It’s a nightmare. You walk out to where you parked your motorcycle, and…it isn’t there. Thank goodness you have a good Illinois motorcycle insurance policy! But if your bike is not found, will your insurance provider replace what you lost?
That depends on what kind of policy you have. The following information has been compiled from online sources.
The cash value of your bike is what you could expect to get if you were to sell it today. Replacement value is the amount you would spend to buy the exact same bike new. If your motorcycle is stolen, the insurance company will pay you cash value—after paying the lender, if you have an outstanding loan on the bike. Because vehicles begin to depreciate as soon as you leave the dealership, for a while you may owe more on your motorcycle than it is worth.
You can fill the gap between the cash value of your motorcycle and what it would actually cost to replace it with—you guessed it—gap insurance. The value of the coverage will decrease as you pay down the loan: the difference between the cash value and your loan balance will become smaller, while your premium remains the same. Because of this, you should reevaluate your need for gap insurance annually.
Make sure you know exactly what your Gurnee motorcycle insurance policy covers, and of course, do everything in your power to protect your bike from theft and damage. If you ever need the expertise of a Gurnee motorcycle wreck lawyer, contact Hupy and Abraham. Call us toll free at 800-800-5678 or locally at 414-223-4800. Use our online contact form for a FREE, no-obligation consultation. You can also request our FREE book, The Ultimate Guide for Motorcycle Accident Victims.