Motorcycle repair costs remain high


Latest CarGarantie analysis of in-force business

CG Car-Garantie Versicherungs-AG has once again evaluated its in-force business with a view to analysing the kind of damage to which motorcycles are prone and the cost factors involved. The analysis consisted of examining used and new motorcycle extended warranties for all models and brands over the past year. The warranty periods ranged from 12 to 36 months. The review confirms the trend seen over the past years: the rising complexity of the incorporated technology continues to result in expensive repairs.

Repair costs remain high
Sophisticated technology is making driving as comfortable an experience as it ever has been. In turn, however, this means that motorcycle riders are being confronted with new forms of damage to their bikes, with intricate technology potentially proving to be very expensive. CarGarantie’s damage analysis reveals that the average repair costs remain at a high level: repairs on a new or used motorcycle cost an average of almost 400 euros in 2017.
The rankings for the most expensive components have seen little change. The engine continues to rank first in terms of the most expensive repairs on used motorcycles, followed by the electrical system and the transmission. Whilst engine-related damage as a proportion of all damage remained virtually unchanged at 23.5% (2016: 23.4 %), electrical systems saw a rise in share from 21.8% in 2016 to 23.4% in 2017. By contrast, transmission-related repairs fell by 2 percent to 13.7%. All in all, damage to these three components accounted for significantly more than half of all repair costs last year. The situation is comparable among new motorcycles: as before, the engine, electrical system and transmission as a percentage of the total costs rank first to third, respectively.

Electrical systems affected in almost a third of all cases
As in 2017, the electrical system remains the most repair-prone component. Its share of damage among used motorcycles has actually seen a further increase of one percent to 30.8%. This means that close to one-third of all used motorcycle damage occurs in the electrical system. In turn, this share has dropped slightly among new motorcycles but, at 26.1% (2016: 26.5%), still accounts for over a quarter of all repair incidents.
Ranking 2nd and 3rd among both used and new motorcycles are the engine (13.9% among used and 11.4% among new motorcycles) and the transmission (10.4% and 9.6%, respectively).

Damage to used motorcycles occurs early on
The majority of motorcycle damage occurs early on. Among used motorcycles, the share of damage arising during the first 10,000 km after commencement of the warranty stands at well over 90%. Even among new motorcycles, more than half of all damage occurs during the same period. Needless to say, the situation is comparable in terms of the number of damage incidents measured in days: 88.5% (used motorcycles) and 42.8% (new motorcycles) of all damage occurs during the first 360 days after commencement of the warranty. Whilst this figure represents a fall of 0.4 percentage points among used motorcycles, the comparable share among new motorcycles rose by 1.3 points.

Rudolf Schwär, Head of Bike Team CarGarantie
“2017 has shown once again that motorcycle defects can cost a pretty penny. Expensive components, such as engines or transmissions, are also the ones most susceptible to repair – a result of the ever more complex technology found in new and used motorcycles.
This is yet another good reason to take out a warranty to cover any eventualities: bikers then don’t need to worry about being hit with unexpected costs for repairs and dealers benefit from increased customer satisfaction and greater customer loyalty. So, it’s definitely worth considering taking out a warranty.”

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