Most motorcycle insurance policies won’t pay 100 percent of your damage costs. Instead, you will pay a deductible for damage yourself. Then, your policy will step in. However, deductibles are fluid items, and they vary from policy to policy. So, when getting coverage, you should know how to choose deductible limits that suit you and your bike. Where can you use a deductible? How can you maximize savings with it?
Many people want to pay as low a deductible as possible for their bike damage. However, this is not always the best course of action.
The Way Deductibles Work 
Take a look at your bike’s collision insurance. It might state that it will pay for your bike’s repairs or replacement minus a chosen deductible cost.
So, if you make a collision claim, you will have to pay the deductible. After that, your policy will cover the rest of the claim, as long as it doesn’t exceed the policy’s limits. It is common for different policy sections to have different deductibles throughout.
Here’s an example. You have a bike wreck that causes $3,000 in damage. Your policy contains a $1,000 deductible. You will pay the $1,000 deductible up front. Afterwards, your policy will pay the $2,000 in remaining costs. In essence, the insurance and the policyholder will share costs of damage.
In certain cases, certain policy elements will not have a deductible attached. Liability coverage, for example, often is deductible-free. So, if you are at-fault for a wreck that causes someone $25,000 in vehicle damage, your policy will pay the full $25,000 in restitution to the third party. Keep in mind, some policies will still institute liability deductibles. Therefore, talk to your insurance agent about your personal coverage options.
Savings Through Deductibles
Sometimes, choosing a higher deductible can reduce your motorcycle insurance premium. By taking on more of a claim’s cost for yourself, you take away some of the risk from the insurance company. They won’t have to pay out as much in the event of a claim. As a result, they might be able to charge you a lower premium.
Keep in mind if your take too high a deductible, then you might put your own savings at risk if you file a claim. Therefore, work with your insurance agent to determine the right course of action. They can help you find the best balance of deductible and coverage affordability.