How much does motorcycle insurance cost in Australia?

The cost of motorcycle insurance will depend on a few different factors, including the type of cover you choose, your motorcycle model and your age.

There are a few different types of motorcycle cover that you can choose from. This ranges from Compulsory Third Party (CTP) insurance through to comprehensive insurance. CTP insurance is the most basic policy available and is generally the cheapest form of cover, while comprehensive insurance provides more cover and is usually the most expensive.

Is motorcycle insurance compulsory in Australia?

Compulsory Third Party (CTP) insurance is mandatory for all motor vehicle drivers in Australia, including motorcycles. CTP insurance protects you against compensation claims if you injure or kill someone in a motor vehicle accident. CTP insurance is included in the cost of your registration, except in New South Wales where it must be purchased separately before you register your vehicle.

CTP insurance does not cover damage to your motorcycle or damage to other people’s vehicles or property. To get a higher level of cover, you could consider comprehensive cover; fire, theft and third party property damage cover; or third party property damage cover.

Comprehensive insurance provides the highest level of cover. Typically, it will cover you for loss or damage caused by things like theft, collision and natural events like hail, storms and fire. It also covers you for damage to other people’s vehicles and property and legal liability cover.

How much does motorcycle insurance cost?

The cost of motorcycle insurance will depend on a range of factors, including the type of cover you choose, your motorcycle model, the amount of cover you choose and the details of riders you list on the policy. This may include the rider’s age and gender and how long they have held a motorcycle licence.

Here’s some of the factors that could impact your premium:

• Amount of cover. The higher the amount of cover, the higher your premiums will generally be.
• Excess. The excess is the amount you have to pay towards a claim. Your insurer may let you adjust your excess. If you increase your excess, this will generally lower your premiums.
• The motorcycle you are insuring. The insurance provider may consider factors like the motorcycle’s make and model, engine capacity, the year of manufacture and whether you have made any modifications. Generally more expensive motorcycles cost more to insure.
• Where you park your motorcycle. Where your motorcycle is parked overnight can also impact your premium. For example, whether you park it on the street or in a locked garage.
• Security. Some insurance providers may offer a discount if your bike has security devices, such as an immobiliser or tracking device.
• Age. Premiums typically get cheaper as you age and gain more experience as a rider.
• Rider experience. Some insurance providers also offer discounts if you have completed a rider training course.

Canstar does not currently research and rate motorcycle insurance. It can be a good idea to shop around and get quotes from a range of insurance providers based on your individual circumstances and the specific motorcycle you are looking to insure.

Remember to read any relevant documents such as a  Product Disclosure Statement and Target Market Determination for a policy carefully, so you understand what you are and aren’t covered for.