Cyclecover Gold Insurance rip-off.

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RonK
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Cyclecover Gold Insurance rip-off.

Postby RonK » Tue May 23, 2017 3:37 pm

If you have insurance cover for your bikes through a Cyclecover Gold policy, then you'll get a nasty shock when the renewal notice arrives.

According to Cyclecover the underwriter CGU Insurance has imposed a $1000 excess on "each and every bicycle claim".

I'll be looking for a new insurer.
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biker jk
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Re: Cyclecover Gold Insurance rip-off.

Postby biker jk » Tue May 23, 2017 4:24 pm

Perhaps a name change to "Not interested in Cyclecover"?

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familyguy
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Re: Cyclecover Gold Insurance rip-off.

Postby familyguy » Tue May 23, 2017 4:30 pm

What was it before?

Hildalgo
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Re: Cyclecover Gold Insurance rip-off.

Postby Hildalgo » Tue May 23, 2017 4:56 pm

So after you pay your insurance, & then premium, which will go up if you try to claim. How much will you end up losing exactly?

Where can I sign-up for this fantastic deal.....

syu
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Re: Cyclecover Gold Insurance rip-off.

Postby syu » Tue May 23, 2017 5:36 pm

RonK wrote:
According to Cyclecover the underwriter CGU Insurance has imposed a $1000 excess on "each and every bicycle claim".



http://www.cyclecover.com.au/files/Cycl ... 015-12.pdf

CGU PDS linked to on the website still lists a $500 excess, I'm not saying you're wrong, maybe they're slow on the upload, which if incorrect is a problem for them.

My insurance isn't up for another 6 months, I always check to see what's changed, but I'll be extra vigilant this time around. If it's now $1,000, as already been said, I'll find myself a new insurer.

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RonK
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Re: Cyclecover Gold Insurance rip-off.

Postby RonK » Tue May 23, 2017 7:20 pm

syu wrote:
RonK wrote:
According to Cyclecover the underwriter CGU Insurance has imposed a $1000 excess on "each and every bicycle claim".



http://www.cyclecover.com.au/files/Cycl ... 015-12.pdf

CGU PDS linked to on the website still lists a $500 excess, I'm not saying you're wrong, maybe they're slow on the upload, which if incorrect is a problem for them.

My insurance isn't up for another 6 months, I always check to see what's changed, but I'll be extra vigilant this time around. If it's now $1,000, as already been said, I'll find myself a new insurer.

Doubt me not. The renewal notice quite explicitly states:

"We advise that your insurer, CGU, have imposed an excess of $1,000 for each and every bicycle claim and not as listed elsewhere on the schedule. This change will be effective from the abovementioned renewal date."
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warthog1
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Re: Cyclecover Gold Insurance rip-off.

Postby warthog1 » Tue May 23, 2017 7:43 pm

We are insured by CGU for house and contents. They have been really good until now. I assume this will apply to our H&C policy


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Re: Cyclecover Gold Insurance rip-off.

Postby syu » Wed May 24, 2017 12:26 pm

RonK wrote:Doubt me not. The renewal notice quite explicitly states:



No doubt here. I can see you've already got the reading thing mastered ;)

I was just questioning why Cyclecover haven't updated their website/PDS. Which is poor form on their part for new customers enquiring about their product and also presumably illegal.

I imagine a lot of their customers will be jumping ship once the renewals come in, so much so it may mean they switch underwriters and things go back to normal.

Well, I've got 6 months to find a new insurer. Thanks for sharing the info.

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Re: Cyclecover Gold Insurance rip-off.

Postby SheikYerbouti » Wed May 24, 2017 2:03 pm

Cyclecover Gold sounds like what I get for my AAMI contents insurance, the only difference is Cyclecover covers racing, AAMI covers only non-race riding. $250/yr with $100 excess for a $6k bike is pretty good too.

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Re: Cyclecover Gold Insurance rip-off.

Postby bprb » Wed Jun 28, 2017 8:48 pm

I've received my Cyclecover Gold renewal notice, and as per RonK's warning (thanks RonK) the excess on every bicycle claim has increased to $1000. I will thus be moving my home & contents (and bicycle) insurance to a different provider.

Does anyone have any comments they can share on alternative providers who give reasonable cover for bicycles as part of their home & contents cover? I don't race, but I have several bikes (mid-range Ultegra-equipped etc) that I want covered while in the home or in the car, or while being ridden non-competitively. Thanks in advance if anyone can give a pointer to mainstream providers I can take a look at.

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Re: Cyclecover Gold Insurance rip-off.

Postby M.Tintin » Thu Nov 23, 2017 4:11 pm

It's true...

I have just canceled my house/contents and cycle cover gold insurance policy upon claiming for a 1000$ wheel, and being charged 1000$ to make the claim...

Disgusting!

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Re: Cyclecover Gold Insurance rip-off.

Postby human909 » Thu Nov 23, 2017 4:48 pm

M.Tintin wrote:I have just canceled my house/contents and cycle cover gold insurance policy upon claiming for a 1000$ wheel, and being charged 1000$ to make the claim...

Why did you make the claim then? If it cost you as much as the wheel was worth?

