Bike insurance or home insurance?

Everybody likes a bargain, but buying the cheapest bicycle insurance can be a false economy. At its most basic, cover will offer only limited protection against theft and may be subject to restrictions that make it ill-suited to the way you use your bike.

For example, if you have house insurance you may find you are offered a rudimentary level of bicycle cover for very little money. While it's tempting to add a bike to your home insurance policy, as it's often the cheapest cover available, it's very much a case of buyer beware. The devil is in the detail - specifically the limitations and exclusions.

Few house insurers will provide cover for your bicycle away from home. Furthermore, it's not uncommon for them to impose a large excess on claims for cycle theft - a penalty that may go on to affect your no-claims discount in the future.

When you research cycle insurance, it’s vital to compare like for like – something that’s not as easy as it sounds. Some companies tempt you with a cheap up-front quote before then charging exorbitant rates for anything over and above a basic level of cover.

The ETA always offer a fully-comprehensive level of cover as standard. It works out better value for you and we think it’s a fairer way of working. It’s just one of the reasons the company has been named an ethical company for the last three years running.

If you drive a car and steer clear of third party-only, you will understand the peace of mind offered by opting for fully-comprehensive - a level of cycle insurance cover always included as standard by the ETA.

Putting a bicycle on home insurance

When comparing home insurance with cycle insurance, pay particular attention to the following;

Home insurance excess on cycle claims

An excess is the amount that you will be asked to contribute towards a claim. We have heard of house insurance policies charging up to £500 excess. Conversely, a zero excess should ring alarm bells as it often signals a minimum claim amount, which is effectively the same thing. In other words, an insurance company may have zero excess, but minimum claim amount of £100.

Are quick release components covered?

What is the insurer’s policy on quick release seat posts and wheels? Does it require that wheels are locked? A good policy should cover these against theft, with a low excess and understand that it’s not always possible to lock both wheels as well as the frame. The ETA covers quick release components as standard and does not specify that they need to be locked.

Racing and training

It is unlikely that home insurance will cover racing or training and more than likely something that a cycle insurance specialist will charge extra for. ETA covers you against theft, accidental damage and vandalism when you are training for, or competing in, races, sportives and other mass-participation, non-professional events. During triathlon events, the insurance covers your bike while it is in the transition zone (as long as the area is being supervised by a marshal, which is usually the case).

Making a claim

The best test of an insurer is making a claim. Can you do it online? Is your claim farmed out to an external company? Will one person deal with the claim or will you be passed from pillar to post? If your bike is stolen, will you be forced to use a supplier of their choice or will you receive a cheque so you can choose to use the bike shop you want? These are not questions answered without looking carefully at an insurer’s website or asking them directly, but they are best addressed before buying.

Devaluation: The hidden cost of cycle insurance

It's fair to assume that new-for-old means new-for-old, but check it applies to bikes of any age. Many insurers start to devalue your bike after three years. For example, a policy with a 20% excess and 30% devaluation pays out less than £600 on a six-year-old £1,000 bicycle. By contrast, a cycle insurer with an excess of only 5% and no devaluation - such as the ETA - would pay out £950.

Storage

Check whether the way you store your bike – both at home and when you’re out and about – is covered. For example, if you keep your bicycle in a shed, is a particular level of security specified for the door or padlock? If so, you can end up having to fork out for an expensive lock unexpectedly. ETA cycle insurance simply requires that the shed door is locked and that the bicycle is out of view – it does not specify the lock type. If you have any questions about the way you store your bike, please get in touch as we are happy to assess storage arrangements on a case-by-case basis.

Theft of components

When you lock your bike in public, are parts like the saddle and wheels covered against theft? And if they are, does a minimum claim amount, or high excess, make it hardly worth putting in a claim in the first place? ETA cycle insurance covers all bike parts against theft and vandalism, including quick release components such as saddles and wheels.

Electric bicycles, e-bikes and pedelecs

ETA cycle insurance covers all road-legal electric bicycles, e-bikes and pedelecs as standard. If your pedelec weighs less than 60 kg, and its output does not exceed 250 W/15.5 mph, it can be covered under the cycle insurance at no additional cost. The battery is covered against theft and cycle rescue cover comes as standard.

Breakdown cover for your bicycle

Although some home insurance policies will offer limited cover for damage to your bicycle, you'll be hard pressed to find one which helps get you home should your bicycle break down whilst you're out and about. The ETA were the first company in Britain to offer a breakdown service for cyclists, and now most specialist cycle insurers offer a similar service at an additional premium. When you choose cycle insurance from the ETA, you receive cycle rescue cover free of charge.

Custom, vintage and self-build bikes

We build our own custom bikes, so we have first-hand experience of how precious they are, and of what we would expect if they got damaged or stolen. It’s the reason we don’t charge extra for custom, vintage or self-built bikes.

Cycle touring

If you take your bicycle on holiday with the family, travel to sporting events across Europe, or go cycle touring further afield, ETA Cycle Insurance extends cover for theft, accidental damage and vandalism worldwide for 90 days per year. The policy covers your bike for damage caused while in the care of an airline, rail or coach operator.

Protection for you and your bike

ETA Bicycle Insurance never devalues your bike, doesn’t charge extra for things like third party liability, personal accident or friends and family cover, and has a sympathetic policy on storage in sheds and garages.

For 27 years we have been providing straightforward, affordable bicycle insurance and in the last 13 consecutive years we were named 'Britain's most ethical' in the insurance category, by The Good Shopping Guide..

Find out more about why we are different. Get an instant quote or call our friendly team on 0333 000 1234.

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