Direct Line Launches Specialist Cycling Insurance

Direct Line is launching a standalone bicycle insurance product, aimed at fully covering the expensive bikes and gear of Britain’s legions of cycle commuters and hobbyists.

Earlier this year, we reported on research that insurance products aren’t keeping pace with the cost of bicycles or the prevalence of their theft, particularly after the surge in cycling popularity during the pandemic.

Cyclists regularly drop thousands of pounds on their bicycles, only to find the coverage they expected to have from their home insurance either doesn’t exist or is capped at just a fraction of the cost of the bike.

According to research from Defaqto, just 16% of home insurance policies cover bicycles outside of the house as standard. And one in eight policies won’t even pay out if your bicycle is nabbed from inside your home.

The solution for many cycling enthusiasts has been specialist, standalone bicycle insurance. This is where Direct Line has entered the market, with a new product developed with input from cyclists and underwritten by Red Stands Insurance, a specialist in bicycle insurance products. 

Direct Line’s policy is designed to address the gaps in bicycle coverage from home and contents insurance, including their exclusion of out-of-the-house thefts and cap on payouts.

The new specialist, standalone product provides comprehensive cover for bicycles both at and away from the home, paying out for theft and accidental or malicious damage. It also covers cycling accessories and e-bikes.

Customers who purchased their bikes will be able to replace them with new equivalents following a claim for as long as they hold the policy, not just within the first year of the bike’s lifespan.

The policies also include public liability and personal insurance cover for the rider, with packages tailored to commuters, casual riders, adventurers and cycling enthusiasts. 

Customers can also opt to be covered when they’re participating in cycling races or when travelling abroad, for an additional charge on their premiums.

Paul Stevenson, product manager at Direct Line, said: “With the increased popularity of cycling in the UK over the last 12-months+ since the pandemic hit, we have used our expertise and industry knowledge as one of the UK’s leading insurers to bring to market a specialist insurance product that is specifically tailored towards cyclists, their bicycle (including e-bikes) and their cycling kit.”

“The policy can also cover insurance for third party costs as well as the cyclist themselves; so giving our customers the protection and peace of mind they need when taking to their bicycle.”