M.Tintin wrote:Disgusting!

Disgusting? Or possibly just the actuaries doing the job they are supposed to do?

The vast majority of bike owners don't insure their bicycles. The ones that do seem to be the ones with very expensive bicycles and who engage in the type of cycling activities that are likely to result in accidents and claims. So this is the mathematics of insurance at work. You don't get something for nothing here. And if claims are high and frequent from the cohort of people who choose to insure then naturally premiums and/or excesses will rise.

It is the nature of insurance that it is cheaper on average to SELF insure, aka have no insurance. If you are one of the minority that has received more FROM insurance than you have paid out, then don't forget you are one of the causes of premium/excess increases. :wink:


*My car insurance is $1000 to make a claim. I chose not to make a claim on minor damage earlier this year. The excess and the increased premiums just meant it wasn't worth it.

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Re: Cyclecover Gold Insurance rip-off.

Postby syu » Thu Nov 23, 2017 5:37 pm

Thanks for the bump.

My policy is still about 6 weeks away for renewal so no notice yet.

RonK or bprp, did either of you just cancel or move to an alternate insurer and if so who?

It seems I can look forward to reading many a PDS in my near future. One thing I'll give Cycleocover credit for, at least they were simple and clear to understand. I knew exactly what I was covered for and when.... but not one grand good.

And going back to the discussion had in May it still deems like their PDS on their website still says $500 excess, that's some shockingly bad transparency or a seriously slow update. I guess if you took insurance out based on the information provided you could cancel in the cooling-off period or just not pay for the policy, if you noticed after the fact :shock:

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Re: Cyclecover Gold Insurance rip-off.

Postby AUbicycles » Thu Nov 23, 2017 6:17 pm

human909 wrote:Disgusting? Or possibly just the actuaries doing the job they are supposed to do?


sigh!

They are just one of a number of links. Cycle Cover is going after a very small and specific market, you have to be prepared to change home and contents over and feel that they are suitable and competitive for that, where the bike part is an add-on.

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Re: Cyclecover Gold Insurance rip-off.

Postby RonK » Thu Nov 23, 2017 7:36 pm

syu wrote:RonK or bprp, did either of you just cancel or move to an alternate insurer and if so who?

I read many PDF's and found that most bike insurers will only offer cover for a nominated value and some even require proof of the purchase price. There are six bikes in the household, none of which are off the shelf models, so nominating the value of all them is problematic. So I took out premium home contents insurance with Suncorp, which covers all rhe bikes and doesn't require a nominated value.
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Re: Cyclecover Gold Insurance rip-off.

Postby Aushiker » Thu Nov 23, 2017 8:17 pm

I notice that RAC WA are now offering bicycle insurance which appears to cover in use and maybe racing [does not appear to be included in the list of exclusions at least]. I say appears as the wording is not very clear in the PDS.

Anyway out of curiosity I completed the online quote form for my new bike which is valued at $2,300. The cost was $100 for the first year's premium and the excess was $200. It looks like each bike, if you have more than one, has to be insured separately. I also did a quote for my Salsa Mukluk fatbike at $5,000. The premium for that bike is $200 per year with an excess of $200.

As the RAC here is doing this, other states motoring bodies might be offering a similar product. Maybe worth taking a look at.

Oh it seems that the RAC's own insurance company is underwriting these policies.
Last edited by Aushiker on Thu Nov 23, 2017 8:21 pm, edited 1 time in total.
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Re: Cyclecover Gold Insurance rip-off.

Postby Aushiker » Thu Nov 23, 2017 8:20 pm

I meant to add our home and contents insurance with in use bike insurance is with bikesure. Maybe another option to consider if one is in the market for insurance.
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human909
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Re: Cyclecover Gold Insurance rip-off.

Postby human909 » Thu Nov 23, 2017 9:02 pm

Sounds quite a cheap rate for anybody who engages in racing if it covers incidents there. It seems to be assuming a 1 in 20 year claim. For somebody that is actively racing that seems quite generous!

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Re: Cyclecover Gold Insurance rip-off.

Postby duncanm » Fri Nov 24, 2017 12:52 pm

Aushiker wrote:I notice that RAC WA are now offering bicycle insurance which appears to cover in use and maybe racing [does not appear to be included in the list of exclusions at least]. I say appears as the wording is not very clear in the PDS.


I would say that's fairly clear. No exclusion for racing (other than on a BMX track).


Use of your bicycle
We will not cover any loss, damage or liability which occurs
during, or is caused by, the use of your bicycle:
> For hire or conveyance of passengers for fare or reward.
> For business or courier use.
> In connection with emergency or law enforcement services.
> On a BMX track.
> For stunt riding.
> To carry or tow loads higher than recommended by the
manufacturer of your bicycle.
> Outside of Australia.


The NRMA, on the other hand, state for their Bike Essentials Cover (but not their Bike Plus, which has a Racing Excess).
What you are not insured for with Bike
Essentials cover.
With Bike Essentials cover no insurance is provided:
ff whilst your Bicycle is used for Racing.

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Re: Cyclecover Gold Insurance rip-off.

