About 95% of Victorian cyclists risk huge public liability payouts and other costs in the event of an accident, campaigners have warned.

Cycling Victoria has launched a promotion called Are You Covered? appealing to the state’s estimated 1 million cyclists to check their insurance policies.

Last year a Canberra cyclist was ordered to pay $1.66 million in damages when a garden stake left on a bike path caused him to bump his riding companion onto the road and under a car.

The victim sustained serious injuries.

Cycling Victoria CEO Kipp Kaufmann told insuranceNEWS.com.au many cyclists are unaware of the risks.

“Everyone thinks of their own medical bills,” he said.

“They aren’t aware of things like, if the rider in front of you suddenly brakes and you cause damage to their bike, then you are liable. Or if you hit a pedestrian or a parked car.

“About 50,000 [Victorian] cyclists have public liability, third-party property and personal insurance, along with personal accident cover and cover for non-Medicare expenses and income protection. But we fear most of the others who ride regularly are not adequately covered.”

Insurance Council of Australia (ICA) GM Communications Campbell Fuller told insuranceNEWS.com.au some household policies provide public liability for property damage and personal injury outside the home, but each insurer has different exclusions and limits.

“It’s likely many cyclists are not adequately insured for injuries or damage they may cause to others and their property,” Mr Fuller said. “They may also not be covered for damage to their bicycles in collisions or accidents.”

He says ICA member companies offer insurance policies for individual cyclists, and for members of cycling clubs and associations.

Cycling Victoria’s $100 membership provides up to $20 million public liability cover.