The summer is just a few months away. Soon enough, lakes, rivers, piers, and beaches will be open. We all know that not all have the budget for boat rental. Some are also not very fond of being in deep waters. That’s why bike rentals are another option for quality time with family and friends.
Consider getting bike rental insurance. You can use this to cover the medical treatment of customers who accidentally rode a defective bike. This is also helpful if your bikes get lost while they’re in the custody of the bike shop. The damage or destruction of a space you’re renting or leasing is covered too.
Bike rental insurance is a bundled insurance package made up of general liability, commercial property, inland marine, tools and equipment, cyber liability, and other business insurance policies. You’re eligible if your business is a:
City bike rental
Premium bike rental
Bike leasing business
Lake and beach bike rental business
E-bike rental business
Commercial bike rental liability insurance pertains to general liability, professional liability, and product liability policies. We will first discuss how each function before proceeding to other policies available.
| CoverWallet | NEXT (Best) | Thimble | |
|---|---|---|---|
| Per occurrence limit | $1,000,000 | $1,000,000 | $1,000,000/$2,000,000 |
| Aggregate limit | $2,000,000 | $1,000,000/$2,000,000 | $1,000,000/$2,000,000 |
| Products and completed operations aggregate limit | $2,000,000 | $1,000,000 | $1,000,000 |
| Advertising injury coverage aggregate limit | $1,000,000 | $1,000,000 | $1,000,000 |
| Tenant’s legal liability coverage limit | $100,000 | $100,000 | $5,000 |
| Waiver of subrogation included? | Yes | No | Included |
| Hired/non-owned auto liability coverage included? | Yes | No | Excluded |
| Food-borne illness endorsement included? | No | Yes | Yes |
| Can you get a certificate of insurance online? | Yes | Yes | Yes |
| Name additional insureds? | Yes | Yes | Yes |
| Deductible | $0 | $0 | $0 |
General liability insurance is the base coverage included in the tailored insurance for bike rental business. A renter can sustain injuries while using your bike. They might also injure others. Either way, you can be held liable. General liability insurance takes care of this exposure. Use the table above to see which insurance company offers the best general liability insurance.
Your bike rental business’s general liability insurance takes care of liabilities for bodily injuries, property damage, copyright infringement, slander, and libel. This insurance will cover the cost for medical treatment, reimbursement for property damage, legal defense, and court judgments.
Common undesirable incidents accompanying a bike rental business that general liability insurance can cover are:
Your bike’s brakes and wheels are poorly maintained. As a result, a customer sustained injuries
A person holds your business accountable after getting injured by a customer riding your bike
Your bike’s ad used copyrighted elements from a website, a social media page, or any other source
The general liability insurance for bike rental businesses have a $300,000-$1 million per occurrence and $1 million-$2 million aggregate limit. The actual amount of coverage you receive will depend on how many rides you cater per day and the number of bikes you have.
| CoverWallet (Best) | NEXT | Thimble | |
|---|---|---|---|
| Per occurrence limit | $1,000,000 | $1,000,000 | $1,000,000/$2,000,000 |
| Aggregate limit | $2,000,000 | $2,000,000 | $1,000,000/$2,000,000 |
| Name additional insureds? | Yes | Yes | Yes |
| Waiver of subrogation included? | Yes | No | Yes |
| Deductible | $500 | $500 | $500 |
Professional liability insurance might be also helpful for your bike rental business. This grants protection if a customer or any other third party accuses you of failing to maintain the bikes well, hiding the fact that some bikes for rent are in bad condition, or overcharging rental fees. Use the table above to see which insurance company offers the best professional liability insurance.
Product liability insurance can also grant coverage if a customer sustains bodily injuries or property damage because of your bike. Insurance companies automatically include this as an add-on to general liability insurance. Product liability insurance provides $1 million-$2 million you can use to cover settlements, defense costs, court judgments, and product recall expenses.
Get all the best quotes from leading providers in a click of a button!
| CoverWallet | NEXT (Best) | Thimble | |
|---|---|---|---|
| Building coverage limit (minimum) | $50,000 | $260,000 | $25,000/$500,000 |
| Contents coverage limit (minimum) | $50,000 | $35,000 | $25,000/$500,000 |
| Outdoor signs | Excluded | $2,500 | Excluded |
| Accounts receivable | Excluded | Excluded | $5,000/$10,000 |
| Money and securities | Excluded | $2,500 | $1,000 |
| Lock and keys | Excluded | $2,500 | Excluded |
| Business interruption floater | Excluded | Included | Included |
| Equipment breakdown floater | Excluded | Included | Excluded |
| Inland marine insurance floater | Excluded | Excluded | $10,000 |
| Employee dishonesty floater | Excluded | $5,000 | $2,500 |
Your bike rental shop’s storefront is a costly and vital asset. Without this, your business can’t operate well. And so, consider purchasing commercial property insurance to cover repair or rebuilding expenses quickly in case your storefront is damaged or destroyed. Use the table above to see which insurance company offers the best commercial property insurance for bike rentals.
