V-Twin Forum banner

1 - 20 of 21 Posts

·
The Anti-RUB
Joined
·
1,901 Posts
Discussion Starter #1
My insurance is almost up and have been shopping around to see what other companies rates are etc. Each company asks for your estimated yearly milage, and will adjust your premiums based on your answer. In my case there is a $700 difference between my actual milage (15k) and the minimum (1K miles). So I was wondering, what is preventing me from telling them I only ride 1k/year? Will/can it bight me in the booty if/when I report a claim? Thanks.
 

·
I haven't seen your bird.
Joined
·
8,499 Posts
Originally posted by petrock
In my case there is a $700 difference between my actual milage (15k) and the minimum (1K miles).
A $700 difference? My total insurance bill for a year is about $150 (I suspend all non-riding-related coverage and just keep comprehensive during winter storage). They asked me about my mileage at sign up. It averages around 3K per year.
 

·
Premium Member
Joined
·
4,701 Posts
I've never heard of that before. 1000 milers could be more of a risk because of lack of practice, as oposed to your 15K.

$700 is a lot more than I pay total a year for unknown mileage. Sounds fishy to me.
 

·
<><
Joined
·
3,971 Posts
AAA sends me a statement to sign/return every year, where I report odometer readings. They adjust premiums accordingly.

Will false reporting bite you later? Not unless you have a claim..
 

·
The Anti-RUB
Joined
·
1,901 Posts
Discussion Starter #5
MadCity said:
A $700 difference? My total insurance bill for a year is about $150 (I suspend all non-riding-related coverage and just keep comprehensive during winter storage). They asked me about my mileage at sign up. It averages around 3K per year.
I have full coverage on all my vehicles. I was burned a couple years ago when an uninsured drunk driver hit my parked Honda (A buddy and I ran down the street after the guy and flagged down a cop who arrested him). I didn't have collision, so my insurance company at the time (Progressive) denied my claim and I had to take the guy to court. Three years later, he is still making payments to me each month. To avoid going through that again, I have full coverage. Plus I live in CA (year round riding season), so my bike is a daily driver (except for when it rains) and hasn't sat for more then a week without me riding it.

Note: I have two bikes (Harley and a Honda) so my premium is inflated slightly due to that. Most of my premium is because I have a (new) Harley.

hdmarsh77 said:
I've never heard of that before. 1000 milers could be more of a risk because of lack of practice, as oposed to your 15K.
The way I understand it is you have a higher probability of an accident the longer the amount of time you are on the road. 15k miles vs 1k miles is alot of time. In other words, you have a higher probability of getting at least 1 bulls-eye if you shoot 100 rounds then you do if you only shoot 1.

They do also take how many years you've been riding (licensed) into account. 5 years in my case.

hdmarsh77 said:
$700 is a lot more than I pay total a year for unknown mileage. Sounds fishy to me.
Every major insurance company does the same thing. I tried Geico, Progressive, All State, AAA and State Farm. All gave drastically different quotes for policies where only annual milage was different.
 

·
Premium Member
Joined
·
323 Posts
I couldn't imagine driving only 3K miles per year. My average is just under 3K per month but then again, I still live in Florida (for the time being).
 

·
Registered
Joined
·
161 Posts
petrock said:
I have full coverage on all my vehicles. I was burned a couple years ago when an uninsured drunk driver hit my parked Honda (A buddy and I ran down the street after the guy and flagged down a cop who arrested him). I didn't have collision, so my insurance company at the time (Progressive) denied my claim and I had to take the guy to court. Three years later, he is still making payments to me each month. To avoid going through that again, I have full coverage. Plus I live in CA (year round riding season), so my bike is a daily driver (except for when it rains) and hasn't sat for more then a week without me riding it.

Note: I have two bikes (Harley and a Honda) so my premium is inflated slightly due to that. Most of my premium is because I have a (new) Harley.


