One of the unique features of our policy is we do not depreciate the value of your bicycle, no matter its age. You should therefore always insure your bicycle for what you paid (whether new or second-hand). If you underinsure your bicycle, we will simply reduce the settlement value proportionately to the level of underinsurance. This is common practice within most areas of insurance. For complete clarity, here is an example of how we would calculate a pay-out for an underinsured bicycle. (sum insured/actual value) x loss = claim sum paid Example : Price Paid – £2,000 Insured for – £1,500 Bike is stolen (£1,500 / £2,000) x £1,500 = £1,125 Pay-out to the customer is £1,125 less the excess Our customer service team are always willing to explain this if you need any further clarification.