Commercial property insurance will reimburse the actual cash value or replacement cost of a rented, leased, or owned commercial building that got damaged or destroyed because of:
Fire
Theft
Vandalism
Civil commotion
Riot
Sinkhole collapse
Volcanic action
Lightning
Weather
Falling objects
Impact
Aircraft
Vehicle
Sprinkler leakage
Commercial property insurance will also cover the damage or destruction of your rental bikes as caused by the exposures we mentioned above. You’ll get a reimbursement based on the overall estimated value of the bikes. Note that coverage will only apply if damage or destruction occurred within the premises of your business.
| CoverWallet | NEXT (Best) | Thimble | |
|---|---|---|---|
| General liability aggregate limit | $2,000,000 | $1,000,000/$2,000,000 | $1,000,000/$2,000,000 |
| Commercial property coverage limit | $50,000 | $260,000 | $25,000/$500,000 |
| Optional policies can be added? | Yes | Yes | Yes |
| Name additional insureds for free? | Yes | Yes | Yes |
| BOP discount? | Yes | Yes | Yes |
A Business Owner's Policy (BOP) is a packaged policy that combines commercial property and general liability insurance for small businesses. Bike rental businesses can save money by taking out a BOP because it typically offers a discounted premium compared to purchasing separate policies for your business property and liability coverage.
Furthermore, BOPs often include additional coverages such as business interruption and employee dishonesty coverage which can provide extra protection for your business. Use the table above to see which insurance company offers the best business owner’s policy for bike rentals.
| NEXT (Best) | Thimble | |
|---|---|---|
| Aggregate limit | $3,000/$10,000 | $2,500/$5,000 |
| Covers hired and borrowed equipment? | $3,000/$10,000 | $2,500/$5,000 |
| Miscellaneous equipment also covered? | $5,000/$10,000 | No |
| Offered as an endorsement to general liability insurance? | Yes | Yes |
| Deductible | $500 | $500 |
Tools and equipment insurance is another type of bycicle rental business insurance that covers the rental bikes you own. The coverage of this insurance applies when:
The customer loses the bike of your rental shop because of theft
Your customer is careless and damages the bike
A gear, wheel, or bearing suddenly breaks down while a customer is using the bike
Upset and impact inflicted some damage to your rental bike
Bike rental shops can avail tools and equipment insurance with a $10,000-$25,000 limit or one that grants a reimbursement based on the total cost of replacing the covered bikes in question.
Don’t forget about cyber liability insurance if your bike rental shop uses a website or mobile app where customers can book bikes.
Unauthorized access can happen to your bike rental shop’s website or mobile app. Because of this, customer phone numbers, credit card numbers, and emails might get leaked.
The job of cyber liability insurance is to take care of costs when this happens. You can use this insurance to pay the:
Costs for containing the breach
Costs for recovering any lost information
Costs for credit and fraud monitoring
Legal defense expenses
Here are some other insurance policies to consider. Add these to your bike rental insurance package and enjoy a more comprehensive protection:
Business interruption insurance-Business interruption insurance is designed to reimburse you for lost income and expenses if your business has to close temporarily due to a covered loss, such as a natural disaster, fire, vandalism, or theft. This is included in commercial property insurance
Workers' compensation insurance-Many states require businesses that hire employees to have a workers' compensation scheme. This insurance coverage caters to the medical expenses and lost wages for employees who suffer work-related injuries or illnesses
Employee dishonesty insurance-Employee dishonesty insurance will cover financial losses if an employee of your bike rental shop commits theft, forgery, unauthorized credit card transactions, embezzlement, social engineering, and other dishonest acts. This may be offered as an automatic inclusion to commercial property insurance
Commercial auto insurance-Commercial auto insurance is necessary to protect your business and its employees from financial loss in case of an accident or other incident involving company-owned vehicles used to deliver or transport rental bikes
| Cost per Month | Cost per Year | Deductible | |
|---|---|---|---|
| General liability insurance | $35 | $420 | $0-$500 |
| Professional liability insurance | $40 | $480 | $500-$1,000 |
| Commercial property insurance | $50 | $600 | $1,000-$2,000 |
| Business owner's policy | $80 | $960 | $1,500 |
| Employee dishonesty insurance | $60 | $720 | $1,000 |
| Commercial auto insurance | $55 | $660 | $500-$1,000 |
| Workers compensation insurance | $100 | $1,200 | $1,000-$2,500 |
| Tools and equipment insurance | Depends on the value of equipment to be insured | Depends on the value of equipment to be insured | $500-$1,000 |
| Cyber liability insurance | $90 | $1,080 | $1,000 |
