Motorcycle riding in parts of the U.S. is only seasonal. If you live in areas that get snow during the winter, you may wonder why you are making monthly payments for insurance on a motorcycle that you do not use.Yes, you may cancel your motorcycle insurance in the winter but it may not be the best idea. Theft and vandalism can occur at any time of the year and leaving your bike completely uninsured will mean you will have to pay for any losses entirely out-of-pocket.
You will face greater risk
Canceling your motorcycle insurance policy during winter months will expose you to greater risks and financial losses. If your motorcycle is stolen or vandalized during winter months, you will be forced to pay any damages out-of-pocket. If a motorcycle has comprehensive coverage, your insurance provider would be responsible for damages, up to policy limits year-round.
If there is a nice winter day and you decide to take your bike out for a quick ride, you will also be uninsured and any damages that may result from an accident will also have to be paid for out-of- pocket.
You will have to pay cancellation fees
You will be forced to pay termination fees if you cancel a motorcycle insurance policy before the term period is over. The reimbursement check you will receive may not be what you expected it to be after paying the mandatory cancellation fees.
It may be harder to find an insurance provider
If a company realizes that you are starting a policy only to cancel it a few months later, they may refuse to provide you motorcycle insurance coverage. Some insurance providers may request proof of coverage and may also charge higher premiums if you have gaps in insurance coverage. Instead of cancelling you insurance coverage in the winter, there are other options you have available that may save your money on insurance premiums without sacrificing coverage in winter months.
Instead of cancelling your motorcycle insurance policy during winter months, consider reducing your coverage by lowering your policy limits and removing endorsements or increasing your deductible.
Increasing the deductible on a motorcycle insurance policy will your lower monthly payments. In case of an accident, you will have a higher out-of-pocket expense but at least you will be insured all year.