E-bike riders ‘38% lower risk’ to insurers than non-assisted

Bikmo is to cut premiums for e-bikes by 25% in a bid to encourage widespread uptake of electric-assisted riding.

A survey of over 3,000 riders in the UK, Ireland, Germany and Austria, conducted by Bikmo and distributed by British Cycling, among other partners, showed that 38% fewer insurance claims arose from riders on e-bikes compared with traditional bikes.

Bikmo customers can now insure a £2,000 e-bike in the UK from around £9 per month, which is typically 25% less than a non-assisted road bike of the same value. This covers theft (even away from home), vandalism and accidental damage, as well as the rider’s helmet and accessories as standard. Understanding that around 90% of e-bike riders own at least one other bike, Bikmo also offers the opportunity to cover the whole household’s bikes under one policy – backed up by a 4.6/5* Feefo rating.

Bikmo believes the significant difference in claim levels between electric and non-electric bikes is down to a number of factors – two of the most prominent being the type of use, with 33% of respondents using e-bikes primarily for commuting, and a belief that electric-assisted riders typically act more risk-averse.

While fear of theft is often cited as a deterrent against buying an e-bike, Bikmo’s research also showed that e-bikers are five times more likely to claim for accidental damage than theft, with theft ranking the fourth most common cause of claim. 

The results also showed that 45% of respondents cover their bikes on their home policy and a further 40% didn’t have any coverage at all. Given the average price of an e-bike in the UK exceeds £2,000, 85% of respondents could be left without cover for accidental damage as many home policies won’t include this as standard.

David George, CEO of Bikmo, said: “The team here at Bikmo are hugely proud to announce a 25% cut on our electric bike premiums. Believing firmly that e-bikes play a central role in the future of cycling, we want to lead the way in encouraging more people to discover the many benefits they offer.  

“Our research shows that offering e-bike riders lower premiums doesn’t have to be solely a philanthropic decision for insurers. Whilst the average cost of an e-bike is higher than it’s non-power-assisted equivalent, riders on an e-bike appear to be significantly more risk-averse. As a company made up of cyclists and with a strong belief in ethical capitalism, we want to stand out from the crowd and pass these savings on to our members in the form of a lower premium.”

Read the July edition of BikeBiz below: