Like other motorists, motorcyclists are required to have insurance coverage. Their insurance should at least cover bodily injury and property damage during an accident. Motorcyclists must be insured as it protects them and other road users.
Over the years, the rate of motorcycle casualties has been increasing. In 2020, 5,579 people lost their lives in motorcycle accidents, an 11 percent increase from 2019. The NHTSA has revealed that motorcyclists are 28 times more likely to die from crashes than other motorists. Also, “those that survive these collisions could face long-term or permanent injuries that could dramatically alter their quality of life,” says Felix Gonzalez Law Firm.
This data shows how important it is for motorcycle riders to have insurance. Below is an outline for riders to insure their motorcycles without much hustle.
Types of Coverage Offered by Motorcycle Insurance
Getting the right policy is as important as getting the right motorcycle. The best insurance policy will cover all your needs within your budget.
Personal Injury Protection (Pip Insurance)
This insurance coverage will cover all hospital expenses incurred by a rider after an accident. 14 states have made it mandatory for all motorcyclists as it offers coverage despite the at-fault party.
Liability Insurance
Like PIP insurance, it is equally mandatory to have liability insurance in most states. The coverage offers compensation for property damage and bodily injury caused by the rider to others. It does not offer compensation for losses incurred by the rider. Some states also cover the passengers.
Comprehensive Coverage
This full coverage policy compensates for motorcycle damages resulting from crashes, theft, or vandalism.
Collision Coverage
Typically, the collision coverage is included in a full coverage policy and offers coverage to motorcycle riders after a crash, regardless of the at-fault party.
Uninsured/Underinsured Motorist (UM/UIM) Coverage
This type of insurance is ideal for situations where the at-fault driver does not have proper insurance coverage. The policy covers bodily injury, lost wages, and sometimes even property damage.
State Requirement for Motorcycle Insurance Policies
All states have minimum liability coverage that all riders are expected to have. It is expressed as three figures; for example, in New York, it is 25/50/10. The first figure represents $25,000, which is the maximum amount to be paid to those injured or killed by the rider if at fault.
The next is $50,000, the maximum amount paid by an insurance claim by two or more accident victims. The final is $5,000- the maximum amount a carrier pays for property damage.
The minimum motorcycle requirements vary from state to state, and it is important to know the proper insurance for your state.
As you continue to look at different insurance policies for motorcycles, it is vital to know that the price of motorcycle premiums is affected by various factors. Below are a few factors affecting the cost of insurance:
- Type of motorcycle
- Credit rating
- Accident history
- Residence
- Age and riding experience
- Frequency of use
The Takeaway
While most states allow motorcyclists to drive with just liability insurance, bikers are advised to get more comprehensive coverages. This would require a more expensive payment plan. However, in the long run, it proves very advantageous.
Full coverage policies may be more costly, but they offer more protection than liability-only plans. You never know when an accident is going to happen, so it is better to be safe. Finally, some insurance policies protect your motorcycle from theft and other non-accident damages.
Also Read: The Dos and Don’ts of Motorcycle Accidents: A Comprehensive Guide