The average bike rental business insurance cost is $35 per month or $420 per year for a $1 million general liability policy. Premiums are determined according to:
Number of bikes being insured
Location of the bike rental business
Type of coverage being purchased
Deductible
Policy limits
Number of employees
Ensure you're getting the best rates, compare quotes from multiple carriers to get the best coverage at the most competitive price. Start by clicking the “Get Quotes” button on this page. To get a further idea of the cost, here’s a table showing the rate of a $1 million general liability insurance from the recommended companies:
| Cost per Month | Cost per Year | Best for | |
|---|---|---|---|
| NEXT | $18 | $216 | Best overall; Fastest general liability insurance for bike rentals |
| CoverWallet | $21 | $252 | Comparing bike rental insurance quotes online |
| Tivly | $23 | $276 | Comparing insurance quotes for bike rentals over the phone |
| Thimble | $23 | $276 | On-demand coverage for bike rentals |
| McClain | $25.83 | $309.96 | Insurance for rental e-bikes |
| Velosurance | $38 | $456 | Roadside assistance coverage for bike rentals |
Get all the best quotes from leading providers in a click of a button!
The insurance market is flooded with many providers, but you should choose a carrier that can underwrite policies specifically for a bike rental business. Also, look for companies with a history of paying claims promptly and fairly.
Here are the best bike rental business insurance companies to consider. Read some of the reviews below to know their cost of a $1 million general liability insurance, pros, and cons.
Best overall
Issues an online proof of insurance instantly
Fastest general liability insurance for bike rentals
Great customer service and reputation
Excellent rates
Outstanding value for money
Get a 10% discount if you buy two or more policies
Couldn’t find any
NEXT’s bike rental insurance offers a business owner’s policy, general liability insurance, workers compensation, and tools and equipment insurance. This company’s BOP consists of $1 million-$2 million general liability insurance, $260,000 commercial property insurance, and $2 million product liability insurance.
Getting covered is easy because NEXT allows you to purchase coverage online. Moreover, you can do this without talking to any insurance agent.
Once you’re covered, NEXT creates an online account that you can access through the company website or mobile app. You can use this online account to view the present limits of your coverage, add additional insureds, and get a free certificate of insurance.
Best for: Best overall; Fastest general liability insurance for bike rentals
Average cost: $18 per month
Our rating: 10/10
Compare bike rental insurance quotes online
Online policy management
Cancel your coverage anytime
Competitive rates
Not an insurance company but a broker
CoverWallet is an insurance broker with an online platform that you can use to compare the quotes of different insurance companies and purchase a desired coverage online. By working with CoverWallet, you get comprehensive coverage at the most reasonable price. CoverWallet allows you to avail the following policies:
$1 million-$2 million general liability insurance
$50,000 commercial property insurance
$1 million professional liability insurance
Business owner’s policy
Workers compensation insurance
Best for: Comparing bike rental insurance quotes online
Average cost: $21 per month
Our rating: 10/10
Compare quotes over the phone
A partner of many reputable insurance companies
Responsive customer service
You need to call to get a quote
Tivly doesn’t have a bike rental insurance package. However, you can get covered through this company’s retail insurance package. Call a Tivly representative to know what policies are offered and compare quotes over the phone.
Best for: Comparing insurance quotes for bike rentals over the phone
Average cost: $23 per month
Our rating: 10/10
On-demand coverage
Online certificate of insurance
Sells a short-term general liability policy
You can’t reach customer service by calling
Thimble can cover your bike rental business through its equipment rental insurance package. However, you will be referred to Tivly for a quote. Policies you might get are general liability, commercial property, business owner’s policy, and workers compensation insurance.
Best for: On-demand coverage for bike rentals
Average cost: $23 per month
Our rating: 9/10
Bicycle rental-specific insurance policies
Road assistance coverage is available
A wide range of insurance policies, including customized coverages
Discounts are available for customers
It's impossible to obtain a prompt quote online
Established in 2013, Velosurance is a great option for those searching for top-notch bicycle insurance in the USA. Their insurance policies are provided by Markel American Inc. and offer coverage for the total value of your bike, unlike other insurance providers that may only cover the depreciated value. This means that in case of any unfortunate incident, you'll be able to replace your bike with a similar one.
