Motorcycle insurance renewal made simple: Your most asked questions explained

What is motorcycle insurance renewal?

It refers to the process of extending your current motorcycle insurance policy to the next term, typically a year. The renewal will definitely include CTPL insurance, and, if the rider wants, it can consist of comprehensive coverage and add-ons.

Also Read: Why motorcycle riders need both CTPL & comprehensive coverage

Why does motorcycle insurance renewal matter?

In the Philippines, motorcycle insurance is a necessity not because of legal compliance requirements but because of the high frequency of two-wheeler road accidents. Without proper insurance, riders will be left unassisted, bearing the costs of repairs, medical expenses, and legal liabilities.

You see, motorcycle insurance ensures the following -

• Continuous protection (against accidents, collision, theft, fire)
• Peace of mind while riding
• Financial security
• Legal compliance

In short, with motorcycle insurance in place, the rider enjoys a stress-free and safe experience.

What insurance renewal terms should a rider know?

There are some standard terms every rider should know before renewing a policy. The list includes -

• Premium: The cost you pay to the insurer for the coverage provided. It is usually paid annually.
• Coverage: It is the protection the insurer provides to the rider. Standard inclusions are CTPL, comprehensive, and add-ons.
• Deductible: It is the amount the provider pays before the settlement is released. It is your share of repair expenses.
• Exclusion: It is the protection your policy does not provide—for example, an unauthorised driver behind the wheel, drink-driving, or unauthorised vehicle use.
• Policy lapse: The insurance policy has expired due to non-renewal. There is no coverage any more.

Also Read: How to choose the best motorcycle insurance in the Philippines

How to renew motorcycle insurance smoothly?

Renewing motorcycle insurance is easier than most riders believe. Here’s a simple guide to do so -

Step 1: Review your current policy
Before initiating the renewal process, it is essential to review the current policy. Take a moment to review the coverage limits, including add-ons, exclusions, and deductibles. This will help you decide whether to stay with your current provider or switch to one with better coverage.

This step will also help you track all the incorrect/outdated/missing information that delays the claim process. Make sure to check contact details, OR/CR details, plate number, and address.

Step 2: Compare insurance providers
Different providers offer different coverage, facilities, and costs. It is smart to switch to a better provider that provides better coverage, a reasonable premium, a speedy claims process, and excellent customer service.

You can use an online comparison platform to make this step super easy.

Step 3: Pay the premium & confirm the renewal
Once everything looks good, proceed with the formalities. Typically, an insurance provider sends you an updated policy and the certificate of insurance. Keep these documents safe and pay the premium on time.

Also Read: 6 Essential documents you need when filing a motorcycle insurance claim in the Philippines

What factors affect motorcycle insurance premiums at renewal?

Have you ever wondered why premiums increase during renewal? That’s because, at renewal, the provider considers several factors when determining the premium. These factors include -

• Motorcycle’s age, condition, and engine: An older motorcycle or one with a high-cc engine typically costs more to insure due to higher repair costs and accident risk.
• Rider’s riding history and accident record: A clean driving record, with no accidents or penalties, often results in a lower premium. On the contrary, a record with multiple accidents results in a higher rate.
• Coverage type and add-ons: Insurance premium increases when your coverage plan includes - Acts of Nature, Personal accident coverage, Theft protection, and Accessory coverage. So, the more the coverage, the more the financial safety - leading to high cost.

How to avoid lapse or cancellation of a motorcycle insurance policy?

Let us first understand why motorcycle insurance policies get lapsed. Here are the top reasons -

• Policyholder forgetting the renewal date
• Premium not paid on time
• Application submitted with false/incorrect information
• Lack of documents

What to do when a policy lapses?

When your insurance policy lapses or gets cancelled, you should -

• Contact your provider as soon as possible
• Request for reinstatement
• Fill the required form and provide the necessary documents
• Pay the premium

Note that some insurance providers may request a motorcycle inspection or charge an additional fee, so don’t be surprised.

