The weather is getting better but the roads are still slick. Please practice riding in a parking lot before you get on the highway.
Even the most experienced riders need a refresher since you are getting back on the road after a few months. Please exercise caution at all times and don’t forget to Share The Road.
Matt Grassie and Lynette Wallace shared a shock when they opened their motorcycle insurance renewal letters earlier this year and found their rates had soared for no apparent reason.
“My 2009 Harley Heritage Softail has been with TD and it went from $1,160.00 to $1,720.00 a year,” said Wallace of Mulmur, Ont. “I have never had an accident and have been driving a car for 44 years.”
Meanwhile, Peterborough resident Grassie said premiums for his 2003 Kawasaki Nomad 1500 went up to $1,040 from $640.
They’re among hundreds of riders seeing massive jumps in their motorcycle insurance rates despite being ticket- and accident-free.
Front and centre on the current round of increases is Ontario’s most popular motorcycle underwriter, TD General Insurance. Together with subsidiary Primmum Insurance, the firm filed for rate increases in 2014 of 9.16 per cent and 9.14 per cent respectively, and in 2015 they were granted further increases of 25 per cent and 24.59 per cent.
Also increasing rates for riders was Certas Home and Auto Insurance Company, part of Desjardins Insurance, which bumped up premiums a significant 42.27 per cent last year. The other big gun, Intact Insurance, raised its rates 9.73 per cent in 2014 but just 0.52 per cent last year.
Insurance Bureau of Canada spokesperson Steve Kee says carriers continue to lose money on motorcycles and have to adjust their books. Industry numbers show they paid out 96 cents for each dollar of motorcycle premiums they earned from 2010 to 2014.
“There’s almost a 14 per cent increase in the number of bikes on the roads since 2010 and while the number of claims are flat, costs per collision are up 51 per cent while average premiums have increased 8 per cent since 2010,” said Kee pointing to industry data showing the average claim has shot up to $51,074 in 2014 from $33,796 in 2010.