We get a lot of feedback from Ontario motorcycle riders about how expensive it is to insure a motorcycle in Ontario compared to other jurisdictions, particularly US states. At M&W, we are motorcycle enthusiasts, and sympathize with Ontario riders who are more and more frustrated with the cost of motorcycle insurance, and the lack of options in the market right now.
We’ve tried to explain the discrepancy in price, but it’s tough for a lot of people to wrap their heads around paying 5-8 times as much for half the months of riding. Ultimately, it’s all about coverage. In California, you’re required to have a certain amount of liability coverage (in case you hurt someone else), but you’re not required to have any coverage for yourself if you’re injured in an accident.
Oh, and motorcycle riders are three times more likely than drivers to be injured in an accident, and ten times more likely to be seriously injured.
As an Ontario rider, even if you buy the minimum coverage, you have a generous package of insurance that includes at least $200,000 in liability if you hurt someone and get sued, plus robust medical benefits to help you get back on your feet after an accident.
In California on the other hand, if you’re at-fault for an accident, the most you’re covered for, even if you kill two people and cause $100,000 in property damage, is $46,340 (CDN). If you get sued, you’re personally on the hook for the balance. If you get injured, you have zero coverage for medical expenses, zero for lost income and zero for dependent care. If you die, you guessed it, there’s zero coverage for funeral expenses.
If you’re a California rider with basic insurance, you better hope any accident you get into is not your fault. Then you can sue the at-fault party. If you’re at-fault, you’re completely on your own.
Here’s a side-by-side comparison of basic motorcycle coverage in Ontario and California:
|If You Get Sued|
|If You Get Injured|
|If You Get Killed|
|Death Benefit to Dependents|
|If Somebody Wrecks Your Bike|
|Direct Compensation – Property Damage|
|If you get hit by someone who doesn’t have insurance|
|Uninsured Automobile Coverage|
Insurance is not just one thing, so even though you can probably insure the same bike in California for $300-400 that would cost you more than $2,000 in Ontario, the coverage you’re buying is not even close. There’s definitely an argument to be made that the minimums in Ontario are too high, but riders who suffer a serious injury will tell you that it’s worth every penny.
If you want to ride your dream bike, give us a call, we’ll let you know your options, answer your questions, and get you set up so you can go carve up some curves this spring!
Want to add to this story? Let us know in comments below! Mitchell & Whale is a fast-growing insurance brokerage in Ontario, striving to make insurance _not suck_ one customer at a time. Give us a call today to discuss any of your insurance needs at 1.800.731.2228.