Whether you lose one of your rental bikes due to theft or damages while you're away on a trip, Velosurance will cover the repair or replacement expenses, even if you're abroad in countries other than the US and Canada.
Velosurance's policies provide customization options to cater to the needs of bike rental businesses. The basic policy costs around 7-8% of the bike's value. The coverage starts at $100,000 per year and covers events such as:
Theft
Loss during transit
Accidental damage
It also offers liability protection with a $25,000, $50,000, or $100,000 per-incident coverage limit. The Fort Lauderdale, FL-based insurer also provides policies that cover roadside assistance with a maximum of 35 miles of transportation per breakdown for five occurrences a year and medical coverage.
Velosurance has joined forces with various bicycle shops throughout the US, providing customers with the convenience of having your bike serviced by your preferred local shop. Velosurance offers reduced rates to members of specific biking organizations such as USA Cycling, the International Mountain Bicycling Association (IMBA), and the USA Triathlon. As Velosurance only provides coverage for bikes, customers may not combine multiple coverages in a single policy.
Best for: Roadside assistance coverage for bike rentals
Average cost: $38 per month
Our rating: 8/10
Online quotes
Has a mobile app
Covers e-bikes
Text, call, or apply online for an insurance quote
Doesn’t cover bike shops only their bikes
McClain doesn't cover bike rental shops. However, consider approaching this company if you want to get comprehensive insurance for all of your bikes. What makes this company stand-out is that it works with a wide network of bike rental repair shops.
Another thing to know is that you can get insurance for a racing event consisting of general liability, participant accident coverage, and more. When purchasing insurance, McClain hooks you up with insurance agents who are cycling enthusiasts. This means that you’ll talk with someone who really understands your fears and needs.
Best for: Insurance for rental e-bikes
Average cost: $25.83 per month
Our rating: 8/10
This place is an absolute joke of a company and should be ashamed of the way they conduct business. I was hurt on the job at the end of July and it took them just shy of 7 weeks to issue out a paycheck to me. Yes the amount was back dated but still. Not many have the luxury of not receiving a paycheck for almost 2 months. To top it all off, the original adjuster marked me down for the wrong state which caused a problem from the get go, I've had 3 different adjusters now since each one can't seem to figure out the simplicity of my claim. All my paperwork which includes, my job, house, and drs visits all are from the same state and city but yet some how I have been filed under a completely different state 1500 miles away. They do not answer your phone calls or emails no matter how many you leave. I've had to escalate my frustrations to the supervisors of each of these individuals in order to even get some kind of response. I've had more communication and information given to me about my claim from the customer service representatives then the actual adjusters.......... please tell me how that works?! A serious overhaul needs to happen here in order to serve your clients the way they deserve to be taken care of. 10/10 do not recommend this company to a single soul on earth
I have never had the displeasure of working with a more incompetent and disrespectful person in my life. I’m an injured worker and the adjuster that was assigned to my case was named Carrie Furgeson. In the past 6 weeks that I’ve been injured and out of work I have only been able to get ahold of her twice, not for lack of trying. I have left countless voicemails, countless emails, and she ignores them all. When I am finally able to get ahold of her I’m greeted with terrible customer service. She is rude, she talks over me and I’m hardly able to get a word in edgewise. She spelled my name wrong on my documents even after I spelled it for her properly countless times, this caused a whole new issue with my bank. I have bill collectors from the hospital calling me demanding payment and Carrie Furgeson won’t do a single thing to help, or to get them paid. All of my documentation is in Colorado, my job is in Colorado, my address is in Colorado, all my Dr offices and appointments have been in Colorado and Carrie still managed to hold my claim because she wasn’t sure what state she needed to file it under. It’s been 6 weeks since my Injury and my company still hasn’t received the wage paperwork to fill out so they can get me my correct wages. When she’s not ignoring me she’s answering my questions with “I don’t know” well I don’t know how she got this job, because apparently she doesn’t know anything about it. She is a disgusting morose individual inside and out and I genuinely wish her the worst in all of her future endeavors. I highly recommend you don’t use this company. Please if you are a business owner and your looking into this company please don’t use them. I’m sure they have the cheapest payment and that’s why companies use them in the first place, but you will be doing your employees a grave disservice by forcing them to venture into this absolute dumpster fire of a company. I would rate 0/5 if possible but 1 was the lowest I was allowed.
Their general liability insurance purchase process is simply the best online experience I've ever had in my life!
As long as they cover your line of business, you're literally covered! best rates, best coverage, best online experience, best professionals, can't be happier that I chose them!
It really can't get any better than this... wow
Not all those who wander are lost.
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