Cycle market consumer research platform Cycling Insight has linked with Protect Your Family to survey 201 UK cyclist’s feelings on what is desirable from an insurance policy.
Mirroring sales, which have flown during the Covid-19 outbreak to the point of creating widespread shortages, bike thefts have likewise sharply increased. For the cycling insurance business this has seen a natural growth in interest in consumer enquiries.
The study revealed that, for insurers, there is an untapped market with just 23% of cyclists already buying cycle specific insurance. 43% said that they were instead relying on their home contents policies to provide them cover, though 44% of that pool were unaware of the specifics of just how much they had their goods covered for.
Education in the market is seemingly required. 44.3% said that they were not aware of the difference between bike insurance and third-party liability insurance.
Marketing wins to be had
While the enthusiast may fair better, most new cyclists are unaware of cycle specific insurance brands; 32% did not recognise any of the brands in an extensive list of such businesses. Pedalsure fared best, tallying 33% recognition.
While brands can do more to up their visibility, the consumer at this stage appears to have no loyalties or preference, deeming it neither important nor unimportant when choosing.
Predictably, price weighs heaviest on the consumer’s decision making, rating 4.3 out of 5 in the level of importance when choosing a policy. Thereafter, personal accident cover took second place, reflecting the general sense that cyclists in the UK are not comfortable on roads where safe conditions rarely exist.
Similar to consumer demand, business cover requests have tracked an uptick in new workshop businesses entering the market, with professionals seeking cover for their services in order to participate in the Government’s voucher scheme.
A report is now available to those with an interest in the subject via author Angus King, who has recently become one of CI.N’s research contributors.