Those insuring their motorcycles want to do so affordably. Indeed, customers want to pay the lowest possible price for their coverage. As their agent, it's up to you to help them meet those goals. One of the most effective ways to do so is to apply policy discounts to their coverage. What are some of these? How can you apply them to clients?
Whether you're issuing a simple liability policy, or one with full bike coverage, you can often apply discounts. In the end, you might be able to guarantee that you get a client the most affordable coverage.
Understanding And Explaining Discounts
An insurance discount is a level of policy savings afforded to qualifying customers. Some discounts can apply to almost any biker — so long as they meet certain requirements. In other cases, while one biker might be able to qualify for certain discounts, another might not.
Therefore, the exact type of discounts a rider can obtain might vary by policyholder. Each discount might allow you to take a certain dollar amount or percentage off the premium.
Nevertheless, discounts often prove conditional. So, if a driver opts for certain policy options, then they might not qualify for savings. Or, if they commit certain driving offenses, then the discount might expire.
Discounts vary from insurer to insurer. Some of the most-common include savings for:
- Paying a premium up-front and in-full
- Mature bikers who have considerable experience behind them
- Bikers who complete and pass an approved motorcycle safety course
- Automatically renewing a policy with the insurer year over year
- Bundling motorcycle insurance with other policies like car or home insurance
- Remaining accident free
Applying Them To Customers
Your insurance partners will set different requirements on which drivers can qualify for their discounts. Therefore, it is up to you to determine how to apply each rate reduction to each customer. How you analyze and compare your policy offerings will include consideration for discounts.
Encourage clients on the ways to save time by enrolling in different payment options. For example, automatic renewals, automatic payments and pay-in-full options often can apply to all customers. If a client can use these opportunities, then they might save themselves a lot of time, in addition to money.
Don't forget to also take a close look at each client's driving history and risk profile. If the driver is low-risk, then they will likely qualify for more discounts. Assuming they maintain this low risk, then they can likely keep these discounts as well. A professional analysis of risks might open a driver to new savings opportunity. As the agent, you can be a leader in achieving that goal.