The sunny days are finally back and you will be able to enjoy your motorcycle again. Given the unpredictable weather, you are probably wondering if there is an insurance company for motorcycles that would calculate its premium per kilometer as is the case for certain insurance companies for cars.

It is true that the question of insurance per kilometer seems even more relevant for motorcyclists than for motorists.

Quick update on this question.

Motorcycle insurance per kilometer

Motorcycle insurance per kilometer is not a product that is offered by many insurance companies. In any case, they do not highlight this insurance formula for motorcyclists. The reason is twofold. On the one hand, there are far fewer motorcyclists than motorists and secondly, motorcycle insurance premiums are much less expensive than car insurance premiums. Finally, the demand for this type of formula is still quite marginal today.

It nonetheless remains true that motorcycle insurance per kilometer makes sense and that you can undoubtedly make such a request to your broker who should certainly be able to answer this question positively.

How does per kilometer insurance work?

Motorcycle insurance works like car insurance. The insured declares the maximum number of kilometers he will travel over the insured period. It is a relationship of trust that is created between the insurer and the insured. Is there any control? In fact, no, insurance companies cannot control the number of kilometers you drive over the insured period and in fact, they would have little interest in it. It is at the time of reporting a claim that your company will ask you for the mileage of your vehicle and may question the relevance of your prior declaration when taking out insurance.

Note that many insurance companies offer a reduction in your insurance premium as soon as you drive less than 15,000 or even 10,000 km per year. On the other hand, very few companies offer true per-kilometer insurance, that is to say, insurance which even under 10,000 km still reduces your premium based on your actual mileage. So be attentive to this nuance and ask this question carefully when taking out your insurance.

Car and motorcycle insurance: the classic formula

All insurance companies will offer you a significant reduction in the amount of your motorcycle insurance premium as soon as you also take out a car insurance contract with the same company. Reductions on the motorcycle insurance premium can go up to 60% of the regular premium amount. Some companies even offer you a double reduction: both on the car premium and on the motorcycle premium. It is not uncommon to obtain a 50% reduction on the motorcycle premium and 15% on the car premium. In this case, you can always negotiate with your broker a greater reduction depending on the few kilometers you travel by car or motorbike. In short, it’s all a question of negotiations! Good luck !

Are you considering purchasing a house or any other real estate? You will therefore take out a mortgage loan. You are absolutely right. Firstly because interest rates on mortgage loans have never been so low but above all because index jumps linked to inflation have never been so frequent and so significant. What impact, will you tell me? The indexation of your rent of course.

If you look closely, the rent that you accepted in 2008 ends up reaching significant amounts whereas taking out a fixed rate mortgage loan allows you not only to acquire the property but above all to pay a fixed monthly amount until upon the definitive acquisition of your house. Let’s take a quick overview of the insurance that is very advisable to take out when taking out a mortgage loan.

“Loss of income” insurance

In the event of loss of income or employment, the consequences on your current mortgage credit can be dramatic. There is insurance that can protect you against this risk. This insurance meets specific conditions and is limited in time: generally, 12 months after the loss of your job. Contact us for more information

“Outstanding balance” insurance

Essential in the event of death to protect your co-borrower or your heirs. So in the case of co-borrowers, if the coverage concerns 100% of the person who died, the insurance covers the entire reimbursement. Please note that many banks require the prior subscription of this “outstanding balance” insurance to accept your request.

Classic insurance

In Belgium, you will not be able to take out a mortgage loan without taking out fire insurance. Regardless, once your property has been repaid, it is essential to remain insured against risks that could affect your home.

Other insurance policies are strongly recommended: insurance against theft of furniture, insurance against water damage and natural disasters for example, etc.

Applying for credit to finance various products and activities such as a car, a wedding or a trip is a fairly common practice in our current society. Many people are granted a loan but few of them know that it is necessary to take out insurance to guarantee the loan.

Highlighting this concept, often misunderstood by borrowers because of the additional costs it generates.

Why is it necessary to provide insurance in a credit contract?

Insurance is a guarantee for the heirs or relatives of the borrower in the event of death or disability of the latter. Thus, no person will be obliged to repay the loan if something bad happens to the person responsible for payment.

Furthermore, thanks to “outstanding balance” insurance, the bank granting the loan is protected when a repayment is not made. Therefore, if it is ever impossible for someone to fully pay off a loan, the financial intermediary is protected in the event of default.

Is insurance a separate contract from credit?

The companies managing insurance and those granting loans constitute two sets of different and independent companies. Consequently, the contract certifying the obtaining of a loan and the one certifying the addition of insurance are two completely separate agreements.

Is it possible to take out a credit contract without insurance?

Please note that insurance is optional and that there is no legal obligation forcing you to accept these additional costs. On the other hand, the banks are all looking for this guarantee and it will therefore be difficult for you to override this measure if you wish to acquire a loan.

How is the cost of insurance calculated?

