Life Insurance For Cyclists

    How Cycling Makes Insurance More Affordable

    Being in excellent health will let you live a better, longer life. Aside from that, being in a good physical condition also affords you lower insurance rates. 

    Riding bicycles is one of the best and easiest ways to improve your physical well-being, especially if you do it regularly. If you’re a cyclist, this hobby can make life insurance more affordable to you.

    In this guide, we’ll discuss everything you need to know about life insurance for cyclists. We’ll cover how insurers calculate your premiums, how cycling can help lower them, and the common risks that cyclists may face on the road – we’ll also provide insurance options that can help you manage those risks.

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    Can Cycling Reduce My Life Insurance Rates? 

    Your rates are mainly influenced by how likely you are to die during your insurance term. The likelier you are to die within your policy’s term, the higher your rate will be. 

    Life insurance companies determine this likelihood in a process called underwriting. In this process, your risk is calculated based on factors like your personal well-being, age, occupation, and your family’s health history. 

    While most risk factors such as age and family health are fixed, you have some control over your health. If the insurance provider finds that you’re in good health, your rates can be lower.

    Healthy activities like cycling and other sports won’t reduce your rates on their own. However, the health benefits you reap from cycling can encourage insurers to give you a lower rate.

    How Insurance Companies Classify Your Health 

    You may be required to go through a medical exam and answer questions about your health. This allows insurers to accurately assess your risk and classify you into one of four categories.

    Insurers may use different guidelines and names, but many use the Preferred Plus to Substandard classification system. The lower your health classification, the higher your premiums will be. 

    For instance, if you have a 20-year $500,000 policy, you can expect to pay $295 annually if you fall under the Preferred Plus rating. A Standard rating would cost significantly more at $560 per year.

    If you have an especially complicated family health history or have recently suffered medical issues (e.g. diabetes, heart attack), you may get a Substandard or table rating. If you get a table rating, you’ll be further graded from A to J based on your condition. 

    For Substandard customers, your premiums are Standard rates plus 25% for every additional “step” on the table. Getting an A rating means you would have to pay Standard premiums + 25%, a B rating would mean Standard premiums + 50%, and so on. 

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    How Cycling Improves Your Health Classification 

    In this section, we’ll cover how cycling can improve your physical well-being and lead to a better classification.

    Better Cardiovascular Health

    Heart disease and heart attacks are a major cause of concern for insurers. If you have a history of cardiovascular disease, the insurer will look at your medical exam with more scrutiny. 

    A study shows that cyclists have 15% fewer heart attacks compared to non-cyclists. In addition to that, cycling also has the benefit of regulating your heart rate and blood pressure, which reduces your risk of heart attacks. By reducing your risk of heart attacks, you’ll have a better chance of getting a higher health class.

    Reduced Risk Of Diabetes

    Insurers usually check for underlying diseases like diabetes when you apply for a policy. While diabetes is often hereditary, you can manage that risk by cycling regularly. Physical exercise has a positive impact on your insulin and blood glucose, which can prevent diabetes. 

    Even if you already have diabetes because of your family history, low-intensity cycling can help you better manage your blood sugar levels. By managing your diabetes symptoms, you might get a better rate from your insurance company.

    Lower Risk Of Obesity

    Your weight is an important measure of your health, especially when it comes to insurance. Insurers usually look at your body mass index (BMI) to partially determine your risk profile. 

    If your BMI falls in a healthy range, you’re more likely to be given a better rate. Combined with a healthy diet, cycling can reduce your risk of obesity and help you get affordable premiums.

    Better Mental Health

    Some insurers may also factor in your mental health in your policy application. A history of mental issues such as bipolar disorder or depression can result in a lower classification. However, as with physical issues, you can get a better health class if you show that you’re managing your condition.

    Physical exercise, such as cycling, is proven to have a positive impact on your mental health. When combined with treatment and therapy, you can get a better rate from your insurer.

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    Additional Protection For Bike Riders

    In addition to life insurance, you can also consider these other options for increased protection as a cyclist. 

    Accidental Death & Dismemberment Insurance

    Accidents are one of the most common risks that a cyclist faces when riding. The NHTSA reported 47,000 injuries due to cycling accidents in 2018. 857 fatalities were recorded in the same year. 

    When a collision happens between a motor vehicle and a bike, it’s usually the cyclist who bears a higher risk of injury. To protect yourself from accidents and injuries while riding your bike, you can purchase accidental death & dismemberment (AD&D) insurance.

    An AD&D policy pays out if you die, become dismembered, or get a permanent injury as a result of a bike accident. Due to its limited coverage value and stricter terms, these policies are often bought to supplement an existing term or whole life policy. 

    Aside from standalone AD&D policies, some companies may also provide extra accident coverage in the form of riders. With these riders, your loved ones will receive an extra benefit on top of your initial coverage amount in the event of your death. 

    Home Insurance

    Home insurance policies provide coverage in case something bad happens to your residence. A home insurance policy provides coverage for things such as fires, wind damage, theft, vandalism, as well as damage from burst pipes. 

    Included in the home insurance coverage is your personal property. Having home insurance is a good idea for cyclists because your bike is covered as part of this policy.

    According to the bike registry program Project 529 Garage, over two million bikes are stolen per year across the US. Of those millions, only several hundred thousand are recovered by police. Because most cyclists neglect to register their bikes or note down the serial numbers, it’s typically tougher to recover bikes compared to other motor vehicles. 

    If your bike gets stolen, you can make a claim for home insurance benefits from the company. However, the coverage limits set by home policy providers may be of lower value compared to dedicated bike insurance. 

    Specialized Bicycle Insurance

    One of the risks that often plague cyclists is damage to their bikes. These damages most often occur when riding due to crashes or accidents. Bike damage can also happen in transit if you travel with it often. Because bike prices can go up to tens of thousands of dollars, damage to your bike can be a very expensive problem.

    For serious bike riders or endurance athletes, you can also apply for a dedicated bicycle insurance policy. These policies offer all-in coverages that protect you in case of bike theft, crash damage, mishandling during transit, and personal liability. In addition to that, some types of bicycle insurance providers also offer roadside assistance if your bike breaks down as well as health insurance coverage.

    Closing Thoughts 

    Cycling can be beneficial to both your health and your insurance rate. However, cycling also comes with several risks that you may face on the road. To counteract this, you can apply for supplemental insurance policies that can protect you and your bike.

    If you’re a cyclist and you’re looking for life insurance policies with the best value, Wesley Insurance, LLC is here to help! Our team of professionals can advise you on how to minimize your insurance rate while still getting the protection you need. Contact us today for more information!

    Written By Cameron McDowell
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