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Comprehensive Physical Damage Insurance For Motorcycles

Most states require you to have liability motorcycle insurance to help pay for property damage or injuries suffered by others in an accident that you cause. But what about your own property damage or injuries? Comprehensive motorcycle coverage can answer part of this question by helping with repairs to your bike for certain non accident-related incidents.

Comprehensive Coverage

Comprehensive coverage can helps with costs or repairs to your bike after being damaged from:

  • Fire.
  • Theft.
  • Vandalism.
  • Severe weather.
  • Falling (missile) objects.
  • Hitting or being hit by an animal.

The majority of comprehensive insurance policies include a certain amount of coverage for motorcycle accessories and custom parts, but you do have the option to purchase more than the minimum amount for additional protection.


Generally a motorcycle insurance company will pay out on comprehensive coverage claims up to the current cash value of your bike, minus your deductible.

Your deductible is the amount towards a claim that you are responsible for paying before your insurance begins paying toward a claim. Motorcycle insurance companies typically give you an option of different deductibles to set for your coverage. Keep in mind that while a higher deductible will mean a lower premium for your motorcycle insurance policy, you do not want to set your deductible at a level that is too high for you to pay if something does happen to your bike.

Custom Parts and Equipment (CPE) Coverage

Motorcycle accessory coverage, also known as CPE insurance, covers damage to custom parts and accessories.

Your comprehensive insurance policy might include some CPE coverage―usually at least $1,000 in most states―but you have the option to purchase more coverage for extensive accessories. For example, if your motorcycle is highly customized, sporting $5,000 worth of customized parts, you should consider purchasing up to $5,000 in CPE coverage. That way, in the event of theft or a total loss accident you will be compensated for all motorcycle accessories, in addition to the bike itself.

Motorbike Insurance Settlement Types

In the event of theft or a total loss accident, you will be offered a loss settlement. The type of settlement you are offered depends on the type of motorbike you own.

For example, if you own a fairly new factory bike―such as a Honda Crossover―you will typically be offered a settlement for the actual cash value (ACV). This means that, in the event of a total loss accident, you will compensated for the Kelley Blue Book value of the motorcycle, minus the deductible.

If you have purchased additional accessory coverage, you will be compensated for your accessories as well.

On the other hand, if you own a classic bike―such as a Harley Davidson FLST Heritage―typically you will be offered a settlement for the agreed value or stated amount. The stated amount represents the value of the bike as stated by the bike owner at the time of policy purchase, and the agreed value is the value of the bike (as agreed upon by you and your insurance company when the policy is written).

Any custom equipment or accessories added after the policy is written will only be covered by CPE insurance.

Obtaining CPE and Comprehensive Coverage

You can compare motorcycle insurance rates and policy types online, or by contacting the Insurance Department in your state.

When shopping, be aware that the more coverage you purchase, the higher your annual premium will be. However, it costs less to maintain an insurance policy than to pay for repair and custom part expenses out of pocket.

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