Also Read: 10 Powerful tips for faster motorcycle insurance claim approval in the Philippines

What are the common myths around motorcycle insurance renewal?

Myth 1: Insurance renewal is expensive
Reality: Not necessary. You can save money by following simple practices, such as comparing quotes and selecting the optimal coverage.

Myth 2: CTPL insurance is enough
Reality: Not at all. The coverage of CTPL insurance is limited to third-party bodily injuries or death. It does not cover damage to your motorcycle or your injuries.

Myth 3: You must stay with your insurer forever
Reality: Not necessary. A policyholder can switch insurance providers anytime, even at the time of renewal. Note: It is good to switch providers based on coverage, premiums, claims process, and customer support.

Bottom line

For all Filipino riders, motorcycle insurance is mandatory: CTPL is required, and comprehensive is optional but highly recommended. But that is not it; periodic renewal is essential to maintain continuous protection against damage from accidents, collisions, fire, floods, and theft. Many Filipino riders find insurance renewal confusing, but with the proper knowledge, it can all go smoothly - making sure your motorcycle is protected, legally compliant, and there are no lapses. Here, all you need to do is know what affects your premium, the rights of a policyholder, the correct timeline, and the process - you can make smarter decisions.

Also Read: How to get Motorcycle Insurance in the Philippines: A step-by-step guide

FAQs

Q1. Can I ride without motorcycle insurance in the Philippines?
Ans. CTPL insurance is mandatory in the Philippines; it is a prerequisite for LTO registration, so there is no way to ride without it.

Q2. When is my motorcycle insurance due?
Ans. Most insurance policies in the Philippines require yearly renewal. You can find the exact renewal date in the policy documents.

Q3. Why did my motorcycle insurance premium increase this year?
Ans. Several factors influence motorcycle insurance premiums, including your claim history and coverage.

Q4. Is it an option to renew insurance online?
Ans. Yes, many insurance providers offer digital access to renew policies, check claim status, pay premiums, and more via a dedicated portal or app.

Q5. What does a motorcycle insurance policy lapse imply?
Ans. If your policy lapses, your coverage stops and you may face penalties at registration.

Q6. Can I cancel my motorcycle insurance policy?
Ans. Yes, you can cancel your insurance policy at any time; however, the refund depends on the insurer’s policy.

Q7. What can I do to avoid a premium hike?
Ans. You can avoid a premium increase by maintaining a clean driving record, practising defensive driving, and comparing providers yearly.

Q8. Is it possible to switch insurance providers?
Ans. Yes, you are free to switch our motorcycle insurance providers - it can be done mid-term or at the time of renewal.

Q9. Where can I verify a motorcycle insurance provider's legitimacy?
Ans. The Insurance Commission of the Philippines, through its website, helps motor vehicle owners find trusted, certified providers.

Q10. Can I renew my insurance policy after it is cancelled?
Ans. Yes, it is possible to renew your motorcycle insurance policy after cancellation; however, the requirements might be stricter.

Q11. How long does it take to renew a policy?
Ans. If the documents are completed and all requirements are met, the renewal process might be completed in a day.

Q12. Why did my motorcycle insurance policy get cancelled?
Ans. Some of the top reasons include late payment, false information, and unpaid premiums.

Q13. I rarely ride my motorcycle. Do I need insurance cover?
Ans. Yes. Accidents, theft, or damage from natural disasters can happen to anyone, at any time. Therefore, insurance is essential to protect your finances.

Q14. Do I need to notify my insurer of the colour change on my motorcycle?
Ans. Yes. Any slight modification to the insured vehicle must be reported to the provider to avoid complications during the claim process.

Q15. Is comprehensive insurance worth it?
Ans. Yes, comprehensive insurance is highly recommended for its broad coverage. It offers protection to the insured vehicle and rider, unlike CTLP insurance.

Also Read: How wearing proper motorcycle gear helps with insurance claims