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Reducing Cycle Insurance Costs

Many people are choosing to cycle as opposed to driving in order to reduce their travel costs. Many have even picked up the hobby over numerous lockdowns in the UK. If you have invested in a durable electric bike or pedal bike for your daily commute or your cross-country excursions, you may want to protect this valuable asset with Cycle insurance. However, this comes at an additional cost.

You may have found that bike insurance can get quite expensive, and this is because cyclists are vulnerable road users, and bike theft is unfortunately common. Specialist cycling insurance for racing cyclists, for example, can get quite dear.

This article will cover all the different variables that can affect the cost of your cycling insurance and ways that you can reduce this cost. Hopefully, you will find that Cycle insurance is affordable for you and your cycling activities.

Factors that affect your cycle insurance premium

Like any kind of insurance, certain factors will affect how much you pay for your policy cover. With car insurance, your years of experience, vehicle value, mileage and storage all affect the cost of your premium. However, this is slightly simplified with Cycle insurance.


How much your bike is worth will be a primary factor which affects how much your bike insurance premium will be. The higher the cost of the bicycle, the higher the premium, as it will cost the insurance company more to replace/repair the cycle in the event of malicious/accidental damage or theft.


Excess cover is the maximum amount that you will pay towards your claim in the event of a covered incident on your bike. A higher excess cover will result in a lower premium and vice versa. Sometimes, factors such as the bike value, age and cycling activities can affect the compulsory excess cover.


Many bicycle insurance policies offer different levels of cover depending on what each cyclist needs. The more coverage that you add to your bicycle insurance policy, the more expensive your premium will be. Some additional covers can affect your premium more than others as they may result in a high claim payout.


Unfortunately, bike theft, damage and other cycle-related incidents can be more common in different areas in the UK. For instance, bike theft is very prevalent in London, so it is common to see higher insurance policy premiums in these areas to account for the higher crime rate.


The insurance premium is usually paid monthly, especially for car or motorbike insurance. However, since bike insurance is less costly, it may be possible to pay for your insurance in a lump sum; this may affect how much you pay overall.

Ways to reduce the cost of Cycle insurance

Certain factors that affect the cost of bicycle insurance are, unfortunately, unchangeable – such as the value of your bike and potentially your location. However, there are some decisions that you can make to reduce the amount you pay for cycling insurance.


A higher excess will reduce your bike insurance premium; however, the difference between the excess coverage that we offer at ALA may not reflect the amount you save on your monthly insurance premium, should you have to make a claim. You may save £25 per year by opting for an excess cover of £250 versus £50, but it would take eight years without making a successful claim before the higher excess cover becomes economical. A lower excess cover would suit those with a steady but lower income or those who frequently cycle and may be more likely to make a claim.


To save money on cycling insurance, choose a more basic plan. ALA Cycle insurance offers generous cover as standard. We offer protection against malicious/accidental damage and bicycle theft; we also extend this cover overseas for 30 consecutive days outside the UK. This means that if you travel with your bike, you could save money on travel insurance by using our basic plan.

If you do decide that you need covers such as bike Accessory Cover or Cycle Hire Replacement, only choose the level of cover that is appropriate for you.

Get a Cycle Insurance quote from ALA today.


As mentioned, you may be able to pay for your bicycle insurance in a yearly lump sum. This will reduce the amount you pay; for example, a plan costing £47 per year will cost £58.08 when paid over monthly instalments with added interest payments. The option that you choose may depend on cash flow; if you cannot afford to pay the lump sum, you may want to opt for monthly instalments.

Cycle insurance with ALA

When you are looking for bicycle insurance that doesn’t cost the Earth, it is important to look for a flexible policy. Our policies start at just £21 per year, and with the standard policy, you will receive protection from malicious/accidental damage and bicycle theft; moreover, this cover is extended overseas for 30 consecutive days outside the UK.

We also offer flexible additional coverage at competitive prices, including Cycle Hire Replacement and Public Liability Cover. Read about Cycle insurance calculations here to find out how much different policy types will cost you. Our flexible policies mean that you will only ever pay for the coverage you need – get a Cycle insurance quote for your area here.

Frequently asked questions

Why should I take out specialist cycle insurance?

Specialist cycling insurance is important for many cyclists; you may cycle in a busy city or on rural roads. If you go mountain biking or BMXing, you are at a higher risk of a personal accident. You may even want cycling insurance because your bike is valuable or because you use it every day and want to be protected. ALA’s Cycle insurance policies can be tailored to every cyclist.

How much does bicycle insurance cost – should I get it?

ALA’s Cycle insurance policies start at £21 per year for damage and theft cover; this insurance cover also extends abroad. Additional optional covers can be added to build a tailored plan, so you only pay for the cover you need.

Are older bikes cheaper to insure?

Here at ALA, we don’t consider the age of the bike when calculating a quote, only the value of the bike at the time of purchase. If you purchase a second-hand bike from a registered bicycle dealer, you will be able to insure it for cheaper than if it were new. However, a bike older than three years will be replaced like for like, instead of new for old.

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