Postby Velt » Fri Nov 24, 2017 1:43 pm

Aushiker wrote:I notice that RAC WA are now offering bicycle insurance which appears to cover in use and maybe racing [does not appear to be included in the list of exclusions at least]. I say appears as the wording is not very clear in the PDS.

Anyway out of curiosity I completed the online quote form for my new bike which is valued at $2,300. The cost was $100 for the first year's premium and the excess was $200. It looks like each bike, if you have more than one, has to be insured separately. I also did a quote for my Salsa Mukluk fatbike at $5,000. The premium for that bike is $200 per year with an excess of $200.

As the RAC here is doing this, other states motoring bodies might be offering a similar product. Maybe worth taking a look at.

Oh it seems that the RAC's own insurance company is underwriting these policies.


Your bike might be covered but as per the PDS you're not covered for any liability in an "organised event"

Could always just ring and ask them

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Re: Cyclecover Gold Insurance rip-off.

Postby gsxrboy » Fri Nov 24, 2017 2:09 pm

Aushiker wrote:I notice that RAC WA are now offering bicycle insurance

Anyway out of curiosity I completed the online quote form for my new bike which is valued at $2,300. The cost was $100 for the first year's premium and the excess was $200. It looks like each bike, if you have more than one, has to be insured separately. I also did a quote for my Salsa Mukluk fatbike at $5,000. The premium for that bike is $200 per year with an excess of $200..


I have insured a bike with them now as they decided not to want to include anything above $2000 on my home policy. Basic gist of the bike cost is $100 up to $2499, $200 for $2500-$4999 and $300 for $5000-$7499 (their max coverage), it seems to include accidental damage (good for mtb riding) but I'm happy to be corrected on that bit. RAC appears to be pretty good $ wise compared to others I did a quick check on.

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Re: Cyclecover Gold Insurance rip-off.

Postby Aushiker » Fri Nov 24, 2017 2:17 pm

Velt wrote:Your bike might be covered but as per the PDS you're not covered for any liability in an "organised event"
Could always just ring and ask them


Yes that appears to the be case and that includes damage to someone's else bike, so you could be up for a nice bill if you found at fault for damaging say another riders $10,000 BMC or something and any other medical costs etc.
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Re: Cyclecover Gold Insurance rip-off.

Postby Aushiker » Fri Nov 24, 2017 2:21 pm

duncanm wrote:
Aushiker wrote:I notice that RAC WA are now offering bicycle insurance which appears to cover in use and maybe racing [does not appear to be included in the list of exclusions at least]. I say appears as the wording is not very clear in the PDS.


I would say that's fairly clear. No exclusion for racing (other than on a BMX track).



My point about not being very clear is that (a) it is not specific about racing, (b) not specific about in use and (c) does appear to limit the level of coverage elsewhere in the PDS when racing and participating in other organised events (e.g., charity rides which BTW they used to sponsor) elsewhere in the PDS as discussed here. That you appear to have missed that part confirms my view.

In comparison to other PDS I have read this is not well written and I continue to hold the view that care should be taken in reading the PDS, i.e., that it should be carefully read in full and in context. Of course that applies to all PDS but I feel more so with this one.

Each to their own of course but in my experience with the RAC WA, you need to be on your game when it comes to claiming so I would want to be damn sure of the specifics of the coverage before purchasing.
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Re: Cyclecover Gold Insurance rip-off.

Postby duncanm » Fri Nov 24, 2017 3:23 pm

Aushiker wrote:
duncanm wrote:
Aushiker wrote:I notice that RAC WA are now offering bicycle insurance which appears to cover in use and maybe racing [does not appear to be included in the list of exclusions at least]. I say appears as the wording is not very clear in the PDS.


I would say that's fairly clear. No exclusion for racing (other than on a BMX track).



My point about not being very clear is that (a) it is not specific about racing, (b) not specific about in use and (c) does appear to limit the level of coverage elsewhere in the PDS when racing and participating in other organised events (e.g., charity rides which BTW they used to sponsor) elsewhere in the PDS as discussed here. That you appear to have missed that part confirms my view.


no - I did notice that liability is not covered in an organised event, however this thread appeared to be focussed on bicycle costs.

Note also that personal injury to you or someone using your bike is not covered.

Other sports I'm involved with which involve risk of injury to others explicitly require public liability insurance for all participants. I'm not sure what bicycle racing in Aus requires.

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Re: Cyclecover Gold Insurance rip-off.

Postby AUbicycles » Fri Nov 24, 2017 8:29 pm

Formal bike races (Cycling Australia) require a racing license that includes partial insurance cover. Hence there are other insurance providers which offer comprehensive cover. Some insurance cover (such as from advocacy groups) will specifically not provide cover during races.

For organised rides, this is tricky as is training... as is commuting. There is no other choice that to read the PDS and get absolute certainty that the insurance covers you for your type of riding. Not to mention that there is different types of insurance cover, personal injury, income protection, damage to your equipment, 3rd party damage, injury and death and theft and accidental damage.

I have a 3 year old article on Bicycles Network Australia - some of the finer details may no longer be current but it is still the most comprehensive and complete article on bicycles insurance in Australia.

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