I pay $45 for an insured value of $1360 (covers bike + upgrades). The deductible in case of theft is 20% with a maximum of $260. In case of vandalism or partial theft the deductible is $65.

Bicycle insurance is relatively new here in Belgium, three companies offered it when I took it up in January. I've seen ads from other companies since. The policies seem to be aimed at weekend riders who put their bikes outside the pub, as there is no clause requiring even a lock on the bike! Some of the policies exclude races and events (not mine though). My policy is only valid for three years, and you can only take it up on new bikes (< 1 year old). From the 13th month onwards, the insured value of the bike is reduced by 1% monthly (which is still far higher than a similarly used bike would set you back second-hand).

At $45 a year it's a no-brainer for me. I save/earn (gas/compensation) about $13 each time I commute by bike, so I knew I could pay for the deductible and three years worth of premium in about four months. From that point onwards, I'm making money with the bike (even though some capital is frozen in the bike). Bike theft is not a huge problem here in Belgium if you don't leave your bike outside at night. Beat up old bikes with cheap locks get stolen very often, but the crime syndicate only operates at night.