The way I understand it is you have a higher probability of an accident the longer the amount of time you are on the road. 15k miles vs 1k miles is alot of time. In other words, you have a higher probability of getting at least 1 bulls-eye if you shoot 100 rounds then you do if you only shoot 1.

They do also take how many years you've been riding (licensed) into account. 5 years in my case.


Every major insurance company does the same thing. I tried Geico, Progressive, All State, AAA and State Farm. All gave drastically different quotes for policies where only annual milage was different.

That's strange. I have Allstate for all my vehicles (6 motorcycles/$588) and they have NEVER asked about mileage.
 

·
Premium Member
Joined
·
5,217 Posts
E-gawd :hmmm: , I only pay 243.00 anually for full coverage on my bike. My insurance company automatically removes collision on the policy from 12/1 to 4/1 but leaves everything else (comprehensive, theft) while it's stored for the winter.
Check with Dairyland, thats who I use. They will even cover an older bike for more then book provided it is documented and pre approved. My agent has me keep receipts for goodies, and asks for a picture every now and then for the file.
 

·
Registered
Joined
·
13,064 Posts
In Ca, I haven't seen less than 1 yr at a time insurance for motorcycles. it might exist, but I haven't seen it. The company's reasoning is that a motorcycle is that it is an RV and you pay a yearly rate if you want coverage. They don't want to write 2 mo coverage every other year while you take (the) summer trip.
 

·
Registered
Joined
·
679 Posts
petrock said:
So I was wondering, what is preventing me from telling them I only ride 1k/year? Will/can it bight me in the booty if/when I report a claim? Thanks.
Being honest comes to mind.
 

·
Ironbutt
Joined
·
7,415 Posts
petrock said:
My insurance is almost up and have been shopping around to see what other companies rates are etc. Each company asks for your estimated yearly milage, and will adjust your premiums based on your answer. In my case there is a $700 difference between my actual milage (15k) and the minimum (1K miles). So I was wondering, what is preventing me from telling them I only ride 1k/year? Will/can it bight me in the booty if/when I report a claim? Thanks.
Insurance is a big rip-off - the $700 difference is just one example, so I feel no guilt by being less than honest with them. So, the real question is can understating your mileage affect a claim. I seriously doubt they ever investigate mileage descrepancies in conjunction with claims, but i can't say for certain they don't. Personally, for $700 i would probably roll the dice and take a chance.
 

·
Registered
Joined
·
122 Posts
I put nearly 30,000 miles a year on my bike. It is fully insured year round. Been screwed when I had the state min. coverage for Ohio. Planned on adding a dresser to the stable two years but had to buy a new car instead because my son totaled one of the cars (which are all paid off except for the new one now) and insurance didn't cover replacement. Fortunately he wasn't hurt in the single car accident. Although they have never asked to verify mileage yearly, they do know the mileage on the bike when I signed up. They had three choices to pick from and I marked down the highest milage per year. I did turn in a claim last year, had an accident put the bike down when I hit a patch of ice. I actually had the work already done but didn't realize it was going to cost so much. Called my agent, he said no problem send the invoice and they would take care of it. And they did, basically no questions asked. I am on the road too much with too many idiot cagers with way too many close calls.
 

·
Premium Member
Joined
·
1,744 Posts
miles to go said:
Insurance is a big rip off - the $700 difference is just one example, so I feel no guilt by being less than honest with them.until you need it- so its ok to lie to get a discount think thats called fraud So, the real question is can understating your mileage affect a claim. I seriously doubt they ever investigate mileage descrepancies in conjunction with claims, but i can't say for certain they don't. Personally, for $700 i would probably roll the dice and take a chance.

If there is a discrepancy in mileage like say 3 year old bike with 30k on it and you say you drive it a couple thousand a years.They can and will investigate the mileage and if you misrepresent the actual mileage per year they can either deny a claim (unlikely) pay the claim and drop you mid term for misrepresentation of a material fact (more likely) or bill you for the correct rate(most likely). 1k per year would put you in what is called a short rate usually no more than 7500 per year you get a discounted rate. The reason is that you are less likely to be in an accident if you drive less – law of numbers.


