Why Are Bikes Cheaper to Insure Than Cars?
The natural assumption that most people make is that insurance on a motorcycle must cost a lot more than insurance on a car. This is actually not true, it is much cheaper to insure a bike than a car. This confuses people since everybody knows that it is more dangerous to ride a bike. So why are bikes cheaper to insure than cars? The answer has to do with who is most in danger when riding motorcycle.
The amount of damage that you can do with a motorcycle is far less than you can do with a car, this is the main reason that bikes are cheaper to insure than cars. For the insurance company the liability coverage is what costs them the most money, say respected Carole Nash Insurance Consultants. The amount they have to pay for damage you did to other people will always be more than the amount they pay for damage you did to yourself. Since a car can do far more damage than a bike the amount that has to be paid out of a car accident is much higher, and that means that drivers pay more for liability coverage than motorcycle riders do.