It’s interesting that not all states require motorcycle riders to have liability insurance. The average motorcycle on the road today weighs about 550 pounds and can do a lot of damage if it happens to crash into your vehicle or other property. Also, consider having 550 pounds of metal lying on top of you. Although most motorcycle accidents are not caused by the rider, it’s important that a bike owner understand the risk involved with owning one and riding it.
Bikes can get expensive, so having comprehensive and collision coverage should be a priority. Street bikes such as the Honda can cost from a low of $4000 and go up to over $10,000. The well known Harley-Davidson line of bikes can get as high $30,000 so insuring these monsters is a no-brainer. The Motorcycle Insurance policy is very similar to the Personal Auto policy and provides a package of coverages necessary to cover the owner of the bike.
Bodily Injury Liability
This coverage will pay for injuries you cause to a 3rd party in the event of an at-fault accident up to the limits you select.
Property Damage Liability
Property damage coverage pays for damages you cause to another person’s property in an at-fault accident. This coverage also pays for rental expenses while the other person’s vehicle is under repair.
Medical Payments (med pay)
Probably the most important coverage for the motorcycle rider, Med Pay provides coverage for injury expenses for the rider and passenger on the motorcycle and liability does not have to be established to receive claim payments. In some states, where the helmet law is not in effect, the bike owner must carry $10,000 in med pay coverage to ride without a helmet.
Comprehensive
Motorcycle thefts in the U.S are pervasive with over 45,000 bike thefts reported in 2013 according to the National Insurance Crime Bureau. Unless you carry Comprehensive on your bike, you are out of luck in the event it is stolen. This coverage also pays for damage to your bike that is caused by events other than an accident such as vandalism, hitting an animal or having a tree limb fall on your bike during a storm.
Collision
Your collision coverage will pay to repair or replace your motorcycle in the event of an at-fault accident or if a 3rd party causes damage to your bike in a crash and is uninsured.
Optional Coverage
• Additional Equipment – This option provides coverage for additional equipment on your bike that was added after released from the factory such as a windshield, crash bars, custom seats and saddlebags.
• Towing & Labor – This feature will reimburse you for up to the limit you select if your bike has to be towed in the event of a breakdown or accident. Some insurers include this as a standard coverage, but for others, it is considered an add-on.
• Lease/Loan Gap Coverage – Having a crash or theft shortly after purchasing your bike could leave you paying out of pocket for the difference between the actual cash value and the lease/loan balance. This optional coverage pays the difference or gap, so you aren’t left with the payments on your bike after a total loss.
The best news about motorcycle insurance is that, except for certain models, it can be very inexpensive. Contact your agent or broker to find out what a great value having this very important coverage can be.
