Which Motorcycle Insurance Coverages Are Right
Typically speaking, motorcycles are much less expensive to insure than cars. However, extra coverages that you can add, such as personal injury or insuring a vintage bike, can raise your premiums. If you would like to find out more about motorcycle insurance or learn what coverages are right for you, read this article to the end.
Driving a motorcycle can be liberating and thrilling. But it can also be dangerous. There are unique risks involving motorcycles and accidents can be serious.
It‘s important to have the right insurance coverage to protect yourself, your passengers, other drivers and your bike. It can help guard against losses caused by physical injuries, property damage, legal battles, theft and more.
There are a variety of options when it comes to motorcycle insurance. Standard motorcycle insurance policies provide coverage for bodily injury, property damage and liability, which riders are required to have in most states. Optional coverages include comprehensive and collision insurance.
Selecting which motorcycle insurance coverages are right for you will depend on:
Your state’s laws
Your bike and its value
Whether you want coverage for your own injuries if involved in an accident
How much protection you want for your belongings
Most states require you to carry a minimum amount of liability coverage. If you ride without insurance or lack the proper coverages, you be could fined, have your license revoked, suffer a court-ordered financial judgement or even land in jail.
For example, the state of Florida does not require you to present proof of insurance when you register your motorcycle at the Department of Motor Vehicles.
BUT if you get into an accident, you will have to provide proof of financial responsibility, and that can get very expensive and complicated.
Ask your insurance professional which laws apply in your state and learn about the options available for your unique situation.
Motorcycle Coverage Fundamentals
There are five basic types of motorcycle coverage.
Liability: Just like auto insurance, the minimum legally required motorcycle coverage is generally liability insurance. It will cover any damage your motorcycle causes in the event of an accident if you are at fault. It doesn’t cover injury to you or damage to your motorcycle. But it does cover bodily injury and property damage of anyone else involved in an accident. Guest passenger liability, which provides protection in the event that a passenger is injured on your motorcycle, may also be available to you depending on state laws and the company issuing your policy.
Motorcycle collision: Covers damage to your motorcycle if you are involved in a collision with another vehicle. Your insurance company pays for damages (usually the book value of your bike before the loss occurred), minus your deductible.
Comprehensive: Pays for damages caused by an event other than a collision, such as fire, theft or vandalism. Your insurance company will pay for damages, minus your deductible, and will cover only the book value of the motorcycle.
Customized motorcycle parts: Many comprehensive and collision policies will only cover factory standard parts on your motorcycle, or they will limit the coverage. If you have a custom paint job or decide to add optional accessories such as chrome parts, trailers or sidecars, check with your insurer to understand the limits of coverage.
Uninsured/underinsured motorist (UM/UIM): Pays for damages to you and/or your property caused by another driver who either doesn’t have insurance (uninsured) or doesn’t have adequate insurance (underinsured). UM/UIM policies typically pay for medical treatment, lost wages and, in some cases, property damage.
Many motorcycle insurance companies also offer a range of other coverages.
Towing and labor: Helps pay the costs if your motorcycle breaks down.
Trip interruption: Will help pay for lodging, food and transportation if you get stranded.
Protective gear: Items like helmets, riding leathers and gloves don’t come cheap, but if something happens to your gear, your motorcycle insurance can help replace it.
Of course you don’t plan on crashing your bike or having anything stolen. But if it happens, you’ll be glad you have top notch insurance coverage.
Cost of Motorcycle Insurance
According to the Insurance Information Institute (I.I.I.), your motorcycle insurance costs depend on:
Your age and driving record: You may receive discounts on motorcycle insurance for having a clean driving record, being over the age of 55 and owning your own home.
Where you live and store your bike: Your costs may be lower if you store your bike in a garage. And, if you live in an area where it snows a lot during a long winter, a lay-up policy could help decrease your costs. These policies offer lower payments (and coverage) during the months you won’t be riding your bike.
Type or style of bike you ride (e.g., sport bike, cruiser or custom motorcycle): In general, your insurance costs will be lower for bikes without special modifications. Additionally, the smaller the motor on your bike, the lower your rates will be.
Age of the motorcycle: If you want to save on your insurance, stick with an older, basic and less-powerful bike to access the lowest premiums.
Number of miles you ride a year: If you plan to ride your bike regularly to work, you’ll likely need to secure a full-coverage policy. However, if you only plan to use your bike occasionally, you may not need as much coverage.
Some motorcycle dealerships will require you to produce proof of insurance before allowing you to purchase a bike. If you are planning on financing your motorcycle, you’ll likely need to have comprehensive and collision coverage in place.
Purchasing the right coverage
Whether you are the proud owner of a brand-new bike or have been riding for years, it’s good to have a firm understanding of the insurance you may need. With the right motorcycle coverage, you’ll be ready for almost anything that comes your way.
Frequently Asked Qiestions on Motorcyle Insurance
As it starts warming up, you may consider taking the bike out of storage and going for a ride. Before you do, consider your insurance and if you are properly covered. Here are some quick FAQ’s we get in regards to motorcycle Insurance.
1.) When should I take a motorcycle out of storage coverage?
– Any time you intend on driving on public roads, you are required to have insurance. Do not forget to take your bike out of storage so that you are covered if something happens.
2.) Are my customizations and accessories covered?
– Most companies offer coverage that extend to your bike customizations and accessories like helmets and jackets. Make sure you discuss these coverages with your agent to ensure you have it.
3.) What is UMBI and UMPD?
– Make sure you have uninsured and underinsured coverages on your policy in case someone without insurance were to hit you. These are often overlooked and forgotten, but can be the most important coverages on your policy.
4.) What is MedPay?
– Another often overlooked coverage is MedPay. This coverage ensures you have coverage available for medical incidents as a result of an accident, REGARDLESS OF FAULT. Many people use this to meet their health insurance deductible.
5.) How do I make sure I have the right coverages on my policy?
Contact your insurance professional to help you with the motorcycle insurance coverage you need for your specific situation.
SEE ALSO : Factors That Affect Your Car Insurance Rate
Hope this post on Which Motorcycle Insurance Coverages Are Right helps?