Inexpensive insurance option for State Farm policyholders

[LimboJim]

USAA homeowner insureds, next time you call, ask the agent how the company defines ebikes.

The last three times that I asked three different agents if my homeowners policy covered ebikes, I was told that it did, as long as the motor assistance was limited to 15mph. The first time I asked and got this answer was in 2015, the last time was just about a month ago.

Each time, I ask the agent to run it up the underwriting ladders that 15mph is the EU standard, and most ebikes sold in the US cap at 20mph. I assume that any ebike claims they do pay out ignore this bass-ackwards caveat!

 

[jeremy8000]

@LimboJim
That's odd. I'm probably the last one here to learn this, but just read that the federal government defines them ("low speed electric bicycle") in terms of a 20MPH cap on the assist. Guess they're pulling that 15MPH out of a hat?

"For the purpose of this section, the term `low-speed electric bicycle' means a two- or three-wheeled vehicle with fully operable pedals and an electric motor of less than 750 watts (1 h.p.), whose maximum speed on a paved level surface, when powered solely by such a motor while ridden by an operator who weighs 170 pounds, is less than 20 mph."

Then goes on to say that meeting that criteria qualifies it such that it "shall not be considered a motor vehicle" — though that raises the question about 'class 3' as they assist beyond that point.

 

[ruffruff]

How much is Velosurance for the year?

 

[Dallant]

Ok, I’m looking into insuring a second ebike and was quoted almost $600 a year for both w/State Farm. Anyone else got a better deal with them and, if so, how is it structured?

 

[jeremy8000]

Ok, I’m looking into insuring a second ebike and was quoted almost $600 a year for both w/State Farm. Anyone else got a better deal with them and, if so, how is it structured?

Ask them specifically about a "Personal Articles Policy"

 

[Dallant]

Ask them specifically about a "Personal Articles Policy"

I talked to them again and they requoted both ebikes for about $450 a year, 0 deductible, under the Personal Articles Policy. According to SF, the <$100 premiums we‘re seeing are probably under the Homeowners policy and whatever that policy’s deductible would be applied, which can be thousands of dollars.

 

[jeremy8000]

I talked to them again and they requoted both ebikes for about $450 a year, 0 deductible, under the Personal Articles Policy. According to SF, the <$100 premiums we‘re seeing are probably under the Homeowners policy and whatever that policy’s deductible would be applied, which can be thousands of dollars.

Mine is a separate policy, $75/year, covers my Rad along with billiards equipment worth far more. Might be high variability due to risk by area, but that sounds excessive at 6x the cost

 

[arcom]

As far as USAA goes, it depends on where you live. With the personal articles floater at our New York house, cost would be an additional $14 a year. At our North Carolina house, it would be $11 a year. No liability coverage, just theft to include off premises theft. We have an umbrella liability policy that I think costs $130 a year, for $1 million in coverage. Been with USAA for 45+ years.

 

[markybolton]

With USAA e-bikes would be covered under your standard homeowners insurance policy, subject to the deductible on that policy. I currently maintain a 1% deductible on my homeowners to keep premiums low. If I were to drop the deductible to $500, it would double my annual premiums.

USAA does offer a separately available "Valuable Personal Property" policy. It covers things like stamp & coin collections, camera equipment, guns, jewelry, etc. It does not cover electric bikes, so no help there.

Looks like the O.P. has found a valuable side benefit of having existing State Farm insurance coverage. Unfortunately when I have previously compared rates, State Farm can't compete with what I am getting through USAA.

It is funny, mine was the exact opposite! When I tried to switch my home insurance from State Farm to USAA thinking USAA would be the lowest, USAA would be higher by about 500 bucks a year! I am hoping to find some cheaper insurance too!

 

[Marcela]

What happens to your premium if you have a claim? Why don't they put an increase limit on that?

 

[ReedM]

I insure most of my e-bikes with Velosurance. I got way too much run around with USAA. I was told something different by each person I spoke with. A year and a half ago I dropped USAA for Farm Bureau. The Farm Bureau agent looked at my Velosurance policy and felt I had better coverage for non-theft related incidents like a collision with a motor vehicle. This was the sticking point for USAA as well. Since the majority of my e-bike mileage is commuting, I figured damage related to collision with a vehicle, pedestrian, dog... is probably more likely than theft. Homeowners, from everything I was told, was not going to cover collision-related claims particularly if I was at fault. It might cover theft or falling off of my Subaru whilst in transport. I say might, because I was initially told by USAA that it would not be covered under homeowners because it has a motor. Hence the frustration with USAA - because I was told different things by different representatives and the company could never really get its story straight. So I didn't want to leave it to chance and fine print and I've stuck with Velosurance to cover theft, collision, damage from other accidents, liability and roadside and some medical.

I insure most of my e-bikes with Velosurance. I got way too much run around with USAA. I was told something different by each person I spoke with. A year and a half ago I dropped USAA for Farm Bureau. The Farm Bureau agent looked at my Velosurance policy and felt I had better coverage for non-theft related incidents like a collision with a motor vehicle. This was the sticking point for USAA as well. Since the majority of my e-bike mileage is commuting, I figured damage related to collision with a vehicle, pedestrian, dog... is probably more likely than theft. Homeowners, from everything I was told, was not going to cover collision-related claims particularly if I was at fault. It might cover theft or falling off of my Subaru whilst in transport. I say might, because I was initially told by USAA that it would not be covered under homeowners because it has a motor. Hence the frustration with USAA - because I was told different things by different representatives and the company could never really get its story straight. So I didn't want to leave it to chance and fine print and I've stuck with Velosurance to cover theft, collision, damage from other accidents, liability and roadside and some medical.

I am looking at Velosurance to cover my new ebike. What sort of coverage and premium did you arrive at? They indicate that my medical insurance will cover any damage to me. My regular ins co wants to give me the coverage on my automobiles and ended up with $360 premium. Do they give you a comfortable feeling.

 

[Asher]

Just called a State Farm agent. They said they do not cover ebikes in renters insurance. Nor does Geico.

Also I compared velosurance, markel/spoke and oyster, they're all the same price roughly, within ~10% or so. Oyster was priciest but still only $5-10 more per year.

Lemonade is the only option I've found but they don't cover ebikes with a throttle.

 

[mojoe]

About a year ago, I asked my SF agent about ebike coverage. I have auto and renter's policies, and have been with SF since 1985. I was told no, and no.

Recently, I happened to be talking to a Farmers agent, and I asked him about ebikes. He looked into it and told me that he could cover theft/damage on a renter's policy, even if the ebike was away from home. The yearly price was a bit less than what I am paying now. So, I asked him to quote me an auto policy. For the same coverage, that policy was also less money.

I'm away at work at the moment, so my vehicle is on "withdrawn from use", while sitting in the garage. When I get back home, I'll be switching both policies to Farmers.