Bicycles Offer A Bespoke Opportunity For Brokers

One of the big opportunities for brokers in 2021 is bicycle insurance. So many consumers have discovered that a bicycle is about the only way you can see a different view each day during lockdown. Plus electric bikes are proving a useful way to commute locally, and get some exercise for many older people who don’t fancy dressing in lycra and entering the Tour de Yorkshire. Here’s some data from Admiral which highlights the asset value at risk;

Admiral Home insurance has revealed that bikes worth more than £1,500, on average, were the most popular items added to home insurance policies at the beginning of this year, after the Christmas break, knocking jewellery and household tech off the top spot. Comparing Admiral’s policy data from 2018 to 2020, bikes have grown in popularity, overtaking jewellery which used to be the most commonly added item. Data from January 2021 shows that bikes hold the top spot for items added to policies, accounting for 30% of items, while jewellery was the second most popular (29%), followed by watches (11%) and household tech like laptops and tablets (10%).

During the first national lockdown many people bought bikes either for exercise or as an alternative way to travel and, in May last year, Admiral saw a 46% increase in the number of bicycle theft claims compared to the same period in 2019. The latest data shows an increase in owners actively adding their bikes to their policies in a bid to protect them. The most common high value items added to Admiral home insurance policies in 2021:

1 Bicycle 30%
2 Jewellery 29%
3 Watch 11%
4 Laptop and tablet 10%
5 Television 4%

Other items of high value that were added to homeowners’ policies in January, but didn’t quite claim the top spot, include mobile phones, musical instruments, works of art, sports equipment for golf, archery and skiing, along with items containing gold, and collections of stamps and coins.

Noel Summerfield, Head of Home at Admiral, said: “Although Christmas seems like a distant memory already, it’s important that homeowners don’t forget to update their home insurance policy if they received any special gifts worth over £1,000 or bikes worth more than £350 during the festive break, to make sure they are properly covered.

“At Admiral, we offer ‘Celebration cover’ which means cover for new items including technology and expensive jewellery like engagement rings will automatically be increased for 14 days either side of the date of the celebration, giving homeowners peace of mind that their new valuables are protected. However, if these items were given as presents at Christmas, that grace period is now over which means they may no longer be covered if the insurer hasn’t been notified.

As UK households may be underestimating the value of the contents of their home, Admiral has created an in-depth contents insurance calculator to help homeowners work out what their own contents are worth in each room of their home, to ensure they have enough cover if they need to make a claim.

Bikers are tribal, one-size insurance doesn’t fit everyone. Brokers with niche expertise can offer something personalised.


So many big insurers concentrate on selling `bolt-on’ cover to homeowners for bicycles and much more. But many renters own expensive bikes, musical instruments tech devices and watches. The opportunity is there to upload photos, receipts, agree values via automated software and issue cover on a PAYG basis. This is especially useful with bicycles because a 2K carbon framed racer may not be used for commuting, so it makes sense if the PI/accident element of the cover is something that can be switched on and off, as the bike is being used. Smartphone app data can track location of policyholder, plus log details of Smartwater marking, trackers fitted and so on.

For brokers who have expertise in adventure sports, touring, time trials and more, there will be a chance this summer to sell on-demand insurance that fits people’s lifestyles, not just their homes or sheds.

About alastair walker 10562 Articles
20 years experience as a journalist and magazine editor. I'm your contact for press releases, events, news and commercial opportunities at Insurance-Edge.Net

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