Obviously, the price of insurance varies depending on the capital borrowed. Other factors are also taken into account when determining the amount of this guarantee. Among the most important, we find the age and the state of health of the borrower. Without forgetting the duration of the contract, playing an important role in the final calculation.

How is the insurance premium paid?

Two options are now available to you if you opt to add insurance to your credit.

• On the one hand, this payment can be made directly and using a single transfer. No amount is therefore removed from the initial cost of the loan.
• On the other hand, if you are unable to pay such an amount when the time comes, the cost will then be deducted from the original value of the loan when the money is transferred to your account.

A hit-and-run occurs when a driver fails to stop after causing a traffic accident. Whether he is responsible or not, this individual must, according to the law, complete the European accident report form with the opposing party.

The fact that the author of the accident fled creates confusion, not only in establishing the findings and determining responsibilities, but especially in terms of subsequent compensation, particularly if he cannot be found.

Actions to take in the event of a hit-and-run accident

If you are the victim of a hit-and-run accident, you must immediately notify the police so that they can draw up a report. If witnesses witnessed the accident, their testimony must be heard by the police to determine with greater certainty who is responsible.

And from an insurance point of view?

If you have taken out civil liability (RC) insurance. The repair of your bodywork is your responsibility since this type of insurance. Only covers damage to the vehicles of other victims of the accident. If the person responsible for the accident is found. Or turns himself in to the police, you can claim compensation from him. Taking out legal protection insurance allows you to receive assistance in these procedures. This also covers legal fees and costs.

If you have taken out full Omnium, the repairs carried out on your vehicle will be covered by the insurance. Otherwise, you can always turn to the Belgian Joint Guarantee Fund (BJGF) to request compensation. If you are seriously injured in this accident and if the driver at fault cannot be found.

The insurance company must be informed by registered letter with acknowledgment of receipt of your decision to terminate the insurance contract. Belgian legislation provides for 5 circumstances in which it is possible to terminate your car insurance contract. Each of these corresponds to a specific deadline that must be strictly observed. What is the notice period for terminating car insurance?

Upon the expiration of the insurance contract

It is possible not to renew your car insurance contract when it expires. You simply need to send your cancellation letter at least 3 months before this anniversary date. If you have already found a new insurer, they can handle this formality for you.

Termination after a claim or an accident

If you are not satisfied with the handling of your case by your insurance company after an accident, you can terminate your contract with them. To do so, simply send a registered letter with acknowledgment of receipt within one month at most after compensation or refusal to pay.

What if the insurance company increases its rate?

If the company changes its general insurance conditions or increases its rates, you have a maximum of 1 month from the receipt of the letter announcing this change to terminate your contract.

What if the risk of having an accident decreases?

Are you changing cars and your new vehicle is significantly less powerful than the previous one? Are you moving and driving fewer kilometers to get to work or for your professional travels? As soon as the risk of having an accident is reduced, you can ask your insurer to review your premiums.

If the latter refuses to lower them, you can terminate your insurance contract by sending them a registered letter. Termination will be effective 30 days after receipt of this letter.

Termination after signing the insurance contract

Belgian legislation also provides for a 14-day withdrawal period after signing a car insurance contract. This means you can request the cancellation of this contract during this legal period.

Are you considering taking out a loan or credit: whether it is an installment loan or a mortgage?

You are a bit worried because, like everyone else, you do not know what the future holds and you want to be sure that you can repay your loan until it matures.

Did you know that you can supplement your loan with insurance whose premium is modest and can protect you from financial uncertainties throughout the life of your loan?

A few words of explanation…

Why take out insurance?

Without intending to exploit the economic situation affecting Europe or Belgium, it is evident that lately, not a week goes by without the media announcing a company restructuring, synonymous with job losses. Unfortunately, this can happen to anyone.

Sometimes, you also borrow with your spouse or a third person and an unexpected death puts your repayment capacity seriously at risk.

The consequences of defaulting on payments and a denunciation can be particularly stigmatizing.

What types of insurance policies?

Rest assured, you are not without means to deal with such difficulties. The insurances that can be useful to you are generally of two types: unemployment insurance and outstanding balance insurance.

What are the conditions?

Unemployment insurance

• Be at least 21 years old;
• Waiting period of 6 months after signing the credit agreement;
• Be in a permanent employment contract;
• Have completed your probationary period of 3 months;
• Be eligible for unemployment benefits.

Outstanding balance insurance

You must answer a questionnaire that will allow your insurer to assess the risks inherent in your file. Sometimes, you also need to undergo a medical examination.

This insurance protects your heirs and your co-borrower in the event of death.

Optional or mandatory?

Signing an insurance contract is always optional. However, some banks will refuse to grant you credit if you do not take out an outstanding balance insurance policy. In this case, you forfeit your credit.

Sleep peacefully

The cost of these insurances is not high. Discuss the amount of the premium with your broker. Generally, this premium is paid in one go and its amount is deducted from the loan amount granted to you.

Peace of mind obviously comes at a cost, but nothing beats tranquility.