Before registering your motorcycle and obtaining a license plate, most states, excluding Florida, mandate proof of motorcycle insurance.
While you can purchase a motorcycle without insurance, complying with your state’s minimum coverage requirements is essential for legal riding.
It also provides protection in cases where you are at fault in an accident resulting in injury or property damage to others.
In this blog, we will explore some of the common questions and scenarios that motorcycle riders face when it comes to insurance, and provide some tips and resources to help you make the best decision for your situation.
What is Motorcycle Insurance?
Motorcycle insurance offers protection in case your motorcycle, scooter, moped, ATV, or UTV is either damaged or stolen.
Additionally, it provides financial security in situations where you are liable for causing injuries or property damage to others during your ride.
Whether you acquire motorcycle insurance independently or through an agent, you’ll undergo a series of fundamental inquiries regarding yourself, your motorcycle, and your preferred coverage options.
Assuming your claim is eligible, your insurer will compensate for losses or injuries up to the coverage limits you specified when purchasing your policy.
Benefits of Motorcycle Insurance?
Liability Coverage
Liability coverage assists in covering expenses related to damage caused to another individual or their property in the event of a motorcycle accident.
Most insurance policies offer various levels of liability coverage.
Guest Passenger Coverage
Passengers riding with you on your motorcycle may lack adequate insurance, leaving them vulnerable to potential injuries on the road.
Your insurance coverage can assist in covering their medical bills and providing necessary care, thus helping them avoid financial hardship following an accident.
Medical Payments & Personal Injury Protection
Insurance can contribute to your own medical expenses and offer personal injury protection in the event of a crash, providing an added layer of coverage.
Optionally, personal injury protection coverage can also aid in covering expenses such as childcare, lost wages, and other related costs during your recovery.
Collision & Comprehensive Coverage
While property liability coverage addresses damages to others’ property, collision and comprehensive coverage cater to damages to your own property.
Comprehensive insurance keeps your motorcycle safeguarded even when parked in front of your home.
Breakdown Coverage
Motorcycle repair insurance, also known as mechanical breakdown insurance, offers an optional coverage type that funds specific repairs for your motorcycle.
It operates much like an extended warranty, helping you address engine, transmission, and other routine maintenance repairs conducted at your local repair facility.
How Much Does Motorcycle Insurance Cost?
The table below shows the cost of insurance in some of the states:
| State | Monthly cost | % from U.S. average |
|---|---|---|
| Alabama | $60 | -1% |
| Alaska | $40 | -34% |
| Arizona | $64 | 6% |
| Arkansas | $65 | 8% |
| California | $151 | 152% |
However, your individual rate is influenced by various factors, such as your location, the specific motorcycle you own, and your age.
To illustrate, motorcycle insurance premiums can differ by as much as $123 per month from one state to another.
Beyond your place of residence, your coverage level, driving history, age, and years of riding experience all play a role in how motorcycle insurance providers determine your premium.
How to Save Money on Motorcycle Insurance?
Bundle Your Insurance
When you bundle your motorcycle insurance with your home and auto coverage, you can benefit from significant discounts, potentially saving up to 55%.
Insurers offer volume discounts for consolidating your insurance needs, so consider this option to reduce your overall costs.
Basic Coverage for Older Bikes
If you own an older motorcycle with a value not much higher than your deductible, opting for basic coverage can be a money-saving choice.
It provides liability protection in at-fault accidents and covers your medical expenses in case of injuries, keeping some cash in your pocket.
However, it doesn’t include coverage for accidents or theft, which may not be essential for older bikes.
Choose a Safer Motorcycle
Insurance premiums for motorcycles are partly based on the claims history of the specific bike model.
Bikes with lower CC (cubic centimeters) tend to come with lower costs, as they are involved in fewer accidents and result in fewer severe injuries.
This choice can lead to savings.
Maintain a Clean Riding Record
Your riding history plays a significant role in determining your premiums.
The longer you can maintain an accident-free and ticket-free record, the more affordable your insurance will be.
Any tickets or at-fault accidents can lead to premium increases, even for experienced riders.
Enhance Bike Security
If you own a newer and valuable motorcycle with comprehensive coverage, the security of your bike is a concern for insurers.
To reduce the risk of theft, install a certified anti-theft system and store your bike in a secure location.
Your choice of storage location during both the riding season and winter can significantly impact your premium.
These decisions matter more for motorcycle insurance than for car insurance.
FAQs
Q1: Does Motorcycle Insurance Cover Track Days?
A1: Coverage for track days varies by insurer and policy. Exclusions may apply, so consult your agent for clarity.
Q2: Does Motorcycle Insurance Cover Other Riders?
A2: Coverage for other riders depends on your policy and insurer. Minimum liability may not cover them; talk to your agent.
Q3: What Does “Full Coverage” Mean?
A3: “Full coverage” includes liability, collision, and comprehensive. It’s advisable for newer or costly-repair bikes; discuss it with your agent.
Q4: Does My Auto Insurance Cover My Motorcycle?
A4: Auto insurance doesn’t automatically cover your motorcycle. Purchase separate motorcycle insurance to avoid consequences.
Q5: Does Motorcycle Insurance Cover Theft?
A5: Motorcycle insurance typically covers theft under comprehensive policies, including stolen items like helmets and mirrors.
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