Even if you don’t have a claim they can request documentation that the bike is driven 1k or so miles per year. Dealer oil change reciepts – repair orders and state inspections are commonly used.
 

·
Premium Member
Joined
·
397 Posts
I'm with Progressive Insurance down here. My agent has never asked me for yearly riding mileage -- hell we're in the southwest with year round riding weather! Had Dairyland in Pennsylvania. No mention of mileage on motorcycles, either.

Just to stray off the subject a bit -- someone mentioned AAA Insurance. Since AAA actively lobbies for full helmet law in every state, they pay a shill to attend legislative public hearings, THAT insurance company would LAST on my list for car or motorcycle Insurance.
 

·
Premium Member
Joined
·
1,517 Posts
In the almost 20 years I've lived where I do, I've had the same insurance company. Have never been asked about mileage, ever. The only question I get is "what did it cost?" Five vehicles insured including two Harleys, only one vehicle, a 92 Dodge, does not have full coverage year round.
The Harleys are a 92 and an 02 and average $300 a year each. The most expensive is that old 92 Dodge and the insurance company's reason is that if I hit anything, I'll destroy it (dropped the full coverage when it turned over 200,000 miles).
I'd sure do a lot of checking if I were going to a new company. I've checked over the years just to see if my agent is "honest" and other companies are just stupid sometimes. I've been quoted $750 each for the bikes....
Good luck!
 

·
Nice to ride again :-)
Joined
·
1,802 Posts
Don't you guys have to fill in mileage on your registration every year? If so don't see how you could lie and get away with it. Insurance company's have full access to Department of Transportation records. Most pull them once a year for renewals. Also mileage is recorded on Inspection stickers. I never was asked mileage by my insurance company in all these years.
 

·
Ironbutt
Joined
·
7,415 Posts
LAF said:
Don't you guys have to fill in mileage on your registration every year? If so don't see how you could lie and get away with it. Insurance company's have full access to Department of Transportation records. Most pull them once a year for renewals. Also mileage is recorded on Inspection stickers. I never was asked mileage by my insurance company in all these years.
No inspection in IL and NO to the mileage on registration question. I have Allstate insurance. They ask approx annual mileage when setting up coverage initially - nothing after that. Verifying annual mileage estimates would be a huge additional workload for these companies. It's probably not worth their time (which equals money) to do so.
 

·
03 Heritage
Joined
·
491 Posts
I have formost insurance. When I got the insurance I had no idea that I would be riding 10K - 12K (fell in love with my bike). I recently told them I was riding more the recreational use we insured my bike for (3k miles), they told me in North Carolina it doesn't matter. Rates do not vary by miles driven per year in N.C. In context, I think the agent was talking about ALL insurance companies doing business in N.C., not just formost, but I could be wrong.
 

·
Rider
Joined
·
848 Posts
rtb said:
I have formost insurance. When I got the insurance I had no idea that I would be riding 10K - 12K (fell in love with my bike). I recently told them I was riding more the recreational use we insured my bike for (3k miles), they told me in North Carolina it doesn't matter. Rates do not vary by miles driven per year in N.C. In context, I think the agent was talking about ALL insurance companies doing business in N.C., not just formost, but I could be wrong.

You're right. North Carolina has the NC Rate Bureau which controls policy forms and rates. A company would have to make a filing and have it approved by the Rate Bureau to be able to charge by the mile. A company can ask you how many annual miles for underwriting purposes but not for rating purposes.
 

·
Registered
Joined
·
2,765 Posts
I have Formost on my bike and have never been asked miliage. But I have AAA on my truck and they send me a form every year to fill in the miliage.
 
1 - 20 of 21 Posts
Top