starting the policy. I am not sure what level that triggers at (eg. is minimum retained premium 10% or 50% of the yearly policy) nor am I sure how that is affected by multiple vehicles on the same policy.
Let’s say I will insure 2nd bike for a month and sell it without 2 months. Cancel second bike policy.
That shouldn’t cost me more than 2 months pay, theoretically.

Because will keep another bike insured that shouldn’t affect my policy. That’s what I understand. Correct me if I am wrong.
 

Evoex

The God
Site Supporter
Let’s say I will insure 2nd bike for a month and sell it without 2 months. Cancel second bike policy.
That shouldn’t cost me more than 2 months pay, theoretically.

Because will keep another bike insured that shouldn’t affect my policy. That’s what I understand. Correct me if I am wrong.
The premium charges could cost more, some companies charge you extra for cancelling, on top of however they weighted the summer riding months. Ask the insurer.

Correct, as long as you keep 1 bike insured you will maintain your insurance record.
 

MarioRRR

Well-known member
The premium charges could cost more, some companies charge you extra for cancelling, on top of however they weighted the summer riding months. Ask the insurer.

Correct, as long as you keep 1 bike insured you will maintain your insurance record.
Everything is getting expensive those days.
Even car insurance increased by 30% because they can!
 

Trials

Well-known member
"weighted the summer riding months" :LOL: That is such a crock of **** insurance sales pitch it is beyond ridiculous, they won't sell you the insurance seasonally and when you say the rates are excessive for a seasonal use vehicle, that's the kind of justification they give you; we are already giving you a discount for the winter months in Ontario, B.S. if you don't offer the insurance seasonally, the rate weighting theory can never be disputed or substantiated.
 

Relax

Well-known member
Nobody can explain motorcycle increase methodology,
there is no logic applied.
2 street bikes has always cost me twice as much, ymmv.
Well here's something I learned today - Desjardins quoted me $700/yr to insure one bike if I were to replace the existing bike on my policy. But if I want to insure both, the new bike's premium goes up by $200! WTF? My agent couldn't explain it.
 

PrivatePilot

Ironus Butticus
Site Supporter
"weighted the summer riding months" :LOL: That is such a crock of **** insurance sales pitch it is beyond ridiculous,
Insurers used to write 6 month summer motorcycle policies.

Not surprisingly the monthly payments were pretty much twice as much as those who had 12 month policies because it's no surprise to anyone (particularly the underwriters) that most motorcyclists only use their bikes for 6 of every 12 months. For the fair weather crowd, perhaps even less.

Insurers discovered people liked smaller monthly payments so now most MC policies are 12 month terms even if you only ride them for 6...so the payments are lower. But it doesn't change how they're weighted, so they get you in the end of you cancel early on a policy where you haven't already paid in the winter months.

Does that make sense to you?
 

regder

Well-known member
Site Supporter
Nobody can explain motorcycle increase methodology,
there is no logic applied.
2 street bikes has always cost me twice as much, ymmv.
Yup, once insured three bikes simultaneously, cost me regular insurance/bike x3. Maybe got a $50 annual discount for multi-policy, but nothing worth noting.
 

Trials

Well-known member
Insurers used to write 6 month summer motorcycle policies.

Not surprisingly the monthly payments were pretty much twice as much as those who had 12 month policies because it's no surprise to anyone (particularly the underwriters) that most motorcyclists only use their bikes for 6 of every 12 months. For the fair weather crowd, perhaps even less.

Insurers discovered people liked smaller monthly payments so now most MC policies are 12 month terms even if you only ride them for 6...so the payments are lower. But it doesn't change how they're weighted, so they get you in the end of you cancel early on a policy where you haven't already paid in the winter months.

Does that make sense to you?
None at all, never heard of such a policy, was Always told it was full year or nothing when I did ask. Any other option involved a cancellation charge.
But I did ride year round for years regardless of season, and if the rules did change, I would have needed to be asking constantly for the last 49 years.
 

PrivatePilot

Ironus Butticus
Site Supporter
None at all, never heard of such a policy,
It's been probably 20 years since 6 month policies were easily/regularly available.

People used to flip out about the price, so insurers went with the "finance" approach of stretching it out over the 12 month period and prorating by the month. In the end it still costs pretty much the same in the end, but $100/month is more palatable to many versus $200/month.
 

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